New Zealand Acts

EQUAL PAY ACT 1972 - SECT 13ZE

13ZE Selecting appropriate comparators

1 This section sets out how parties select appropriate comparators against which to assess a pay equity claim under section 13ZD .

2 The parties to a pay equity claim involving 1 employer must select comparators that are most closely related to the employer by approaching the task as follows:

a) if the employer employs 1 or more comparators, the parties must select 1 or more of those comparators:

b) if the employer does not employ any comparators, the parties must select 1 or more comparators from 1 or more similar employers:

c) if neither paragraph (a) nor paragraph (b) applies, the parties must select 1 or more comparators from 1 or more other employers within the same industry or sector.

3 The parties to a multi-employer pay equity claim must select comparators that are most closely related to the employers by approaching the task as follows:

a) if 1 or more of the employers employ 1 or more comparators, the parties must select 1 or more comparators from 1 or more of those employers:

b) if none of the employers employ any comparators, the parties must select 1 or more comparators from 1 or more employers that are similar to the employers in the claim:

c) if neither paragraph (a) nor paragraph (b) applies, the parties must select 1 or more comparators from 1 or more other employers within the same industry or sector.

4 In addition to acting in accordance with subsection (2) or (3) (as applicable), the parties may, by agreement, select as a comparator the employees covered by a pay equity claim that has previously (but not before the Equal Pay Amendment Act 2025 comes into force) been raised and been the subject of a pay equity claim settlement.

5 A comparator selected under subsection (2) or (3) (as applicable) must be a male workforce that performs—

a) work that is the same as, or substantially similar to, the work to which the claim relates; or

b) work that is different to the work to which the claim relates, but that involves 1 or more of the following:

i) skills and experience that are the same as, or substantially similar to, those required to perform the work to which the claim relates:

ii) responsibilities that are the same as, or substantially similar to, those involved in the work to which the claim relates:

iii) working conditions that are the same as, or substantially similar to, those involved in the work to which the claim relates:

iv) degrees of effort that are the same as, or substantially similar to, those involved in the work to which the claim relates.

6 Despite subsections (2) and (3), the parties may not select a comparator if there are reasonable grounds to believe that the work performed by that comparator—

a) has been historically undervalued in the way described in section 13F(1)(b)(i) ; and

b) continues to be subject to systemic sex-based undervaluation in the way described in section 13F(1)(b)(ii) .

7 Despite subsections (2) to (4), the parties may not select as a comparator a workforce that is too small to allow a meaningful comparison between its work and the work to which the claim relates.

8 When selecting comparators, the parties must take into account any additional matters prescribed by regulations.

History: Section 13ZE: replaced, on 14 May 2025, by section 29 of the Equal Pay Amendment Act 2025 (2025 No 21).