Thank you to everyone who attended our first of many Luncheon Webinar!
Here are the key takeaways:
1. Changes to Canada’s Work-Sharing Program
Purpose: To help employers avoid layoffs during temporary downturns beyond their control.
Mechanism: Employees work reduced hours, sharing available work, and receive EI benefits to offset lost income.
Standard Program:
Duration: 6–26 weeks (up to 38 weeks with extension)
Requires a cooling-off period equal to the previous agreement's duration
Eligibility: 2+ years in business, ~10% decline in activity, 2+ core employees willing to reduce hours equally
Temporary Expansions (Mar 7, 2025 – Mar 6, 2026):
Extended to 76 weeks
No cooling-off period
Includes newer businesses (1+ year), seasonal/cyclical employers, non-profits
Accepts <10% decline in business activity
Removes the 60% cap on EI support for lost hours
Key Considerations:
Employee consent must be voluntary and in writing
Discuss risk of layoffs transparently
Avoid coercion or threats
2. Termination Clauses in Employment Contracts
Legal Landscape Shift:
Waksdale v. Swegon (2020): Termination clauses must be interpreted “as a whole” and comply fully with ESA
Dufault v. Ignace (2024): Clauses invalidated for not referencing ESA misconduct standard, omitting full compensation definition, and using language like “sole discretion”
Revisions Needed:
Update “just cause” definitions
Reference all non-discretionary compensation
Eliminate vague employer powers
Positive Update:
Bertsch v. Datastealth (2024) upheld a termination clause limited to ESA minimums as enforceable if clear and ESA-compliant
Practical Tip: Use a simplified “Datastealth clause” for ESA-based termination language
3. Leaves of Absence Under ESA
General Info:
All statutory leaves are job-protected, though mostly unpaid
Each leave has unique eligibility and duration
Types of Leaves:
Short-term: Sick, family responsibility
Long-term: Pregnancy, parental, critical illness, family medical, etc.
Emergency: Domestic/sexual violence, bereavement
Specialized: Reservist, organ donor
Employer Duties:
Confirm eligibility (request reasonable documentation)
Provide leave in writing
Continue benefits unless waived in writing
Rehire to the same or comparable job
Do not penalize for leave requests
Best Practices:
Internal leave policies
Manager training
Documentation
Contingency planning
Clear and ongoing communication
4. Working for Workers Acts 4–7
Key Updates:
ESA and WSIA:
Effective July 1, 2025: Employers must maintain clean, sanitary washrooms and keep cleaning logs
Effective Jan 1, 2026: Must post records showing the two most recent cleanings
Digital Platform Workers’ Rights Act:
In force July 1, 2025: Grants rights to digital platform workers (e.g., gig economy)
Bill 30 (Working for Workers Seven Act, 2025):
Introduced May 28, 2025
Contains proposed legislative changes (details pending)
Presented by Ruben Goulart, Christine Krueger, Jennifer Philpott and Arshad Auckbarallee.