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Follow us on TwitterThe Stronger Workplaces for a Stronger Economy Act was passed by the Ontario legislature in November 2014. The Act amends five statutes relating to employment and labour relations, and introduces new obligations for employers in 2015.
Below is a brief summary of amendments to existing legislation under the Act. It is important that employers are familiar with their obligations as these changes come into effect.
EMPLOYMENT STANDARDS
Poster Requirement: Effective May 20, 2015 or within 30 days of employment
SUMMARY: Provide each employee with a copy of the updated MLO informational sheet within 30 days of their employment, and ensure that an updated MLO poster is posted in your workplace. Request translated copies from Minister when requested by employee, and, if there is a translation, provide it to the employee.
Under the Employment Standards Act, 2000 (the “ESA”) employers are required to post in the workplace the Ministry of Labour informational sheet which sets out entitlements of employees.
The Act amends the ESA so that, in addition to posting the informational sheet in the workplace, employers are required to provide each employee with a copy of the poster within 30 days of their employment or, if they are already employees, by no later than January 19, 2015.
The Act also requires that, where an employee requests the poster in a language other than English or French, the employer make inquiries of the Minister as to whether the poster has been translated and, if it has, provide the employee with a copy of the translation.
Self-Auditing: Effective May 20, 2015
SUMMARY: Consider doing a self-audit of your organization now to ensure that you are operating in compliance with the latest version of the Employment Standards Act, 2000, and make all changes necessary to ensure compliance.
The Act introduces self-auditing provisions to the ESA which will come into effect on May 20, 2015.
With this amendment, an Employment Standards Officer may, by giving written notice, require an employer to conduct an examination of the employer’s records, practices, or both to determine whether the employer is in compliance with one or more provisions of the ESA. The employer must, upon completing the examination, report the results to the ES Officer.
If the report includes an assessment that the employer owes wages to one or more employees or has not complied with the ESA or the regulations and the ES Officer determines this to be correct, the officer may issue an order as s/he deems appropriate.
The Act does not prevent an ES Officer from conducting an investigation at any time.
Retaining Temporary Help Agencies
SUMMARY: If your organization frequently works with temporary help agencies, you should keep copies of the records showing hours worked by employees of temporary agencies. Consider including in your contract with the agency a provision which states that the agency will be liable for unpaid wages to their employees to avoid a claim against you.
The Act imposes stringent record-keeping responsibilities on temporary help agencies. Temporary help agencies are required to maintain records of hours worked by their employees for three years, and that it keep these records available for inspection even if the employee of the agency has changed his/her job location.
The Act also makes the temporary agency and the employer jointly and severally liable for unpaid wages (regular wages and overtime) owing to the employee of the agency. This means that if an organization retains temporary help agencies, it could be liable for a claim for unpaid wages brought by an employee of that temporary help agency.
Protection for Foreign Persons: The Employment Protection for Foreign Nationals Act 2009: Effective November 20, 2015
SUMMARY: Provide any foreign nationals under your employ with a copy of the most recent document published by the Director of Employment Standards. Fees may not be charged, and personal documents may not be seized.
The Employment Protection for Foreign Nationals Act, 2009 (EPFN Act) will come into effect on November 20, 2015, and extends not only to live-in caregivers, but to all foreign nationals working in Ontario under an immigration or foreign temporary employee program, or those attempting to find employment in Ontario.
Under the EPFN Act, the Director of Employment Standards must prepare and publish a document setting out the rights and obligations of employees and employers under the ESA that are relevant to foreign nationals and their employers. The Lieutenant Governor-in-Council may make regulations providing that an employer may recover certain prescribed costs. A recruiter who is contacted by a foreign national regarding employment must provide a copy of the most recent documents published by the Director of Employment Standards.
The Act requires that employers of foreign nationals give them copies of the most recent documents published by the Director of Employment Standards before the employment commences if the employer did not use the services of a recruiter in connection with the employment. If the employee is already employed, the documents must be given as soon as practicable. The Act prohibits employers from charging fees, or seizing personal documents such as passports or work permits.
Removing Cap on Damages for Unpaid Wages: Effective February 20, 2015
The Act removes the $10,000.00 cap on damages for unpaid wages, and replaces the current 6 month cap on back-wages with a 2-year limit .This means that employees can seek an order for unpaid wages from ESA officers rather than going to court. Employees also have 2 years to file complaints for unpaid wages, rather than 6 months. This amendment reduces the burden on employees seeking repayment for wages.
These provisions are expected to come into effect three months after royal assent, in February 20, 2015, with a 2-year transition period.
Minimum Wage: October 1, 2015
Minimum wage will be linked to the rate of inflation as of October 1, 2015.
OCCUPATIONAL HEALTH AND SAFETY
“Workers” under the Occupational Health and Safety Act: Effective Immediately
The Occupational Health and Safety Act (OHSA) previously did not include unpaid workers within its definition of “worker”. Under the Act, the definition of “worker” has been expanded to include those who perform services without pay [i.e. unpaid interns, or students]. This means that they have the same rights as paid workers under the Workplace Safety and Insurance Act, and can refuse unsafe work.
Employers must abide by workplace safety legislation where unpaid workers are employed. Unpaid workers may receive benefits under the Workplace Safety and Insurance Board if they are injured on the job. Volunteers are, however, excluded from the definition of “worker”.
WORKPLACE SAFETY
Injuries to Employees of Temporary Help Agencies: Effective on a day named by Lieutenant Governor
The Act amends the Workplace Safety and Insurance Act, 1997(WSIA) so that if, in certain circumstances, a temporary help agency lends or hires out the services of a worker to an employer and the worker sustains an injury while performing work for the other employer, the employer is responsible for the injury for the purposes of the section, rather than the temporary help agency.
This means that if an organization retains a temporary help agency to supply labour, and the worker is injured while on-site as a result of unsafe working conditions, the employer’s premiums could be affected.
LABOUR RELATIONS
Declarations by Trade Unions: Effective May 20, 2015
The Act amends the Labour Relations Act, 1995, such that applications to the Labour Relations Board for a declaration that the trade union no longer represents employees in a bargaining unit may occur in the case of a collective agreement of not more than 3 years, only after the commencement of the last 2 months of its operation; in the case of a collective agreement for a term of more than 3 years, only after the commencement of its 35th month of operation and before the commencement of its 37th month of operation; and in the case of a collective agreement that provides that it will continue to operate for any further term or successive terms if either party fails to give to the other notice of termination or of its desire to bargain with a view to the renewal of the agreement.
Certification Process for Unions in Construction Industry: Effective May 20, 2015
The Act also amends the certification process as it applies to the construction industry. It establishes 2-month open periods during which a trade union may apply to the Board for certification as bargaining agent of any employees in a bargaining unit. Further, the Act establishes 2-month open periods during which employees may apply to the Board for a declaration that a trade union no longer represents the employees in a bargaining unit.
We hope that this summary has been of assistance. Employers are encouraged to read the Stronger Workplaces for a Stronger Economy Act in full. Please feel free to contact us if you require further information or advice in structuring your employment contracts in 2015.
