Gov. of Canada Protects Federally Regulated Workers, Bans Use of Replacement Workers

“This is one of the most seminal moments in Canadian labor history," said Minister of Labor Seamus O'Regan. (iPolitics/Andrew Meade photo)

Minister of Labor Seamus O’Regan on June 21 welcomed royal assent of legislative changes to support federally regulated employees when it comes to “accessing the benefits and protections they’re entitled to, maintaining a healthy work-life balance and having the time they need for health challenges or becoming a parent.” Additionally, legislation to ban the use of replacement workers also received royal assent from the Government of Canada.

According to the Government of Canada, changes to the Canada Labor Code will:

• “Protect gig workers’ access to the rights, protections and entitlements of employees under each part of the Code by strengthening the prohibition against misclassification, including through a presumption of employee status.
• “Improve work-life balance by requiring employers to issue right to disconnect policies in consultation with employees or unions.
• “Support workers who have experienced the loss of a pregnancy with a new three-day paid leave.
• “Bring in a new 16-week unpaid leave for parents welcoming children by adoption or surrogacy, ensuring they have job protection when they access a corresponding Employment Insurance benefit once it is fully implemented.”

The Minister “commends the many employers who provide benefits and leaves that go above and beyond the minimum standards of the Labor Code.” For workers in workplaces where this is not the case, these changes, the Government of Canada says, “represent the new minimum standards that all employers will be held to in federally regulated industries,” which includes interprovincial air, rail, road, and marine transportation; pipelines; banks; and postal and courier services.”

Changes to better protect gig workers come into effect immediately; all other changes will require regulations and are expected to come into effect next year to ensure employers have enough time to prepare.

“Right to disconnect. Parental leave. Banning worker misclassification. It’s all about making life better for workers. So, every worker can be at their best,” said O’Regan.

“We are listening to Canadians and making changes to better reflect family life in Canada today,” said Minister of Employment, Workforce Development and Official Languages, Randy Boissonnault. “All parents deserve time to welcome their children home, and all children benefit from that time. I am very pleased that parents going through adoption and surrogacy will soon have the same access as other parents to the time and support they need to welcome their new children home.”

Meanwhile, on June 21, Bill C-58, An Act to amend the Canada Labour Code and the Industrial Relations Board Regulations, 2012, also received royal assent. This legislation, according to the Government of Canada, was developed through extensive consultations with unions and employers and received unanimous support in Parliament. It will “improve labor relations, protect workers’ right to strike, limit interruptions to collective bargaining and provide greater stability to our economy during federal labor disputes.”

Bill C-58, according to the Government of Canada, “represents one of the most significant changes to federal collective bargaining rules since the 1990s.” Specifically, Bill C-58 has two main components:

• “Banning employers from using replacement workers to do the work of unionized employees who are on strike or locked out. Exceptions would apply in situations where there are threats to the health and safety of the public or threats of serious damage to an employer’s property.
• “Improving the maintenance of activities process by requiring employers and unions to come to an agreement early in the bargaining process to determine what work needs to continue during a strike or lockout to ensure the health and safety of the public. The parties will have to reach an agreement no later than 15 days after notice to bargain is issued. If they cannot come to an agreement, the Canada Industrial Relations Board (CIRB) will decide what activities need to be maintained within 82 days.”

The CIRB is the independent administrative tribunal that resolves workplace disputes and certain appeals that arise under the Canada Labour Code (the Code). It will be responsible for enforcing these new changes. These provisions, according to the Government of Canada, will apply to employers and workers in federally regulated sectors covered by Part I of the Code, such as interprovincial and international air, rail, road and marine transportation, banks, telecommunications and postal and courier services.

This legislation, the Government of Canada says, “will improve labor relations, protect workers’ right to strike, and keep parties focused on the bargaining table where the best deals are made, for workers, for employers, and for our economy.” These measures will come into force on June 20, 2025, to give the CIRB time to prepare for its new responsibilities.

“This is one of the most seminal moments in Canadian labor history. Thanks to all the labor leaders, activists and workers who worked so hard over many decades to finally make this happen,” said O’Regan.