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Working for Workers: Take Four
On November 14, 2023, the Ontario provincial government tabled
(the Working for Workers Act, 2023). This is the fourth installment in Ontario’s “working for workers” legislative changes. If passed into law, Bill 149 will result in amendments to several employment statutes including the Employment Standards Act, 2000
(“ESA”) and the Digital Platform Workers’ Rights Act, 2022
(“DPWRA”).
Moonlighting during working hours warrants cause for dismissal
It is not uncommon for an individual to work a second job – or to take on a “side hustle” – to supplement their income. Most employers will tolerate such activities where they are non-competitive in nature, carried on outside of working hours, and do not interfere with the individual’s performance of their duties.
Breach of confidentiality proves to be a costly mistake
When parties to a workplace dispute agree on a settlement, one typical term required by employers relates to confidentiality. Such clauses mandate that the employee refrain from telling third parties details of the deal that has been reached (with normal exceptions made for immediate family and professional advisers).
Time to Expand the Search? The Duty to Mitigate in a Remote Work World
Individuals in Ontario have a duty to mitigate their loss of employment when seeking damages for wrongful (or constructive) dismissal. In practical terms this means that while employees may be able to seek damages from their former employer (to put them in the position they would have been had they received adequate notice of termination), they must make reasonable efforts to replace their lost income by looking for, and accepting, other comparable work.
Change is Coming to Termination Requirements under the Canada Labour Code
As of February 1, 2024, Part III of the Canada Labour Code (“CLC”) will require federally-regulated employers (including those in the private sector and Crown corporations) to meet the following obligations when terminating employment:
Independent contractors have a duty to mitigate loss of fixed-term work
We have continually cautioned readers about the use of fixed-term employment contracts. The reason is simple: should fixed-term contracts be ended early, there is a high probability that dismissed employees may be entitled to payment for the balance of the remaining term.
Holidays in the Sun: Understanding Employee Vacation Rights
As August rolls by, many of us are heading to cottages, beaches, and other exotic places to enjoy some well-earned R&R in the sun. For most (not within the blessed leisure classes) this means requesting time away from work and using our paid vacation time.
Employment statements: now mandatory for federally regulated employers
Due to recent changes to the Canada Labour Code (the “Code”), federally regulated employers are now required to provide workers with written “employment statements”.
How to Update Contracts for Existing Employees in Ontario
From time to time, it may make sense for employers to revise and renew their employment agreements for existing staff. Updating contracts needs to be handled carefully and, as such, this article offers tips and best practices for this process.
Fixed periods of employment are unaffected by unenforceable termination provisions
We often come across fixed-term contracts in our legal practice. Employers have varying reasons for wanting to use such agreements. Perhaps funding for an employee is tied to third party grants, or an employer wants to temporarily replace an existing worker during their period of maternity leave. Whatever the justification, we generally advise employers to think twice before using fixed-term contracts.
Employee’s breach of non-solicitation provision proves costly
It is common for employers to include language in their staff contracts to help safeguard business interests. This may take the form of obligations to protect confidential information and/or refrain from soliciting staff, suppliers and/or clients after the employment relationship ends.
CERB Payments are not Deductible from Wrongful Dismissal Damages
The Canada Emergency Response Benefit (“CERB”) was a form of income replacement offered by the Government of Canada at the start of the COVID-19 pandemic. Eligible recipients could receive $2,000.00 per month during the program’s 28-week duration (which ran from March to September 2020).
When are employers at risk of aggravated damages awards?
Losing a job can be an upsetting experience. This may be especially so where the individual in question had been employed for a long time, was part of a small tight-knit team, or the decision came seemingly out of the blue.
Condonation of an Unpaid Temporary Layoff Requires Positive Action
In Pham v. Qualified Metal Fabricators Ltd., 2023 ONCA 255, the Court of Appeal for Ontario recently issued an important ruling regarding the law of unpaid temporary layoffs.
Is a new test emerging for worker classification?
Workers are usually categorized as an employee or a contractor. Each category comes with its own distinct set of entitlements and obligations. Generally speaking, a contractor is someone in business for themselves, while an employee works for the benefit of another’s business.
Understanding the Changed Substratum Doctrine - Is Your Old Employment Contract Still Enforceable?
Our firm is often retained by employees and employers to provide advice on dismissal entitlements. One of the first places we look in this regard is to the parties’ written employment contract (if one exists). Employers have an incentive to implement written contracts as a means of limiting future dismissal costs. For similar reasons, contracts often come under heavy scrutiny by employees (and their lawyers) whenever a job termination takes place.
Be careful what you wish for: litigation lessons for employers
Hirings and firings are common to workplaces across Ontario. For various reasons, people come and go. Employment dismissals, however, when mishandled, can bring with them significant risk and result in unintended liability.
Five Provisions to Include in Your Employment Agreements
When drafted carefully, written employment contracts can be helpful tools. They provide a clear view of the intended relationship and proactively address common issues that may arise. In so doing, contracts offer transparency and reduce the risk of future disputes.