Statistical analysis of compensation for equity and regulatory compliance
The Pay Equity Analysis skill provides capabilities for statistical analysis of compensation to identify and address pay disparities. This skill enables regression-based analysis, gap identification, remediation planning, and regulatory compliance reporting.
const equityAnalysis = {
population: {
scope: 'full-company',
excludeNew: true,
newHireThreshold: 6
},
dependentVariable: 'base_salary',
protectedClasses: ['gender', 'race_ethnicity', 'age'],
legitimateFactors: [
'job_level',
'job_family',
'years_experience',
'tenure',
'performance_rating',
'location_tier'
],
methodology: {
type: 'multiple-regression',
robustnessChecks: true,
outlierTreatment: 'winsorize',
significanceLevel: 0.05
},
intersectionality: {
analyze: true,
combinations: [['gender', 'race_ethnicity']]
}
};
const remediation = {
analysis: 'equity-analysis-2026-01',
approach: 'bring-to-predicted',
constraints: {
maxIndividualAdjustment: 10,
totalBudget: 500000
},
prioritization: {
method: 'largest-gap-first',
protectedClassPriority: ['gender', 'race_ethnicity']
},
implementation: {
timing: 'merit-cycle',
communication: 'manager-led'
}
};
This skill integrates with the following HR processes:
| Process | Integration Points |
|---|---|
| pay-equity-analysis.js | Full analysis workflow |
| salary-benchmarking.js | Market data integration |
| grievance-handling.js | Individual equity concerns |
| Metric | Description | Target |
|---|---|---|
| Unadjusted Gap | Raw pay difference | Track and reduce |
| Adjusted Gap | Controlled pay difference | Not statistically significant |
| Remediation Completion | Identified gaps addressed | 100% |
| Trend Direction | Year-over-year gap change | Decreasing |
| Compliance Status | Regulatory requirement status | Compliant |