Start with the pay philosophy
Before deciding how to remediate, assess what kind of pay variation the company is prepared to allow. The answer is rarely black or white. Most companies will use a hybrid: tightly governed base pay for same or equal-value work, controlled exceptions where variation is legitimate, and adjusted analysis where differences remain.
Proactive equality by design
People doing the same or equal-value work receive the same base pay, or sit in a narrow and tightly governed range.
Remediation means proactively assessing pay levels and whether grading or equal-value groupings are coherent.Reactive variation explanation
Pay can differ, but only where the difference is based on objective, gender-neutral criteria that are consistently applied.
Remediation means reacting to status quo, testing explanations, correcting unjustified gaps, and improving the processes that created them.Equalise what should not vary. Explain what can vary. Test whether the explanation is objective, gender-neutral, and fair.
A remediation decision path
If a company finds an unexplainable pay gap, they can react by following a broad decision path. It separates immediate correction from documented explanation and structural reform.
Is there an unjustified pay difference within same or equal-value work?
Adjust the pay level to the correct level.
Can the difference be explained by objective, gender-neutral criteria?
Test whether the criteria are themselves fair, consistently applied, and not a proxy for bias.
Is the gap caused by structural patterns such as grading, progression, occupational segregation, or variable pay access?
Fix the process, instead of individual salaries, and closely monitor the gap over time.
Turn the decision into an action plan
The decision tree tells you which response is needed. The action plan turns that response into concrete actions: correct the pay outcomes, fix the decision process that created the pay gap, and make the follow-up traceable.
Correct the pay outcome
Use this where the gap is unjustified or where the pay philosophy says the difference should not exist.
- Set the corrected salary, rate, allowance, bonus, or other pay component.
- Depending on the chosen pay philosophy this could be to the roles pay (A), median pay or projected pay (B).
- Check whether comparable employees need a similar correction.
- Decide whether back pay, retroactive adjustments, or legal review shall be sought.
- Record the comparison group, pay component, effective date, decision making and approval owner.
Fix the decision or process that created the pay gap
Use this where the pattern points to specific processes (e.g. hiring pay, progression, grading, ...)
- Tighten hiring salary rules and exception approvals.
- Review grade placement, job evaluation, and equal-value groupings.
- Calibrate performance, promotion, and bonus decisions before pay is finalised.
- Limit manager discretion where it creates unexplained or gendered outcomes.
Make the response repeatable
Use this so the company can explain what was found, what changed, and how the issue will be monitored.
- Prepare a clear explanation for employees and employee representatives.
- Keep an evidence file with the calculation, grouping, criteria, and decision.
- Assign an owner for every correction and process change.
- Set the next review date before closing the issue.
Close the loop before the issue is closed
Remediation should not end when a salary is corrected or a message is published.
The company should check whether the action worked and whether new decisions recreate the gap.
Lock the finding
Confirm the population, group, pay component, and the explanation tested.
Track delivery
Check that corrections, process changes, and communications are implemented swiftly.
Test the effect
Re-run the analysis to see whether the gap closed and whether new decisions recreated it.
Update governance
Use the result to improve rules, approvals, manager guidance, and future reporting.