Cecily Zamora
Employment law in Canada refers to the laws governing the relationship between an individual employee and their employer. These laws include statutes dealing with minimum labour standards, human rights, occupational health and safety, and workers' compensation. Provincial employment laws apply to around 90% of Canada's workforce, while federal employment laws apply to federally regulated industries such as banking and air transportation. The Employment Equity Act, for example, is a federal law that requires equal employment opportunities for women, Aboriginal peoples, people with disabilities, and members of visible minorities. Each province also has its own Employment Standards Act, which sets minimum working conditions, including rules about minimum wage, hours of work, termination of employment, and leaves of absence.
| Characteristics | Values |
|---|---|
| Work week | 8 hours per day, 40 hours per week |
| Overtime | Most jurisdictions set the overtime rate at a minimum of 1.5 times the employee's regular hourly rate |
| Leaves of absence | Maternity leave, parental leave, compassionate care leave, family leave |
| Termination | Employers must provide a minimum termination notice period, which differs depending on the jurisdiction and the duration of employment |
| Severance pay | In Ontario, an employee qualifies for severance pay if their employment is severed and they have worked for the employer for at least 5 years and the employer has a global payroll of at least $2.5 million or severed the employment of 50 or more employees in a 6-month period |
| Workplace protection | Employees across Canada are protected against workplace violence, harassment, and discrimination based on sex, race, religion, ethnic or national origin, age, sexual orientation, and gender |
| Employment Equity Act | Requires employers to provide equal employment opportunities to women, Aboriginal peoples, people with disabilities, and members of visible minorities |
| Federal labour standards | Set out the employment conditions for hours of work, payment of wages, leaves, vacation, holidays, etc. |
| Provincial labour laws | Majority of Canadian employers are governed by labor laws specific to their province |
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What You'll Learn
Federal vs provincial employment laws
Canada has both provincial and federal employment legislation. Provincial employment laws apply to around 90% of Canada's workforce, while federal employment laws apply to a minority of employees. This is because provinces have jurisdiction over employment law within their borders, and federal authority for employment matters is limited to federally regulated industries such as banking, shipping, air transportation, and postal services. Each province has an office that deals with labour and employment laws, providing information about fair pay, hours of work, rest periods, and working conditions.
Provincial employment laws govern minimum wages, hours of work, overtime, the mode and interval of wage payments, wage statements, daily and weekly rest, statutory holidays, vacations and vacation pay, time off to vote, maternity leave, and equal pay for men and women. Each Canadian jurisdiction has different types of leave available to employees, including maternity leave, parental leave, compassionate care leave, and family leave. Most minimum standard leaves are unpaid, and there is usually a required amount of service for an employee to be eligible for leave. Provincial laws also impose restrictions on employees' working hours, encompassing daily or weekly maximums for the duration of work permitted, as well as mandatory minimum break periods during shifts. Each jurisdiction also has unique overtime rules, with most jurisdictions setting the overtime rate at a minimum of 1.5 times the employee's regular hourly rate. The minimum wage varies across provinces, with Saskatchewan having the lowest provincial minimum wage at $14.00 gross per hour, and Nunavut the highest at $19.00 gross per hour as of April 1, 2024.
Federal labour standards are outlined in Part III of the Canada Labour Code (CLC), which sets out the employment conditions for hours of work, payment of wages, leaves, vacation, holidays, and more. These standards apply to employees working in federally regulated businesses. The CLC is the overarching statute that governs federal employees, while provincially regulated employees are governed by province-specific legislation. For example, Ontario has the Employment Standards Act, 2000, Alberta has the Employment Standards Code, and B.C. has the Employment Standards Act, 1996. Federal employers often do not have the right to terminate non-unionized, non-managerial employees with 12 months' service or more without a just cause, even if they offer termination notice and/or pay. Without cause terminations are generally only warranted under the CLC if they are due to a lack of work or the discontinuance of a function. Provincially regulated employers, on the other hand, are allowed to terminate non-unionized staff without cause if they provide the applicable notice or pay in lieu of notice, and the reason for termination is not discriminatory.
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Leaves of absence
Employment law in Canada refers to the laws governing the relationship between an individual employee and their employer. While labour laws govern unionized collective bargaining relationships, employment laws concern wrongful dismissal, minimum labour standards, human rights, occupational health and safety, and workers' compensation.
In Canada, there are both provincial and federal employment laws. Provincial employment laws cover around 90% of the country's workforce, while federal laws apply to employees in federally regulated industries, such as banking and air transportation. Each Canadian jurisdiction has different types of leave available to employees. These include maternity leave, parental leave, compassionate care leave, and family leave. Most minimum standard leaves are unpaid, and employees must meet a required amount of service to be eligible.
Pregnant employees are entitled to a leave of absence without pay unless their due date falls fewer than 13 weeks after they started working. They are also entitled to pregnancy leave if they would have been employed for at least 13 weeks immediately preceding their due date, regardless of whether they were actively working during that time. Nursing mothers are entitled to an unpaid maternity-related leave of absence during the period from the beginning of the pregnancy to the end of the 24th week following the birth.
Employees who have given birth can take both maternity and parental leave. Parental leave must be taken in one continuous period without working. However, it can be interrupted for leave for members of the reserve force. Parental leave cannot extend beyond 104 weeks after the child's birth or arrival into their care. The combined maternity and parental leaves for one parent cannot exceed 78 weeks.
Employees who have worked for at least 13 weeks and have experienced or been threatened with domestic or sexual violence are entitled to two separate allotments of 10 days and 15 weeks of leave within each calendar year. The first five days of leave are paid, while the rest are unpaid. This leave must be taken for specific purposes, including seeking medical attention, accessing professional counselling, relocating, seeking legal assistance, and accessing victim services.
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Termination of employment
Firstly, it is important to note that Canada does not recognise "at-will employment", meaning that employers cannot terminate an employee's position without providing a valid reason or following certain legal procedures. In most cases, employers are required to provide employees with a notice of termination, which can be given in writing, in person, or via email/mail. This notice period is influenced by factors such as the employee's length of service, age, position, and the availability of comparable work. For example, employees with ten or more years of service may be entitled to a longer notice period of up to eight weeks.
There are, however, certain situations where immediate termination without notice or payment in lieu of notice is permissible. These include cases of gross misconduct, unlawful acts, constant insubordination, or wilful misconduct. Additionally, during an employee's probationary period, employers may terminate their employment without providing any notice or payment, as long as the termination is done in good faith.
In the case of termination without "just cause", employers are typically required to provide either advance notice of termination or compensation in lieu of that notice. The definition of "just cause" can vary but generally includes serious misconduct, such as fraud, significant breaches of employer policies, or insubordination. It is important to note that even with a notice, civil claims may still be brought against employers.
The Canada Labour Code sets out specific dismissal requirements for federal workers and employees in interprovincial industries, such as airlines, banking, and shipping. These workers are entitled to at least two weeks' written notice of termination without just cause or two weeks' pay in lieu of written notice. Additionally, they may be entitled to severance pay of two days' pay per year of employment if they have worked for at least one year.
Overall, the termination of employment in Canada is a complex and nuanced process that requires employers to carefully navigate a range of legal obligations and employee rights. It is essential for employers to familiarise themselves with the specific laws and regulations that apply in their province or territory to ensure compliance and avoid potential legal consequences.
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Workplace health and safety
The Canada Labour Code
Part II of the Canada Labour Code outlines the health and safety provisions that employers must adhere to. Employers are required to protect the health and safety of their employees, ensuring that any complaints, accidents, and injuries are properly investigated. Regular inspections are mandated to identify and address potential hazards, and employers must respond to any issues within 30 days.
Training and Information
Employers are responsible for providing employees with the necessary information, training, and supervision to perform their jobs safely. This includes awareness of workplace hazards, safe tool and equipment usage, and overall work safety procedures. Employees have the right to be informed of any known or foreseeable hazards and to access relevant health and safety reports.
Occupational Health and Safety Act (OHSA)
The OHSA is a comprehensive piece of legislation in Ontario that aims to protect workers from health and safety hazards. It establishes duties for all workplace parties and rights for workers, fostering a strong internal responsibility system (IRS). The IRS ensures that everyone in the workplace plays a role in maintaining a safe and healthy environment.
Leaves of Absence
Canadian employment law also recognises the importance of leaves of absence for maintaining employee health and well-being. Various types of leave are available, including maternity leave, parental leave, compassionate care leave, and family leave.
Equality and Non-Discrimination
Canadian employment law promotes equal employment opportunities and non-discrimination. The Employment Equity Act and the Federal Contractors Program (FCP) aim to provide equal opportunities for women, Aboriginal peoples, people with disabilities, and members of visible minorities.
In summary, Canadian employment law takes a comprehensive approach to workplace health and safety, involving both employers and employees in creating safe and healthy working environments, while also recognising the need for work-life balance and protecting the rights of vulnerable groups.
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Employment standards
Employment law in Canada refers to the laws governing the relationship between an individual employee and their employer. It covers a wide range of areas, including minimum labour standards, human rights, occupational health and safety, and workers' compensation.
Canada has provincial employment legislation and federal employment legislation. Provincial employment laws apply to around 90% of Canada's workforce, while federal employment laws cover a minority of employees in federally regulated industries, such as banking and air transportation. Each province has its own Employment Standards Act, which sets out the minimum working conditions for employees.
The standard workweek in Canada is eight hours per day, 40 hours per week. However, each jurisdiction has its own minimum standards legislation, which imposes restrictions on employees' working hours and mandatory rest periods. These include daily and weekly maximums for work duration and rules governing overtime, with most jurisdictions setting the overtime rate at a minimum of 1.5 times the regular hourly rate.
The Employment Equity Act is a federal law that requires federally regulated organisations and businesses to provide equal employment opportunities to four designated groups: women, Aboriginal peoples, people with disabilities, and members of visible minorities. The Federal Contractors Program (FCP) applies to employers with federal government contracts worth $1 million or more, while the Legislated Employment Equity Program (LEEP) requires these employers to report annually on the representation of the designated groups in their workplaces.
In terms of leaves of absence, each jurisdiction offers different types of leave, including maternity leave, parental leave, compassionate care leave, and family leave. Most minimum standard leaves are unpaid, and employees typically need to meet service requirements to be eligible.
When it comes to termination, employers must provide either advance notice of termination or compensation in lieu of notice unless they have quotation marksjust cause for immediate dismissal. The required notice period varies depending on the jurisdiction and the duration of employment, with factors such as length of service, age, and availability of similar employment considered. In Ontario, longer-serving employees may also qualify for additional statutory severance pay.
Overall, employment standards in Canada aim to protect the rights of workers and ensure fair and equitable treatment in various aspects of the employer-employee relationship.
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Frequently asked questions
The standard workweek in Canada is eight hours per day, 40 hours per week. However, each Canadian jurisdiction has its own minimum standards legislation that imposes restrictions on employees' working hours.
The Employment Equity Act is a federal law that requires federally regulated organisations and businesses to provide equal employment opportunities to four designated groups: women, Aboriginal peoples, people with disabilities, and members of visible minorities.
Employment law in Canada refers to the law governing the relationship of an individual employee to an employer. Labour law, on the other hand, refers to the law of unionised collective bargaining relationships.
