Budget Implementation Act, 2018, No. 2 (S.C. 2018, c. 27)
Full Document:
- HTMLFull Document: Budget Implementation Act, 2018, No. 2 (Accessibility Buttons available) |
- PDFFull Document: Budget Implementation Act, 2018, No. 2 [7138 KB]
Assented to 2018-12-13
PART 4Various Measures (continued)
DIVISION 15Modernization of the Canada Labour Code (continued)
SUBDIVISION AR.S., c. L-2Canada Labour Code (continued)
453 The definition vacation pay in section 183 of the Act is replaced by the following:
- vacation pay
vacation pay means the amount an employee is entitled to under section 184.01. (indemnité de congé annuel)
454 Section 184 of the Act is replaced by the following:
Marginal note:Annual vacation with pay
184 Except as otherwise provided by or under this Division, in respect of every year of employment by an employer, every employee is entitled to and shall be granted a vacation with vacation pay of
(a) at least two weeks if they have completed at least one year of employment;
(b) at least three weeks if they have completed at least five consecutive years of employment with the same employer; and
(c) at least four weeks if they have completed at least 10 consecutive years of employment with the same employer.
Marginal note:Calculation of vacation pay
184.01 An employee is entitled to vacation pay equal to:
(a) 4% of their wages during the year of employment in respect of which they are entitled to the vacation;
(b) 6% of their wages during the year of employment in respect of which they are entitled to the vacation, if they have completed at least five consecutive years of employment with the same employer; and
(c) 8% of their wages during the year of employment in respect of which they are entitled to the vacation, if they have completed at least 10 consecutive years of employment with the same employer.
455 Subsection 187.1(2) of the Act is replaced by the following:
Marginal note:Application of section 209.1
(2) If an employee interrupts a vacation to take leave under any of sections 205.1, 206, 206.1 and 206.3 to 206.9 and resumes the vacation immediately at the end of that leave, section 209.1 applies to them as if they did not resume the vacation before returning to work.
456 Paragraph 188(b) of the Act is replaced by the following:
(b) the applicable percentage, under section 184.01, of the wages of the employee during any part of the completed portion of their year of employment in respect of which vacation pay has not been paid to them.
457 (1) Subsection 189(1) of the Act is replaced by the following:
Marginal note:Transfer
189 (1) Despite the lease or transfer of a work, undertaking or business, or any part of a work, undertaking or business, from one employer to another employer by sale, merger or otherwise, the employment of the employee, before and after the lease or transfer, who is employed in or in connection with the operation of that work, undertaking or business, is, for the purposes of this Division, deemed to be continuous with one employer if the work, undertaking or business
Marginal note:Retendering
(1.1) If, due to a contract being awarded through a retendering process, a second employer becomes responsible for carrying out any particular federal work, undertaking or business, or part of one, that was previously carried out by a first employer, an employee who is employed in or in connection with the its operation before and after the retendering, is, for the purposes of this Division, deemed to be continuously employed with one employer.
Marginal note:Non-application
(1.2) Subsections (1) and (1.1) do not apply if the employee’s first day of employment by the second employer is more than 13 weeks after the day that is the earlier of
Marginal note:Period of continuous employment
(1.3) For greater certainty, if an employer’s work, undertaking or business becomes a federal work, undertaking or business due to a change in its activities, for the purposes of this Division, an employee’s period of continuous employment by the employer includes any period in which the work, undertaking or business in or in connection with the operation of which the employee is employed was not a federal work, undertaking or business.
Marginal note:Calculation of period of employment
(1.4) If subsection (1) or (1.1) applies in respect of an employee, any period between their employment by the first employer and their employment by the second employer is not included in the calculation of their period of continuous employment.
Marginal note:Exception
(1.5) For the purposes of an employee’s employment by the second employer, this section does not apply in respect of the calculation of the employee’s entitlement under section 230 if the first employer complied with that section in respect of their employment by that employer.
Marginal note:Exception — severance pay
(1.6) For the purposes of an employee’s employment by the second employer, this section does not apply in respect of the calculation of their entitlement to severance pay under section 235 if the first employer paid them severance pay in respect of their employment by that employer.
(2) Subsection 189(1.5) of the Act is replaced by the following:
Marginal note:Exception
(1.5) For the purposes of an employee’s employment by the second employer, this section does not apply in respect of the calculation of the employee’s entitlement under section 230, if the first employer complied with subsection 212.1(1) or section 230, as the case may be, in respect of their employment by that employer.
458 (1) Subsection 196(1) of the Act is replaced by the following:
Marginal note:Holiday pay
196 (1) Subject to subsections (2) and (4), an employer shall, for each general holiday, pay an employee holiday pay equal to at least one twentieth of the wages, excluding overtime pay, that the employee earned with the employer in the four-week period immediately preceding the week in which the general holiday occurs.
(2) Subsections 196(3) and (5) of the Act are repealed.
459 Subsection 197(3) of the Act is repealed.
460 Paragraph 203(2)(b) of the Act is replaced by the following:
(b) modifying, to the extent that the Governor in Council considers necessary, the provisions of Division I.1, IV, V, VII, VIII, IX, X, XI, XIII or XIV so that, as far as practicable, employees engaged in multi-employer employment will be entitled to the same rights and benefits under that Division as employees employed by one employer.
461 The Act is amended by adding the following after section 203:
DIVISION VI.1Temporary Help Agencies
Marginal note:Application
203.01 This Division applies to an employer who is a temporary help agency and to those of its employees who perform work assignments in its clients’ industrial establishments.
Marginal note:Prohibition
203.1 (1) An employer is prohibited from
(a) charging a fee to a person in connection with him or her becoming its employee;
(b) charging a fee to its employee for assigning or attempting to assign him or her to perform work for a client;
(c) charging a fee to its employee for any assignment or job preparation services, including assisting him or her in preparing resumes or preparing for job interviews;
(d) charging a fee to its employee for him or her establishing an employment relationship with one of its clients;
(e) charging a fee to a client for establishing an employment relationship with an employee if the day on which the employee’s first assignment with the client started is more than six months before the day on which the client establishes the employment relationship with the employee; and
(f) preventing or attempting to prevent an employee from establishing an employment relationship with a client.
Marginal note:Payment
(2) If an employee pays any fee described in any of paragraphs (1)(a) to (d), the employer must pay to the employee an amount equal to that fee.
Marginal note:Equal treatment
203.2 (1) An employer is prohibited from paying an employee a rate of wages that is less than the rate the client pays to its employee if
(a) they work in the same industrial establishment;
(b) they perform substantially the same kind of work;
(c) the performance of that work requires substantially the same skill, effort and responsibility;
(d) their work is performed under similar working conditions; and
(e) any other factor that may be prescribed by regulation is present.
Marginal note:Exception
(2) Subsection (1) does not apply if the difference in employees’ rates of wages is due to a system based on
Marginal note:Prohibition — reduction in rate of wages
(3) A client is prohibited from reducing their employee’s rate of wages in order to enable the employer to comply with subsection (1).
Marginal note:Request for review
203.3 (1) If an employee who believes that their rate of wages does not comply with subsection 203.2(1) makes a written request to the employer for a review of the rate, the employer must, within 90 days after receiving the request, conduct a review of the employee’s rate of wages and provide the employee with a written response that includes
Marginal note:Payment of wages
(2) If an employer increases an employee’s rate of wages in order to comply with subsection 203.2(1), the employer must pay the employee an amount equal to the difference between the two rates of wages from the day on which the employee makes their request under subsection (1) to the date on which the employer starts paying the employee the increased rate of wages.
Marginal note:Prohibition — dismissal etc.
(3) An employer is prohibited from dismissing, suspending, laying off, demoting or disciplining an employee because the employee has made a request under subsection (1) or taking such a request into account in any decision to promote or train the employee or to provide an assignment to them.
Marginal note:Inspections and complaints
203.4 If an inspection that relates to an employer’s compliance with this Division is carried out under this Part or a complaint is made under section 251.01(1) that relates to the contravention of this Division by the employer, section 249 applies in respect of the employer’s clients as if they were the employer.
Marginal note:Regulations
203.5 The Governor in Council may make regulations
(a) defining any term for the purposes of this Division;
(b) setting out factors for the purpose of paragraph 203.2(1)(e);
(c) setting out criteria for the purpose of paragraph 203.2(2)(d);
(d) modifying the provisions of any section of this Division for the purpose of the application of this Division to any class of employees; and
(e) exempting any class of employees from the application of any provision of this Division.
- Date modified: