federally-regulated employers

Changes to the Canada Labour Code (“CLC” or “Code”) are effective on September 1, 2019, or on a date to be named. To ensure compliance, federally regulated employers should review their policies and practices.

This is part two of a two-part series summarizing the changes.  Part one focused on federal employment standards related to vacation, holiday and leave entitlements.  This part summarizes the remaining changes.
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Changes to the Canada Labour Code (“CLC” or “Code”) are effective on September 1, 2019.  To ensure compliance, federally regulated employers should review their policies and procedures.

This is part one of a two part series summarizing changes to the Code.  This part focuses on federal employment standards related to vacation, holiday and leave entitlements.  The remaining changes will be summarized in part two.
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The government of Ontario announced today that it will introduce new legislation to require certain employers to track and publish their compensation information. The proposed legislation is part of the province’s initiative to advance women’s economic status and create more equitable workplaces (the initiative is titled “Then Now Next: Ontario’s Strategy for Women’s Economic Empowerment”). Today’s announcement comes on the heels of last week’s budget plan in which the federal government outlined proposed proactive pay equity legislation that would apply to federally regulated employers – see here for our article on the proposed federal legislation.
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The Government of Canada released its 2018 budget plan on February 27, 2018, entitled “Equality and Growth”. The budget plan proposes various initiatives aimed at improving women’s equality in the workforce and addressing the gender wage gap. The budget proposes to implement a new parental leave benefit that is likely to have an impact upon both provincially and federally regulated employers. The budget also proposes changes to the federal pay equity regime and online reporting of pay information filed under the Employment Equity Act.
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On July 15, 2016, we wrote about the Supreme Court of Canada’s recent decision in Wilson v. Atomic Energy, 2016 SCC 29 (“Wilson”). In that case, the SCC held that most federally-regulated, non-union employees with 12 or more consecutive months of service can only be dismissed for “just cause”. See our earlier blog post here.

Following the Wilson decision, many federal employers were left wondering whether they still have the right to downsize or impose layoffs in response to a decline in their business. Such employers will be happy to learn that “downsizing” imposed for legitimate business reasons is still possible (subject to certain restrictions). Under s. 242(3.1)(a) of the Canada Labour Code, RSC, 1985, c L-2 (the “Code“), an adjudicator will not consider the complaint of an employee who has been laid off due to a “lack of work” or “discontinuance of a function”.
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