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Legislative Changes to Support Federally Regulated Employees

Aug 1, 2024 | Federal, HR Canada, HR Compliance, Legislative Update

On June 20, 2024, two significant legislative acts received royal assent, bringing changes to the Canada Labour Code aimed at enhancing support and protections for federally regulated employees.

Bill C-59: Fall Economic Statement Implementation

Leave Related to Pregnancy Loss

A new three-day paid leave is introduced for employees dealing with pregnancy loss. Recognizing the emotional and physical toll, this leave is designed to support recovery. The leave will come into effect by December 2025, as determined by an order from the Governor in Council.

Leave for Placement of Child

A new 16-week unpaid leave is established for workers handling the responsibilities associated with the placement of a child through adoption or surrogacy. This ensures that employees can access Employment Insurance benefits for adoptive parents without the risk of job loss. The additional week of leave accounts for the waiting period before receiving EI benefits. This provision will come into force through an Order in Council.

Bill C-69: Budget Implementation Act, 2024

Better Protections for Gig Workers

Acknowledging the rising number of gig workers, the legislation aims to protect these workers by enhancing the prohibition against misclassification. The new rules presume employee status unless proven otherwise, ensuring gig workers in federally regulated industries receive the same rights, protections, and entitlements as employees. Legitimate independent contractors remain unaffected by these changes. Guidance documents are available online for more details on this legislation.

The Right to Disconnect

Employers must establish a right-to-disconnect policy, limiting work-related communication outside scheduled hours. This policy aims to protect employee work-life balance and ensure fair compensation for work-related communication during off-hours. Employers are required to:

  • Review and update the policy every three years.
  • Consult with employees during the development and updating of the policy.
  • Keep records of the policy and consultations.
  • Post and provide the policy to employees.

The right-to-disconnect policies are set to come into force in 2025, allowing employers sufficient preparation time.

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