Compliance
Material Factor Defence
A defence allowing employers to justify a pay difference if it's due to a non-sex-based, genuine, and relevant factor.
Definition
An employer can defend an equal pay claim by demonstrating that a difference in pay is due to a 'material factor' which is not based on the sex of the employees. This factor must be genuine, material, and relevant to the job. If the material factor itself has a discriminatory effect, the employer must further prove that it is objectively justified as a proportionate means of achieving a legitimate aim.