Deputy Minister of Labour - Labour Program Mandate briefing binder March, 2021

Mandate Letters

Minister of Labour Mandate Letter, 2019, the Prime Minister of Canada website.

Minister of Labour Supplementary Mandate Letter, 2021, the Prime Minister of Canada website.

Labour mandate

Legislation under the purview of the Minister of Labour

Text description of Figure 1

The Labour Program is responsible for promoting safe, healthy, fair and inclusive work conditions and cooperative workplace relations through legislation, programs and services.

6 pieces of legislation fall under the purview of the Minister of Labour.

Each of the 6 Acts cover different sectors in the federal jurisdiction. The number of employees covered by each Act also varies.

The 6 pieces of legislation included in the mandate of the Minister of Labour are as follows:

• Canada Labour Code
• Wage Earner Protection Program Act
• Employment Equity Act
• Pay Equity Act (not yet in force)
• Government Employees Compensation Act
• Non-Smokers Health Act

The Canada Labour Code

The Canada Labour Code has 4 parts:

• Part I (Industrial Relations) governs workplace relations and collective bargaining
• Part II (Occupational Health and Safety) aims to prevent workplace-related accidents and injuries, including occupational diseases
• Part III (Labour Standards) sets employment conditions and provides protection for employees
• Part IV (effective January 1, 2021) provides for Administrative Monetary Penalties (AMPs) and the naming of non-compliant employers and sets out review and appeal procedures for the new AMPs regime

Part I of the Canada Labour Code covers approximately 992,000 employees in the following sectors:

• the federal private sector
• the territorial private sector
• federal Crown corporations
• First Nation Band Councils and Indigenous Self-Governments (certain activities), and
• municipal governments in the territories

Part II of the Canada Labour Code covers approximately 1.3 million employees in the following sectors:

• the federal private sector
• the federal public sector, including:
  • the Public Service
  • federal Crown corporations
  • agencies
  • the Royal Canadian Mounted Police
  • the Canadian Armed Forces (civilian employees only)
• the Parliamentary precinct (for example, Minister’s offices, Senate, House of Commons, Library), and
• First Nation Band Councils and Indigenous Self-Governments (certain activities)

Part III of the Canada Labour Code covers approximately 955,000 employees in the following sectors:

• the federal private sector
• federal Crown corporations, and
• First Nation Band Councils and Indigenous Self-Governments (certain activities)

Part IV of the Canada Labour Code (effective January 1, 2021) covers approximately 1.3 million employees in the following sectors:

• the federal private sector
• the federal public sector, including:
  • the Public Service
  • federal Crown corporations
  • agencies
  • the Royal Canadian Mounted Police
  • the Canadian Armed Forces (civilian employees only)
• the Parliamentary precinct (for example, Minister’s offices, Senate, House of Commons, Library), and
• First Nation Band Councils and Indigenous Self-Governments (certain activities)

The Wage Earner Protection Program Act

The Wage Earner Protection Program Act provides for the payment of outstanding eligible wages to individuals whose employer is bankrupt or subject to a receivership. The Wage Earner Protection Program Act covers approximately 12.3 million employees in the following sectors:

• the federal private sector
• the territorial private sector, and
• the provincial private sector

The Employment Equity Act

The Employment Equity Act advances equality in the workplace so that no one is denied employment opportunities or advancement for reasons unrelated to ability. The Act also aims to correct the conditions of disadvantage in employment experienced by women, Aboriginal peoples, persons with disabilities, and members of visible minorities. The Employment Equity Act covers approximately 1.3 million employees in the following sectors:

• the federal private sector
• federal contractors (applies to contractors with over 100 employees receiving contracts of more than $1 million from the Government of Canada)
• the federal public sector, including:
  • the public service (Treasury Board and the Public Service Commission carry out employer obligations for the core federal public administration. The President of Treasury Board tables public sector reports to Parliament each year)
  • federal Crown corporations
  • agencies (Treasury Board and the Public Service Commission carry out employer obligations for the core federal public administration. The President of Treasury Board tables public sector reports to Parliament each year)
  • the Royal Canadian Mounted Police (Treasury Board and the Public Service Commission carry out employer obligations for the core federal public administration. The President of Treasury Board tables public sector reports to Parliament each year)
  • Canadian Armed Forces (Treasury Board and the Public Service Commission carry out employer obligations for the core federal public administration. The President of Treasury Board tables public sector reports to Parliament each year)
• First Nation Band Councils and Indigenous Self-Governments (certain activities)

The Pay Equity Act

The Pay Equity Act (not yet in force) governs the proactive pay equity regime in Canada. The Act requires employers with 10 or more federally regulated employees to examine their compensation practices to ensure that women and men receive equal pay for work of equal value. The Pay Equity Act covers approximately 1.3 million employees in the following sectors:

• the federal private sector
• federal contractors (applies to contractors with over 100 employees receiving contracts of more than $1 million from the Government of Canada)
• the federal public sector, including:
  • the public service
  • federal Crown corporations
  • agencies
  • the Royal Canadian Mounted Police
  • the Canadian Armed Forces
• the Parliamentary precinct (for example, Minister’s offices, Senate, House of Commons, Library), and
• First Nation Band Councils and Indigenous Self-Governments (certain activities). The Pay Equity Act will apply to First Nation Band Councils after consultations are held and a regulatory process has been completed

The Government Employees Compensation Act

The Government Employees Compensation Act provides benefits to federal employees (or their dependants) who suffer an injury or illness arising out of or in the course of their employment. The Government Employees Compensation Act covers approximately 440,000 employees (or their dependants) in the following sectors:

• the federal public sector, including:
  • the public service
  • federal Crown corporations
  • agencies
  • the Royal Canadian Mounted Police (RCMP reservists are eligible for coverage under the Government Employees Compensation Act)
  • the Canadian Armed Forces (Canadian Armed Forces reservists are eligible for coverage under the Government Employees Compensation Act)
• the Parliamentary precinct (applies to some parliamentary employers such as the Senate, the House of Commons and the Library of Parliament)

The Non-Smokers’ Health Act

The Non-Smokers’ Health Act restricts and regulates smoking in work spaces. The Non-Smokers’ Health Act covers approximately 1.3 million employees in the following sectors:

• the federal private sector
• the federal public sector, including:
  • the public service
  • federal Crown corporations
  • agencies
  • the Royal Canadian Mounted Police
  • the Canadian Armed Forces (civilian employees only)
• the Parliamentary precinct (for example, Minister’s offices, Senate, House of Commons, Library)
• First Nation Band Councils and Indigenous Self-Governments (certain activities)

For more information on current and future legislative and regulatory changes, visit: Canada.ca/labour

Overview

The mandate of the Minister of Labour is to promote safe, healthy, fair and inclusive work conditions and cooperative workplace relations in federal private-sector industries and, in some cases, for the federal public service and other federal establishments. This is accomplished through the development and administration of labour-related legislation and policies designed to regulate the employment relationship and improve the work environment for the benefit of workers (and their families), employers, the national economy and Canadian society as whole.

Key areas of responsibility under the federal labour mandate are:

• promotion and facilitation of constructive industrial relations including labour dispute prevention and resolution activities (mediation and conciliation)
• promotion and enforcement of occupational health and safety standards
• promotion and enforcement of labour standards (for example, hours of work, payment of wages, protected leaves and rights on termination of employment)
• promotion of employment equity for women, persons with disabilities, Indigenous people and visible minorities
• management of workers’ compensation for employees of the federal government
• restriction and regulation of smoking in any federally regulated work space including aircraft, trains and ships, except in designated smoking areas, and
• promotion of equal pay for work of equal value (in other words, pay equity)

Federal jurisdiction

Under the Canadian Constitution, responsibility for labour matters is divided between the federal government and the provinces and territories. Most of the legislation for which the federal Minister of Labour is responsible applies to the following sectors:

• marine shipping, ferry and port services
• air transportation, including airports, navigation, aerodromes and airlines
• rail and road (truck, bus) transportation that crosses provincial or international borders
• canals, pipelines, tunnels and bridges that cross provincial or international borders
• banks
• telecommunications
• radio and television broadcasting
• Crown corporations (for example, Canada Post, Via Rail)
• certain activities (in other words, governance and administration) of First Nations band councils and Indigenous self-governments, and
• industries declared by Parliament to be “for the general advantage of Canada or for the advantage of 2 or more of the provinces”, such as grain handling and uranium mining

There are approximately 18,500 employers in these sectors that together employ 955,000 employees (or 6.2% of the Canadian workforce), the vast majority (87%) of whom work in medium to large-size firms (in other words those with 100 or more employees).

Although a relatively small share of enterprises and employees fall under the Minister of Labour’s mandate, they make a vital contribution to Canada’s economy and the well-being of Canadians. For example, in 2019, the federal private sector and Crown corporations alone generated direct economic activity accounting for about 9%, or $207 billion, of Canada’s total economic output (Gross Domestic Product). The critical infrastructure services provided by these employees, such as banking, transportation and telecommunications, is essential for the well-being of Canadians through the support they provide to the rest of the Canadian economy. For example, natural resource and agriculture producers depend on the ports and the rail companies to export their products; retail firms depend on the ports and rail and trucking companies to import goods, either from overseas or from the U.S. or Mexico.

Detailed notes on each area of responsibility of the mandate are provided, but it may be useful to note that some legislation for which the Minister of Labour is responsible covers a larger or smaller number of enterprises and employees:

• industrial relations responsibilities, like mediation and conciliation, also apply to private-sector firms and municipalities in the 3 territories
• occupational health and safety responsibilities, including provisions on workplace violence and harassment, also apply to the federal public service, the Royal Canadian Mounted Police (RCMP) and employees on Parliament Hill
• pay equity responsibilities also apply to the federal public service, the RCMP and employees on Parliament Hill, but do not apply to employers with fewer than 10 employees
• employment equity responsibilities extend to the federal public service, the Canadian Forces and the RCMP, and to firms regulated by provinces and territories who contract with the federal government, but do not apply to firms with fewer than 100 employees
• workers’ compensation responsibilities apply only to federal government employees

Text description of Figure 2

The estimated shares of employees in the federal jurisdiction, by industry, are as follows:

• Banks 28%
• Road transportation 16%
• Telecommunications and broadcasting, including CBC 16%
• Postal services, including Canada Post, and pipelines 14%
• Air transportation, including airport authorities 12%
• Rail transportation, including VIA Rail 7%
• Feed, flour, seed and grain 2%
• Maritime transportation, including ports 2%
• Miscellaneous industries such as uranium mining, federal government museums, oil and gas extraction in the territories 3%

Industries under federal jurisdiction also include federal Crown corporations. The estimated shares of employees in the federal jurisdiction exclude employees in First Nation Band Councils and Indigenous Self-Governments.

Source: Statistics Canada, Federal Jurisdiction Workplace Survey, 2015

Industrial relations

Part I of the Canada Labour Code (Code) is the legislative framework governing workplace relations and collective bargaining for private-sector employers and trade unions under federal jurisdiction. Part I also applies to private-sector and municipal employers and employees in Yukon, Nunavut and the Northwest Territories. In 2019, approximately 992,000 employees (or 6.2% of all Canadian employees) were employed in enterprises subject to Part I. About 35% of these workers were covered by a collective agreement.

The Minister of Labour is responsible to Parliament for the administration of the Code. The Federal Mediation and Conciliation Service of the Labour Program administers the dispute resolution provisions of the Code. The Canada Industrial Relations Board (CIRB) is an independent tribunal whose mandate includes the determination of collective bargaining rights, unfair labour practices, illegal strikes and lockouts, activities to be maintained during a strike or lockout, and the adjudication of certain other matters (for example, claims by non-unionized employees about unfair dismissal).

The Code sets out the following general framework for collective bargaining in the federally regulated private sector:

• exclusive bargaining rights are granted by the CIRB to unions (also referred to as bargaining agents) when they can demonstrate majority support from employees
• the parties have an obligation to negotiate in good faith
• collective agreements establish the terms and conditions of employment between the parties. The agreements must be of a fixed term of at least a year, and strikes and lockouts are not permitted while a collective agreement is in force
• the bargaining process begins when a notice to bargain is given by 1 party to the other to start negotiating the renewal of a collective agreement
• when a notice of dispute is received from 1 of the parties, the Minister may (and almost always does) appoint a conciliation officer to assist the parties in resolving their differences
• the conciliation process is normally for a period of 60 days unless it is extended by the parties by mutual agreement. At the end of the conciliation period, a 21-day “cooling off” period begins
• the employer can give the union a 72-hour notice of a lockout, or the union can serve the employer a 72-hour notice of a strike, and they must notify the Minister, prior to the end of the 21-day cooling off period. However, a legal work stoppage cannot take place until the 21 days have expired
• a legal strike or lockout cannot take place until the following conditions are met:
  • a notice to bargain has been given
  • the conciliation process has taken place
  • 21 days have elapsed since the end of the conciliation process
  • a strike vote has been taken, and
  • a 72-hour strike or lockout notice has been given
• the Minister can refer specific issues to the CIRB. For example, parties must have an agreement on the maintenance of services during a work stoppage to prevent an immediate and serious danger to the safety or health of the public, if any. Where they cannot reach such an agreement, or the agreement seems insufficient, the Minister may refer the matter to the CIRB for determination
• such a referral suspends the parties’ acquisition of strike or lockout rights until a decision is rendered by the CIRB if the referral is made before the beginning of a work stoppage
• the Minister may appoint a mediator at any time, either at the request of the parties, or on the Minister’s own initiative. The appointment of a mediator does not influence the acquisition of the right to strike or lockout

Other important provisions of Part I of the Code include:

• a range of unfair labour practices relating to employers and unions
• offences and penalties for actions by employers, trade unions or individuals that are contrary to the Code’s provisions
• general provisions relating to the promotion of industrial peace, including the power to appoint industrial inquiry commissions and refer questions to the CIRB, and
• the appointment of members of the CIRB is made on the recommendation of the Minister

The Labour Program’s Federal Mediation and Conciliation Service offers employers and unions dispute resolution assistance through the services of conciliation and mediation officers whose job is to assist the parties in reaching a collective agreement. During fiscal year 2019 to 2020, conciliation and mediation officers dealt with 210 collective bargaining disputes. 93% of all disputes that were referred to the Federal Mediation and Conciliation Service (and settled in 2019 to 2020) were resolved without a work stoppage.

Conciliation and mediation officers also offer dispute prevention and relationship development services intended to help employers and unions build and maintain constructive working relationships while the collective agreement is in force. During fiscal year 2019 to 2020, the Dispute Prevention and Relationship Development Program (DPRDP) held a total of 109 dispute prevention and relationship development sessions for a total of 156 days. Of these, facilitation services represented the highest number of sessions, while workshop delivery and grievance mediation were also significant contributors.

Occupational health and safety

The purpose of Part II of the Canada Labour Code (Code) is to prevent workplace‑related accidents and injuries, including occupational diseases. It applies to private sector employers in the federal jurisdiction, Crown corporations, the federal public service, and as of July 29, 2019, to Parliamentary workplaces (for example, House of Commons, Senate).

Under the Code, employers have a general obligation to protect the health and safety of employees while at work, as well as non-employees (for example, contractors or members of the public) who are granted access to the workplace. It also places obligations on employees and health and safety committees or representatives to help prevent occupational-related injuries and diseases.

The standards in Part II and its related regulations cover matters such as:

• the right to know about every known or foreseeable health or safety hazard in the area where they work
• the right to participate in identifying and correcting job-related health and safety concerns
• the right to refuse dangerous work
• the requirement for all workplaces with 20 or more employees to establish a workplace health and safety committee
• the duties of the health and safety committee and health and safety representative
• the requirements for protective equipment and other preventative measure
• the requirements for first aid
• the reporting requirements of a hazardous occurrence to the Minister
• the powers and duties of the Minister, the majority of which are delegated to Health and Safety Officers (HSO) and Senior Investigators through a delegation instrument
• the requirements to develop, implement and monitor a program for the prevention of hazards, and
• work place harassment and violence prevention

Many specific rules and requirements are also outlined in regulations enabled by Part II of the Code, such as:

• Canada Occupational Health and Safety Regulations
• Aviation Occupational Health and Safety Regulations
• Maritime Occupational Health and Safety Regulations
• On Board Trains Occupational Safety and Health Regulations
• Oil and Gas Occupational Safety and Health Regulations
• Policy Committees, Work Place Committees and Health and Safety Representatives Regulations
• Work Place Harassment and Violence Prevention Regulations

Compliance with Part II is achieved using a variety of approaches, including education, counseling, and assurance of voluntary compliance. Part II also establishes offences for non-compliance, and allows for directions and prosecutions.

When an HSO issues a direction, the HSO’s role is “functus officio” and the direction cannot be changed or withdrawn unless it is appealed. This means that the appeals hearing is considered de novo (new), and although it reviews the records, new evidence/information is considered in making the determination. If a workplace party wishes to appeal a direction or decision made by an HSO or Senior Investigator, there is an arms-length appeal process laid out in the Code and administered by the Canadian Industrial Relations Board.

Transport Canada (TC) and the Canada Energy Regulator (CER) have roles in administering Part II, on behalf of the Labour Program, for persons working in the on-board aviation, marine and rail, and in the oil and gas industries.

The Labour Program’s relationships with TC and CER are governed by Memoranda of Understanding. Certain health and safety services are also administered by the provinces through Memoranda of Understanding in specific sectors (such as uranium mines and mills in Saskatchewan, mining and smelting in Manitoba and nuclear facilities in Ontario).

The new Work Place Harassment and Violence Prevention Regulations came into force on January 1, 2021. A new Part IV of the Code also came into force on January 1, 2021, allowing the establishment of an administrative monetary penalty regime with the goal of promoting and encouraging compliance with occupational health and safety and labour standards requirements. The regulations designate violations and establish penalty amounts (not exceeding $250,000), and prescribe certain elements related to public naming of employers that have committed a violation.

Finally, January 1, 2021 was also the date when the Minister of Labour designated a Head of Compliance and Enforcement (HOCE). The HOCE exercises the powers and performs administrative duties and functions currently conferred on inspectors, regional directors and the Minister of Labour by the Code. The Minister will still have key responsibilities at the policy level. The HOCE will have authority to delegate to any qualified person any of these powers, duties or functions. This measure is intended to improve client service through improved oversight and consistency in program delivery, greater operational flexibility and specialization, and the optimization of workloads.

The delegation instruments were updated to reflect the changes introduced on January 1, 2021. Additional updates to the instruments will be needed likely early in the new fiscal year, as further regulatory changes are introduced, including transitioning all the regulations made pursuant to the Code under the authority of the HOCE.

Application of Part II of the Canada Labour Code to parliamentary employees

Work Place Harassment and Violence Prevention Regulations

Bill C-65, An Act to amend the Canada Labour Code (harassment and violence), the Parliamentary Employment and Staff Relations Act and the Budget Implementation Act, 2017, No. 1 is legislation aimed at ensuring that federally regulated workplaces, and Parliament Hill, are free from harassment and violence. The Bill received Royal Assent on October 25, 2018, and the legislation and associated Work Place Harassment and Violence Regulations (the Regulations) came into force on January 1, 2021.

Starting in fiscal year 2018 to 2019, the Government of Canada has committed $34.9 million over 5 years to support the implementation of Bill C-65. This includes $7.4 million annually, of which $3.5 million annually is dedicated to grants and contributions through the Workplace Harassment and Violence Prevention Fund. The remaining funding has been used to develop training programs for labour inspectors, create an awareness campaign, provide educational materials and tools to workplace parties, hire additional labour investigators, put in place an outreach hub accessible through a 1-800 number and support regulatory development and enforcement activities.

The new Harassment and Violence Prevention regime:

• includes a new definition of harassment and violence: any action, conduct, or comment, including of a sexual nature, that can reasonably be expected to cause offence, humiliation or other physical or psychological injury or illness to an employee, including any prescribed action, conduct or comment
• amended the purpose of Part II to explicitly include the prevention of harassment and violence, and physical and psychological injuries and illnesses
• requires employers to follow steps of a resolution process within specific timelines when responding to notifications of harassment and violence
• requires employers to ensure that all employees receive harassment and violence prevention training, and
• adds privacy protections and new employer obligations towards former employees

Labour standards

Part III of the Canada Labour Code (the Code) establishes the conditions of work and provides protection for employees in the federally regulated private sector and most federal Crown corporations. Part III does not apply to the federal public service or employees of Parliament.

Employers have an obligation to provide the minimum labour standards in Part III, such as:

• hours of work (maximum of 48 hours/week; overtime after 8 hours/day or 40 hours/week; right to refuse overtime; 96 hours’ notice of work schedules; 24 hours’ notice of shift changes; unpaid 30-minute breaks; nursing and medical breaks; 8-hour rest period between shifts)
• the right to request flexible work arrangements (for example, changes to hours worked, work schedule and location of work)
• minimum wages (rate set by province in which work is performed)
• annual vacation (2 weeks; 3 weeks after 5 years; 4 weeks after 10 years)
• general holidays (9 holidays/year)
• severance pay (2 days’ pay per year, with a minimum of 5 days’ pay)
• individual termination (2 weeks’ notice or pay in lieu)
• group termination (for terminations of 50 or more employees in a 4 week period in the same industrial establishment, 16 weeks’ notice must be provided and a joint planning committee established)
• unjust dismissal (recourse for non-unionized employees who have at least 12 months of continuous employment)
• the requirement to insure their long-term disability plans, and
• the prohibition from misclassifying employees (in other words, treating them as if they were not employees) in order to avoid obligations under Part III of the Code or to deprive employees of their rights

Employers are also prohibited from taking any disciplinary actions against an employee because of the employee’s genetic test results, or because the employee refused to take a genetic test or disclose the results. Employees may file complaints with the Labour Program if the employer collected or used the genetic test results without the employee’s written consent.

Complaints related to third-party disclosure of genetic testing results, are filed with the Privacy Commissioner of Canada or with the provincial Privacy Commissioner in the province in which the employee resides.

Part III also provides for different types of leave, generally without pay:

• maternity-related reassignment leave (up to the 24th week after birth, if unable to work because there is a risk to the pregnant or nursing mother or her child and no reassignment or modification of job functions is reasonably practicable, or if the employee is unable to work because of pregnancy or nursing)
• maternity* (up to 17 weeks) and parental* (up to 63 weeks) leaves (up to 78 weeks when combined; up to 86 weeks when combined and the parental leave is shared)
• compassionate care* leave to provide care and support to a family member who has a serious medical condition with a significant risk of death within 26 weeks (up to 28 weeks in a 52-week period)
• leave for critically ill children* (up to 37 weeks) and adult* (up to 17 weeks)
• leave for parents of murdered** (up to 104 weeks) and missing** (up to 52 weeks) children
• personal leave (up to 5 days, first 3 days with pay)
• leave for victims of family violence (up to 10 days, first 5 days with pay)
• leave for traditional Aboriginal practices (up to 5 days)
• leave for court or jury duty (unlimited time for jury selection, to serve on a jury or to attend court as a witness)
• bereavement leave (up to 5 days, 3 days with pay)
• medical* leave (up to 17 weeks) that can be taken for personal illness or injury, organ or tissue donation, and medical appointments
• work-related illness and injury leave (for the duration of the employee’s recovery)
• leave for Members of Reserve force (to attend all types of Canadian Armed Forces military skills training, plus time necessary to participate and recuperate from designated operations)
• new job-protected unpaid leave for the purposes of quarantine (up to 16 weeks)
• temporary unpaid job-protected leave related to COVID-19 aligned with the Canada Recovery Caregiving Benefit and the Canada Recovery Sickness Benefit (ending September 25, 2021)

* The protected leaves generally align with Employment Insurance special benefits and the Canadian Benefit for Parents of Young Victims of Crime.

** The protected leaves (partly for missing children) align with the Canadian Benefit for Parents of Young Victims of Crime.

Administrative Monetary Penalties – Part IV of the Canada Labour Code

Budget Implementation Act, 2017, No. 1 (Bill C-44) included new compliance and enforcement measures under the Canada Labour Code (the Code) to address long-standing concerns about the lack of adequate enforcement tools. Bill C-44 created a new Part IV (Administrative Monetary Penalties (AMPs)) of the Code, which came into force on January 1, 2021. AMPs are intended to promote compliance with occupational health and safety and labour standards requirements, and to supplement and reinforce existing enforcement tools under the Code. It is not intended to be overly punitive, but to deter non-compliance.

Between April 1, 2016, and March 31, 2020, non-compliance with Part II and Part III of the Code has persisted:

• Part II, about 50,500 violations were identified regarding approximately 2,340 employers, with about 43% being repeat offenders. Only 28% of serious and 47% of non-serious hazardous occurrences were reported on time
• Part III, about 10,300 violations were identified regarding approximately 2,710 employers, with about 26% being repeat offenders, which took multiple interventions to bring them into compliance

The AMP system consists of the legislative and regulatory framework, and operational policy. The Administrative Monetary Penalties (Canada Labour Code) Regulations (the AMPs Regulations) were published in the Canada Gazette, Part II, on Dec. 23, 2020 and the Interpretation Policy Guideline (IPG) has been finalized in collaboration with stakeholders. The IPG sets out national guidelines and defines the scope of Part IV of the Code and the AMPs Regulations. Its objective is to ensure stakeholders understand when an AMP will be issued, who will issue an AMP, and to know where an AMP fits within the compliance and enforcement continuum under Part II and Part III of the Code.

Prior to Part IV coming in force, enforcement measures included assurances of voluntary compliance (AVCs), directions and orders, but were not sufficient in all cases to promote ongoing compliance. AMPs offer an alternative measure for cases that do not warrant a prosecution. With some exceptions, issuance of an AMP may result from continued or recurring non-compliance with the Code and its Regulations where attempts at obtaining voluntary compliance have failed.

Part IV of the Code prescribes that an AMP may be issued to any person (including a corporation) or a department. Part IV applies to any department in, or other portion of, the federal public administration, to which Part II applies. A Minister of the Crown can be issued an AMP with respect to a Part II violation as an employer of exempt staff covered by the Public Service Employment Act (PSEA).

The AMPs Regulations include schedules designating all provisions that specify legal obligations under Part II and Part III of the Code and related regulations as violations, and classify the violations on a scale of increasing severity from “A” to “E”, based on the gravity of the conduct. The associated classification is tied to an AMP amount. A transitory provision was included in the AMPs Regulations, which provides that AMPs for Type A (administrative) violations will only be issued on and after January 1, 2022. This will allow stakeholders to adjust to new Code provisions, and to familiarize themselves with their obligations under Part IV.

The AMPs Regulations also specify the base penalty amounts, which vary depending on the type of person or department believed to have committed a violation, and the classification of the violation. A history of non-compliance may increase the AMP amount. A penalty amount may be reduced by half if it is paid within 20 days after the AMP was served. This option is available exclusively in cases where the alleged violation falls under a Type A, B or C classification. Once a person makes the payment, they will be considered to have committed the violation and all related proceedings are closed.

A person or department that is served with an AMP may, within 30 days of service request an administrative review of the penalty, the facts of the alleged violation, or both. An appeal may be requested within 15 days from when the review decision is served. If no appeal is requested, the AMP must be paid as determined by the review decision. Appeals will be heard by the Canada Industrial Relations Board.

The designation of a Head of Compliance and Enforcement (HOCE), with the continued support of the Labour Program’s inspectorate, intends to improve oversight and consistency in program delivery, provide greater operational flexibility and better align the different parts of the Code. As an added measure, the Labour Program has assembled a team of experts to ensure national consistency in the implementation of the new AMPs system.

AMPs constitute a debt to the Crown and are recoverable in the Federal Court or any other court of competent jurisdiction (for example, Federal Court of Appeal, Ontario Superior Court). In the event of unpaid AMP amounts, the Canada Revenue Agency will be responsible for AMP collection activities, in accordance with their role to collect certain ESDC and Canada Employment Insurance Commission debts.

To further strengthen compliance with Part II and Part III of the Code and their related regulations, Part IV of the Code allows for the names and information regarding employers who have received an AMP to be published. Information will be published after all review and appeal processes have been exhausted. When there has been a category B, C, D or E violation, employers will be publically named for a minimum of two years after the AMP is paid and compliance with the Code is achieved.

Employment equity and pay transparency

Federal Workers Compensation Services

The Government Employees’ Compensation Act (GECA) provides benefits to federal public sector employees (or their dependants) who suffer an occupational injury or illness arising out of or in the course of their employment, or who are slain on duty. GECA currently covers approximately 435,600 employees.

The legislation applies to federal departments and agencies, most Crown corporations, and some parliamentary employers such as the Senate, the House of Commons and the Library of Parliament. It does not apply to regular members of the Canadian Armed Forces or to members of the Royal Canadian Mounted Police (these organizations administer their own workers’ compensation systems).

The GECA is administered by the Labour Program’s Federal Workers’ Compensation Service (FWCS) in partnership with provincial workers’ compensation boards (WCBs). Business relationships between the Labour Program and WCBs are governed by bilateral service agreements (which are signed by the Deputy Minister).

WCBs adjudicate compensation claims according to the laws and policies of their jurisdiction. A WCB verifies the incident details, adjudicates the claim, and provides compensation and benefits to the injured employee. Either the employee or the employer may request a review of a WCB claim determination or may appeal the decision to an external tribunal.

Through FWCS, federal employers reimburse WCBs for GECA claims costs plus an administrative fee, as set out in the service agreements.

The GECA also establishes a workers’ compensation regime for locally engaged staff (LES) abroad. LES may be entitled to compensation under the GECA if they are not otherwise entitled to compensation under any foreign country workers’ compensation legislation. FWCS processes and adjudicates GECA claims for LES.

When the workplace incident is caused by a third party—for example, the employee is struck by a car—the employee may choose to either sue the third party or claim compensation under the GECA. Where the employee chooses to claim compensation, the employee transfers their right to sue to the Labour Program. The Labour Program then attempts to recover appropriate damages from the third party who may be partially or wholly responsible for the injury.

In fiscal year 2019 to 2020, there were about 27,700 active claims and the total claims costs were $197.1 million. This total includes $42 million in administrative costs charged by the WCBs.

The FWCS also administers the following:

• Merchant Seamen Compensation Act: Benefits for seamen who are not otherwise eligible for workers’ compensation under federal or provincial legislation (In fiscal year 2019 to 2020, there were 5 active claims being monitored for payments by employers to beneficiaries)
• Public Service Income Benefit Plan for Survivors of Employees Slain on Duty: Benefits to employee’s spouse and children where death caused by unlawful violence while on duty (currently 9 survivors’ pensions being administered)
• Corrections and Conditional Release Regulations: Program support to Correctional Services Canada administering permanent disability awards to federal inmates (approximately 12 new claims per year)

Non-smokers’ health

The Non-smokers’ Health Act (NSHA) and the Non-smokers’ Health Regulations (NSHR) restrict and regulate smoking in work spaces under federal jurisdiction, including the federal private sector, federal Crown corporations, designated federal agencies, the Royal Canadian Mounted Police, the federal public service and Parliament.

A key objective of the NSHA is to protect non-smokers from second-hand smoke in the workplace. To that end, all persons (including employees and members of the public) are prohibited from smoking in any federally regulated work space, including aircraft, trains and ships, except in designated smoking areas. Rooms or areas that may be so designated are specified by regulations and are highly restricted (for example, a living accommodation, a motor vehicle to which only 1 person has access during a shift).

Administration of the NSHA is the joint responsibility of the Minister of Labour and the Minister of Transport. The former is responsible for the Act’s application to federally regulated workplaces and the latter for its application to common federally regulated transportation carriers (in other words, any company that transports goods or people, such as aircraft, public transportation and shipping carriers).

The Minister of Labour is solely responsible for designating inspectors to ensure compliance with the Act. Fines for offences range from $1,000 to $10,000 for employers and $50 to $1,000 for individuals.

Since 2013, there have been a total of 4 complaints under the NSHA. All complaints were investigated and none was determined to be founded.

To date, there have been no prosecutions initiated under the NSHA. There also have been no fines issued since 2010.

There are significant challenges to enforcement of the NSHA

• powers of the inspector are limited to the entry into the workplace at a reasonable time and the inspection of that workplace
• the inspector cannot arrest someone who is smoking and may not have the power to ask the smoker to identify him or herself
• the inspector cannot seize the cigarette butt or the cigarette package
• difficulty in proving that the cigarette butt constitutes a “tobacco product” without asking a botanist to testify
• as explained below, the ticketing system in the Non-smokers Health Regulations cannot be used as no administrative procedures have been put in place.

In 1992, Parliament passed the Contraventions Act to establish an alternative procedure to the summary conviction process in the Criminal Code. At the time provinces and territories expressed concerns over having to deal with new procedures which differed from their respective offence scheme. Consequently in 1996, the Contraventions Act was amended to permit the drafting of a regulation, the Application of Provincial Laws Regulations, to apply the offence scheme of a province/territory to federal contraventions committed there. (The Contraventions Act came into force on August 1, 1996.)

Two additional conditions were necessary for the system to be operational. NSHA offences needed to be designated as contraventions by the Contraventions Regulations, which was done on May 13, 1998. The other requires an agreement with the provinces/territories respecting the administration and procedures for implementation, however, to date, not all provinces have agreed to sign.

This means that the violation ticket in the Non-smokers’ Health Regulations cannot be used, and only provincial tickets must be used, which vary with the provinces and within the court districts.

The fines in Schedule II of the Non-smokers’ Health Regulations cannot be used when using provincial tickets, the fines in Schedule VII of the Contraventions Regulations must be used.

Bill S-5, An Act to amend the Tobacco Act and the Non-smokers’ Health Act and to make consequential amendments to other Acts, received Royal Assent on May 23, 2018. The amendments subject vaping products used in federally regulated workplaces to the same prohibitions as tobacco use.

Bill C-45, An Act respecting cannabis and to amend the Controlled Drugs and Substances Act, the Criminal Code and other Acts, received Royal Assent on June 21, 2018. It amended the NSHA to prohibit the smoking and vaping of cannabis in workplaces. The amendments place restrictions on these products in line with the prohibitions on tobacco use.

The definition of work space in the NSHA was also amended to mean any indoor or other enclosed space , or any outdoor space or class of outdoor space designated in the regulations,  in which employees perform the duties of their employment, and includes any adjacent corridor, lobby, stairwell, elevator, cafeteria, washroom or other common area, and any outdoor space or class of outdoor space designated in the regulations, that is frequented by employees during the course of their employment.

Proactive pay equity

The right to equal pay for work of equal value (pay equity) is an internationally recognized human right that has been protected under section 11 of the Canadian Human Rights Act (CHRA) since 1977 for all employees in the federal jurisdiction.

The Pay Equity Act (the Act), which received Royal Assent in December 2018, introduced a proactive approach in line with the 2016 recommendations of the Parliamentary Special Committee on Pay Equity. The Act is expected to come into force in 2021.

Once in force, the Act will apply to approximately 4,500 employers^{Footnote 1} with 10 or more employees in the federal public and private sectors, and the Prime Minister’s and Ministers’ offices. Additionally, the new proactive pay equity regime will apply to parliamentary workplaces in a manner tailored to respect parliamentary privilege. It will cover approximately 1.32 million workers.

It is important to note that the Act will not apply to Indigenous Governing Bodies (such as First Nations band councils) upon coming into force. This is to allow sufficient time to engage with First Nations band councils and their employees to ensure that the Act can be applied to them effectively (for example, taking into account cultural sensitivities, capacity issues).

The new approach will:

• require employers to establish a pay equity plan within 3 years of becoming subject to the Act
• require that pay equity plans be reviewed and updated at least once every 5 years, in order to identify and close any gaps that may have emerged
• require employers to adjust compensation to ensure that employees receive equal pay for work of equal value, and allow, in certain circumstances, for the gradual phase-in of adjustments over a period of 3 years for employers with 100 or more employees and 5 years for employers with 10 to 99 employees
• require employers with 100 or more employees, and those with 10 to 99 employees, some of whom are unionized, to establish a pay equity committee to develop or update the pay equity plan. Employer, union and non-unionized employee representatives will all be members of the committee
• provide employees with the opportunity to comment on a proposed pay equity plan (or revised pay equity plan) before it is finalized and require that any comments be taken into consideration before finalizing the plan
• create a new Pay Equity Commissioner position at the Canadian Human Rights Commission to administer and enforce the Act
• require employers to submit annual statements to the Pay Equity Commissioner regarding their pay equity plan
• provide mechanisms to request the review or appeal of decisions of the Pay Equity Commissioner through the Canadian Human Rights Tribunal
• give the Governor in Council the power to adapt the pay equity regime in its application to certain Indigenous employers, and
• require that the Act be reviewed 10 years after the coming into force, and every 5 years after that

Pay equity requirements will also be extended, as a non-legislative measure, to participants of the Federal Contractors Program with contracts to supply the Government with $1 million or more worth of goods or services.

The new regime will be administered and enforced by a Pay Equity Commissioner.

On September 10, 2019^{Footnote 2}, it was announced that Ms. Karen Jensen would serve as Canada’s first federal Pay Equity Commissioner. Ms. Jensen started her work as a full-time member of the Canadian Human Rights Commission (CHRC) on October 16, 2019, to prepare for the coming into force of the Pay Equity Act. That appointment was renewed in September 2020 and is expected to last until the coming into force of the Act. Upon the coming into force of the Act, she will become the Pay Equity Commissioner for a term of 3 years.

The Minister of Labour has been designated^{Footnote 3} as the Minister responsible for the Act.

Labour Program’s regulatory initiatives

The Labour Program’s 2-year Forward Regulatory Plan (FRP) is a publicly available list, published online, of planned or potential regulatory changes that allows stakeholders to engage in regulatory development and plan for future regulatory changes at the earliest opportunity. The Labour Program’s recently updated FRP lists a total of 17 regulatory initiatives for 2020 to 2022. Further information is available on the Forward Regulatory Plan website.

Regulatory proposals are included in the FRP before being pre-published in the Canada Gazette, Part I (CGI). Prior to publication of the FRP, the Deputy Minister’s approval is sought.

Overview

The federal Minister of Labour plays a major role in providing national leadership in the field of labour affairs. The federal Minister is in a unique position to consider labour issues not only from the perspective of the federal jurisdiction, but also from the vantage point of the country as a whole. The provinces and territories are generally open to federal leadership in the labour field provided that jurisdictional boundaries are respected.

Federal, provincial and territorial departments of Labour have collaborated for many decades, and have enacted such a broadly consistent set of labour laws that it is possible to speak meaningfully about a Canadian “model” of labour law. It is in Canada’s interests to maintain and enhance this model as the greater the coordination among jurisdictions, the more consistent are the rights and benefits enjoyed by workers across the country and the more cost effective it is for businesses to operate across Canada. That said, jurisdictions can benefit from federalism as it creates space for the experimentation of programs and initiatives on a smaller scale, allowing for jurisdictions to learn from each other’s successes.

The Labour Program supports the promotion of safe, fair, stable and productive workplaces in Indigenous communities where federal labour laws may apply depending on the nature of employers’ activities.

The federal Minister of Labour plays a key role in identifying emerging workplace issues and in stimulating discussion with other jurisdictions on ways to address these issues. Through the monitoring and provision of information and analysis on national labour trends, workplace conditions and innovative practices (for example, wage adjustments, work stoppages, collective agreement provisions), current and emerging workplace issues can be identified and strategies developed for meeting the needs of both employers and workers.

The national mandate of the federal Minister of Labour can extend to the development and administration of national policies where there is a labour dimension. The Wage Earner Protection Program (WEPP), which is administered by Service Canada, provides workers across Canada – including those who normally come under provincial or territorial labour laws – with unpaid wages, vacation pay and termination and severance pay in the event of an employer insolvency.

Federal/Provincial/Territorial Relations and Indigenous affairs

Provinces and Territories

There is a strong and collegial relationship between the federal government and provinces and territories on a wide variety of labour issues. The exclusive authority that each jurisdiction has over its labour affairs minimizes the potential for conflict. Additionally, there are no financial transfer programs that could be a source of tension between jurisdictions.

A key means by which the federal Minister of Labour engages with the provinces and territories is by co-chairing annual Federal-Provincial-Territorial (FPT) meetings of Ministers responsible for Labour. The ministers’ meeting is an opportunity for ministers to discuss issues of mutual interest and consider approaches that address domestic and international workplace matters of importance to Canadians. It is also an opportunity for ministers to develop and maintain good working relationships.

The annual meeting of ministers is normally held in late January or early February when Parliament and most provincial and territorial legislatures are still in recess. If there are labour matters of mutual interest requiring discussion in between annual meetings, FPT ministers may meet via videoconference. The federal Minister of Labour co-chairs on a permanent basis, while the provincial/territorial co-chair rotates among jurisdictions.

Topics of discussion at the February 2020 in-person meeting of ministers included occupational health and safety harmonization, harassment and violence in the workplace, international labour issues, mental health in the workplace, Indigenous labour issues, and worker protections for temporary foreign workers. Minister Tassi also hosted 2 ad hoc FPT ministerial teleconferences in spring 2020 to address labour matters and responses to the COVID-19 pandemic. Minister Tassi hosted an FPT Ministers responsible for Labour meeting via videoconference on March 1, 2021.

The Canadian Association of Administrators of Labour Legislation (CAALL) is a forum of deputy ministers responsible for labour and serves as the vehicle for preparations for the annual FPT ministers’ meetings, as well as for the follow-up required on issues as directed by ministers. The CAALL has 5 standing committees covering key labour subject areas: International Labour Affairs; Strategic Labour Policy; Occupational Health and Safety; Mediation and Conciliation, and Labour Standards. As of January 2019, the FPT Working Group on Temporary Foreign Workers Protections also reports to CAALL and FPT Ministers responsible for Labour.

Deputy Ministers normally meet in person once a year in the spring and once via teleconference in the fall. Due to the COVID-19 pandemic, the May 2020 annual meeting was cancelled. Deputy Ministers met via videoconference on October 30, 2020 and it is likely that the May 2021 meeting will also take place virtually.

Beginning in spring 2020, the federal Labour Program assumed presidency of CAALL for a 2-year term. Accordingly, you serve as CAALL President, while the Assistant Deputy Minister, Policy, Dispute Resolution and International Affairs, Labour Program, serves as Chair of the CAALL Executive Committee (responsible for moving forward the work of the CAALL between deputy ministers’ and ministers’ meetings).

In addition to your role as CAALL President, you serve as Deputy Liaison for the Mediation and Conciliation Committee. Deputy Liaisons are assigned to each standing committee of the CAALL to act as a “champion/mentor” to the Standing Committee Chair, provide advice and guidance to the Standing Committee on its annual work plan, and facilitate communication between the Committee and CAALL deputy ministers.

The CAALL Secretariat historically resides in the federal Labour Program. The Secretariat is responsible for managing the CAALL budget, liaising with and providing support to the various jurisdictions, and leading preparations for the ministers’ meetings as well as for CAALL meetings, videoconference and teleconferences.

For a diagram of FPT Structures, please see Fig. 3 below.

Text description of Figure 3

This diagram provides an overview of the FPT Structures of the CAALL. It is arranged as follows:

Level 1 – FPT Ministers responsible for Labour

Level 2 – Canadian Association of Administrators of Labour Legislation (FPT Deputy Ministers responsible for Labour)

Reports to the FPT Deputy Ministers responsible for Labour

• CAALL Secretariat
• Executive Committee
  • Standing Committees
    • Mediation and Conciliation
    • Labour Standards
    • Occupational Safety and Health
    • Strategic Labour Policy
    • International Labour Affairs
  • Ad Hoc Committees (as needed)

Provincial/Territorial Deputy Ministers for Labour

There is a great deal of collaboration on a variety of labour issues between the federal Deputy Minister of Labour and counterpart provincial and territorial Deputy Ministers responsible for Labour. Below is a list (in alphabetical order by province or territory) of the current provincial and territorial Deputy Ministers responsible for Labour.

Alberta

Shawn McLeod
Deputy Minister of Labour and Immigration

British Columbia

Trevor Hughes
Deputy Minister of Labour

Manitoba

Richard Groen
Deputy Minister of Finance

New Brunswick

Daniel Mills
Deputy Minister of Post-Secondary Education, Training and Labour

Newfoundland and Labrador

Fiona Langor
Deputy Minister of Immigration, Skills and Labour

Northwest Territories

Rita Mueller
Deputy Minister of Education, Culture and Employment

Nova Scotia

Duff Montgomerie
Deputy Minister of Labour and Advanced Education

Nunavut

Stephen Mansell
Deputy Minister of Justice

Ontario

Greg Meredith

Deputy Minister of Labour, Training and Skills Development

Prince Edward Island

Erin McGrath-Gaudet
Deputy Minister of Economic Growth, Tourism and Culture

Quebec

Anne Racine
Associate Deputy Minister for Labour, Employment and Social Solidarity

Saskatchewan

Karen Aulie
Deputy Minister of Labour Relations and Workplace Safety

Yukon

Matt King
Deputy Minister of Community Services

Workplace information

Part of the Minister of Labour’s national mandate is the collection, analysis and dissemination of data and information on collective bargaining in Canada.

Wage adjustments: Data on major wage settlements for bargaining units with 500 or more employees in the federal, provincial and territorial jurisdictions are collected and published each month on Canada.ca. The data, broken down by month, quarter and year, covers all industries in both the public and private sectors. The annual average percentage increase in base-rate wages for the calendar year, resulting from major settlements negotiated in the private-sector in Canada, is used to calculate the salary increases for Members of Parliament, in accordance with the Salaries Act. Wage data are also used by Statistics Canada, the Bank of Canada, the Department of Finance and Treasury Board Secretariat in the context of policy development, monitoring and/or decision making. Among major agreements under Part I of the Canada Labour Code, the average nominal wage increase was 2.0% in 2019.

Work stoppages: Data on strikes and lockouts across Canada are collected and updated on a monthly basis and made publicly available. The data includes the number of work stoppages, the number of workers directly involved in the stoppage and the number of person days not worked. The data is also provided to the International Labour Organization (ILO). In the 10 years from 2010 to 2019, the number of work stoppages under Part I of the Code has averaged 9 per year, compared to 16 per year during the prior 10-year period, from 2000 to 2009.

Collective agreements: The Labour Program maintains the most comprehensive collection of collective agreements in Canada, with over 47,000 agreements available to public, private, national and international stakeholders through the Labour Program’s online database, Negotech.

Labour organizations: The Labour Program conducts an annual survey of major labour organizations in Canada, including information on union membership, affiliations, mergers, and officials. In 2018 union coverage among employers under Part I was approximately 34%.

Wage Earner Protection Program

The Wage Earner Protection Program (WEPP) provides timely payment of unpaid eligible wages owed to workers when their employer has filed for bankruptcy or become subject to a receivership.

Any worker who is legally entitled to work in Canada is eligible to receive a WEPP payment if all of the following apply: their employment has ended; their former employer has filed for bankruptcy or is subject to a receivership, and their former employer owed them eligible wages.

Eligible wages, which include wages, vacation pay, termination and severance pay, must have been earned in the 6-month period leading up to a bankruptcy or receivership. If an employer attempted to restructure prior to their bankruptcy or receivership, then eligibility is extended to begin 6 months prior to the start of those proceedings.

As of February 27, 2018, the maximum WEPP payment amount is 7 times the maximum weekly insurable earnings under the Employment Insurance Act ($7,579 for 2021). The annual indexation of the cap ensures that the amount of wages protected by the WEPP increases with inflation.

Budget Implementation Act, 2018, No. 2 introduced a number of additional amendments to the Wage Earner Protection Program Act (WEPPA) to make Program eligibility more equitable. Some of these changes came into force on December 18, 2018, and include ensuring that employees retained to help wind down business operations remain eligible to receive termination and severance pay under the WEPP, and granting WEPP recipients the right to request reviews and appeals regarding overpayment decisions.

Regulations are required before some of the amendments can come into force. Proposed WEPP regulations would:

• allow earlier payment of WEPP when an employer engages in a liquidating restructuring to reduce delays that some individuals experience in accessing WEPP
• extend WEPP coverage to include foreign proceedings to better ensure that employees working in Canada for companies that are subject to an insolvency proceeding in another country are not unfairly excluded from the WEPP
• update the payment scheme for trustees’ fees and expenses to encourage insolvency professionals to administer a greater number of low asset insolvencies, and
• address various outstanding issues identified by the Standing Joint Committee for the Scrutiny of Regulations

Proposed changes to WEPP Regulations were published in Canada Gazette, Part I, on November 28, 2020 for public comments. These consultations ended on January 15, 2021. The legislative and regulatory changes are anticipated to come into force in late spring or early summer 2021.

When payments are made under the WEPP, the Government of Canada is subrogated to any rights the individual may have in respect of unpaid wages, to the extent of the WEPP payment amount. Collection activities are administered by the Canada Revenue Agency, both for subrogated debts owed to the Government, and for overpayments to recipients.

Service Canada delivers the WEPP on behalf of the Labour Program, and is responsible for frontline communications with the public and trustees/receivers, processing of applications, assessing applicants’ eligibility, issuing payments, and administering the review process.

The Labour Program is responsible for legislative and regulatory policy with respect to the WEPP Act and its regulations. It also provides operational policy guidance to Service Canada as a service delivery partner, monitors and reports on program activity and maintains relationships with key stakeholders and federal government partners.

The WEPP Act also confers duties to trustees and receivers in the administration of the WEPP. They must identify workers who are owed eligible wages, determine amounts owed, inform workers of the existence of the Program, provide information to Service Canada and inform the Canada Revenue Agency when the estate is discharged.

WEPP applicants have the right to request a review of their application, which is conducted by Service Canada. If the applicant is not satisfied with the review they can request an appeal to the Canada Industrial Relations Board, but only if it concerns a question of law or jurisdiction. For fiscal year 2019 to 2020, there were 157 reviews requested and 11 appeals.

From inception in July 2008 to end of December 2020, nearly 155,000 workers have received a payment from WEPP, totaling over $448 million.

Overview

The Minister of Labour’s mandate includes a number of important international responsibilities that aim to strengthen respect for internationally recognized labour standards. These activities contribute to the development and realization of Canada’s foreign and trade policy objectives. This is achieved through: the negotiation of international labour standards; participation in international labour forums; the negotiation and implementation of trade-related labour agreements, and the provision of technical assistance to partner countries.

International Labour Organization

The International Labour Organization (ILO) is a specialized agency of the United Nations headquartered in Geneva, Switzerland. The ILO, with its 187 member states, has a unique tripartite structure in which employers’ and workers’ representatives have an equal voice with that of governments in shaping its policies and programs.

The ILO’s mandate is the promotion of social justice, decent work, and internationally recognized human and labour rights. International labour standards (including Conventions and Recommendations) and the broad policies of the ILO are negotiated and adopted by the International Labour Conference (ILC or Conference), which usually meets annually in Geneva in June. The Conference provides a forum for discussion of global labour, employment and social issues and is attended by many Heads of State and Ministers responsible for Labour. The Canadian Minister or Deputy Minister of Labour normally attends the Conference, supported by officials of the Labour Program. The June 2020 Conference was cancelled due to COVID-19; however, in July 2020 the ILO hosted a virtual Global Summit on COVID-19 and the World of Work – Building a Better Future of Work, during which Minister Tassi and Prime Minister Trudeau delivered remarks for Canada. Canada is bound by the ILO Constitution to pay for the expenses of equal numbers of worker and employer representatives, nominated by the most representative employers’ and workers’ organizations in Canada, to attend certain ILO meetings, including the annual Conference.

Between Conferences, the work of the ILO is guided by a Governing Body of government, worker and employer members. Officials from the Labour Program, in collaboration with the Canadian Mission to the United Nations in Geneva (Global Affairs Canada), play an influential role within the ILO as a member of the Governing Body and as the permanent chair of an informal grouping of 40 Industrialized Market Economy Countries (IMEC). IMEC members contribute approximately 70% of the ILO’s budget based on assessed contributions for ILO member states (this percentage is likely higher when additional voluntary contributions are also considered), and thus have a strong collective interest in ensuring the organization is effective and efficient.

As most labour issues fall within the jurisdiction of the provinces and territories (PTs), Canadian positions on ILO issues are developed in consultation with all interested jurisdictions. In addition, the agreement of the PTs is sought prior to ratification of ILO Conventions. For more than 10 years, Ministers responsible for Labour have endorsed a federal-provincial-territorial strategy on Canada and the ILO, which aims to enhance Canada’s participation in the organization.

The ILO 1998 Declaration on Fundamental Principles and Rights at Work, which was negotiated in a committee chaired by Canada, sets a floor for workplace human rights. These principles are embodied in 8 core ILO Conventions that member states are invited to ratify. Canada has ratified all 8 core Conventions, which relate to forced labour, child labour, freedom of association, protection of the right to organise and collective bargaining, equal remuneration, and discrimination in employment.

The ILO celebrated its 100th anniversary in 2019. In a demonstration of continued support for the ILO and its work, Canada ratified 2 additional international labour standards during the Centenary celebrations: Protocol 29 on Forced Labour and Convention 81 on Labour Inspection. Canada also took a leadership role, as Chair of the standard-setting committee, in the development and adoption of a new international labour standard on Violence and Harassment in the World of Work (Convention 190). Domestically and internationally, expectations are high for Canada to ratify the Convention in a timely manner. Canadian stakeholders have launched a letter campaign to encourage the Canadian government to ratify Convention 190 as soon as possible. In her mandate letter, the Minister of Labour has been asked to work with the PTs on the ratification of the Convention. Labour Program officials are now working with PTs on completing technical reviews, and have completed a federal review, of the Convention’s provisions to assess if Canadian jurisdictions’ laws, policies and programs are in compliance with the Convention.

The ILO has a well-established supervisory system, which helps to ensure that ILO member states implement the Conventions they ratify. Canada fully supports the ILO supervisory system, which it considers to be one of the most effective in the United Nations structure.

2 key components of the ILO supervisory system are:

• Committee on the Application of Standards (CAS)
• Committee on Freedom of Association (CFA)

The CAS is a standing tripartite committee of the International Labour Conference which examines 24 individual country cases each year where difficulties of application or non-compliance with ratified Conventions have been identified. The CAS adopts conclusions for each case, which often include specific recommendations to governments for improvement.

The CFA is a specialized tripartite committee that receives complaints regarding alleged violations of freedom of association, the right to organize, or the right to collective bargaining. The Committee, which meets and issues reports 3 times per year, can issue recommendations for future action.

Occasionally, Canada is called before the CAS or is the subject of a CFA complaint. In those situations, responses must be prepared and Canada engages in a dialogue with the ILO on those issues.

Other international organizations and initiatives

In addition to the International Labour Organization (ILO), the Labour Program also leads or supports Canada’s participation in other international organizations, such as the Inter-American Conference of Ministers of Labour, various United Nations Committees, the Organisation for Economic Co-operation and Development (OECD), the G7, the G20, and other international initiatives.

Global supply chains and forced labour

The Labour Program contributes in many ways to addressing labour exploitation in global supply chains, including forced labour.

Free trade agreements

In the context of the federal government’s free trade initiatives, Canada’s approach is to negotiate comprehensive and enforceable labour chapters in all of its free trade agreements (FTAs). In the past, Canada has also negotiated Labour Cooperation Agreements, which are essentially side agreements to FTAs. Whether in the form of labour chapters or side agreements, labour provisions seek to support and protect Canadian workers and businesses from unfair competition.

Labour provisions commit countries that are signatories to enforce their national labour laws, which should in turn embody and provide protection for internationally recognized labour rights and principles. These agreements generally comprise additional commitments, including to provide protections for occupational health and safety, hours of work and migrant workers. Canada’s approach includes an enforceable dispute resolution mechanism, which may result, as a last recourse, in trade sanctions or, alternatively, in penalties to be paid by a government in violation of the agreement’s provisions.

Canada has Labour Cooperation Agreements with Chile, Costa Rica, Peru, Colombia, Jordan, Panama and Honduras, and Labour Chapters with Korea, Ukraine, the European Union (EU), Israel and 6 countries in the Asia-Pacific region under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (Japan, Singapore, Australia, New Zealand, Mexico and Vietnam).

In July 2020, the Canada-United States-Mexico Agreement (CUSMA), which includes a comprehensive and enforceable labour chapter, entered into force.

CUSMA also includes a Facility-Specific Rapid-Response Labour Mechanism, which is an additional enforcement tool to address violations related to freedom of association and collective bargaining in covered facilities in Mexico.

Ongoing negotiations of labour provisions include:

[Five paragraphs redacted]

Labour capacity building

As part of its work to effectively implement the labour chapters of free trade agreements with partner countries and to ensure enhanced commitment of these countries to promote and respect fundamental labour rights, the Labour Program provides technical assistance, through the International Trade and Labour (ITL) stream of the Labour Funding Program (a grants and contributions program), to support capacity building.

Through the ITL stream, technical assistance is provided in direct support of existing and future trade-related labour agreements. Since 2013, projects valued at over $11.5 million have been funded by the Labour Program and implemented by reliable executing agencies (for example, international and regional organizations). Generally, these projects support partner countries’ efforts to strengthen respect for international labour standards. For example, in fiscal year 2019 to 2020, the ITL stream funded new capacity building projects valued at $2.7 million in:

• Colombia, to undertake a comprehensive academic review of the regime for labour relations and foster exchanges between Canadian and Colombian labour stakeholders on industrial relation practices and legal frameworks in Canada and Colombia
• Ukraine, to achieve fair and productive working conditions, which should contribute to harmonious industrial relations and inclusive growth, notably through increased respect for collective bargaining and freedom of association, and
• Vietnam, to build effective industrial relations in full recognition of International Labour Organization Declaration on Fundamental Principles and Rights at Work and in line with the requirements of the labour chapter of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP)

Canada Industrial Relations Board

The Canada Industrial Relations Board (CIRB or the Board) is an independent, representational, quasi-judicial tribunal responsible for the interpretation and administration of Part I (Industrial Relations), and certain provisions of Part II (Occupational Health and Safety), Part III (Standard Hours, Wages, Vacations and Holidays), and, as of January 2021, Part IV (Administrative Monetary Penalties) of the Canada Labour Code (the Code). The CIRB is also responsible for the interpretation and administration of Part II (Professional Relations) of the Status of the Artist Act and appeals under the Wage Earner Protection Program Act.

The Board’s mandate is to contribute to, and promote, a harmonious industrial relations climate in the federally regulated sector while also ensuring compliance with health and safety legislation and adherence to minimum employment standards in federal workplaces.

The CIRB is responsible for the interpretation and application of the provisions of Part I of the Code related to: employer/employee status; appropriate bargaining units; certification and decertification; unfair labour practice complaints; sales of business; illegal strikes and lockouts, and maintenance of activities during a work stoppage necessary to prevent immediate and serious danger to the safety or health of the public. Additionally, since 2019, the CIRB is responsible for adjudicating unjust dismissal complaints, wage recovery appeals, a new recourse mechanism against employer reprisals under Part III of the Code and Wage Earner Protection Program appeals, and has expanded powers to dispose of occupational health and safety appeals under Part II of the Code. Recently, the Board became responsible for appeals of administrative monetary penalties under Part IV of the Code.

The CIRB is also responsible for professional relations between self-employed artists and producers at federally regulated broadcasters, and federal government departments, agencies, and Crown corporations, pursuant to the Status of the Artist Act. This includes defining the sectors of cultural activity suitable for collective bargaining and certifying artists’ associations in these sectors.

Various factors, such as the state of the economy and lifecycles of collective agreements, result in fluctuating workloads year to year. Fiscal year 2019 to 2020 saw a 30% increase in workload from the 3 previous fiscal years which was directly attributable to the 2019 expansion of the Board’s mandate under Part II and Part III of the Code. The trend is continuing and it is anticipated that in fiscal year 2020 to 2021, the Board's workload will increase by 50% over the pre-2019 to 2020 levels due to the expansion of the CIRB mandate in 2019.

When the COVID-19 pandemic hit Canada in mid-March 2020, the CIRB quickly shifted its operations to virtual operations. The vast majority of the employees providing administrative services to the Board were equipped to work remotely, and were able to continue to provide services and process matters with minimal disruption. The CIRB already conducts the majority of its hearings on the basis of the written submissions and continues to do so in the current circumstances. It was also able to quickly transition to teleconference and videoconference as the principal method of holding oral hearings and conducting mediations. Board clients have not suffered any appreciable delay in having their matters heard and determined due to the pandemic.

Canadian Centre for Occupational Health and Safety

The Canadian Centre for Occupational Health and Safety (CCOHS) is a federal government agency that reports to Parliament through the Minister of Labour.

CCOHS’ mandate is to promote workplace health and safety and the physical and mental health of working people in Canada.

To fulfill its mandate, CCOHS collaborates with various key partners, researchers and stakeholders. It is a recognized leader in providing effective programs, products and services, which are based on CCOHS’ knowledge base and core competencies; collection of occupational health and safety information, and application of information management technologies.

More specifically, CCOHS provides information and knowledge transfer services; e-courses; cost-effective tools and management systems for improving occupational health and safety performance, and injury and illness prevention initiatives that promote the safety and health, physical, psychological, and total well-being of workers. CCOHS works closely with the safety community to respond to emerging issues and support ongoing occupational health and safety projects. For example, CCOHS developed online courses and resources to help workplaces operate safely during the COVID-19 pandemic. Through an Interdepartmental Letter of Agreement, CCOHS is supporting the Public Health Agency of Canada in developing business resumption guidance that is consistent with workplace health and safety requirements. CCOHS is also supporting the Canadian Association of Administrators of Labour Legislation’s (CAALL) priority to improve mental health in the workplace, notably through the sharing of best practices and tools. CCOHS also serves as the secretariat for the CAALL-OSH committee of CAALL. CCOHS also has international partnerships to advance occupational health and safety globally. In particular, CCOHS is a Canadian collaborating centre with the Pan-American Health Organization (PAHO), a specialized health agency of the World Health Organization.

In January 2020 concern over a new Coronavirus was making the news and by March 11th a global pandemic was declared. CCOHS was quick to respond, pulling together a fact sheet and newsletter article to provide basic information for workplaces. Additionally:

• The Flu and Infectious Disease Outbreaks/Pandemic Business Continuity Guide was reviewed and updated, and CCOHS made ten courses and publications freely available to help support workplaces in their efforts to protect the health, safety and well-being of their employees during the pandemic
• The Infectious Disease Outbreaks/Pandemic website was updated with COVID-19 information and resources to help keep people healthy and thriving during the pandemic
• the website became a central access point to resources from provincial, territorial and federal jurisdictions. The website saw a surge in uptake as the pandemic unfolded, and between March 1, 2020 and January 13, 2021, it saw an increase of 21% over the same previous year period. The Outbreak portal, which houses all resources related to the pandemic, saw a 3400% increase in page views during this same period
• CCOHS collaborated with organizations across Canada to develop a series of free pandemic guidance tip sheets that offer guidance and good practices for specific occupations, industries and services, to help protect everyone from illness as well as prevent the spread of infection. To date, CCOHS has published 55 tip sheets and they are available on the CCOHS webpage for COVID-19 publications

Business and employer associations

Operating in industries such as air, rail and marine transportation, banking, telecommunications and broadcasting, businesses in the federal jurisdiction play vital roles in generating direct economic activity, providing critical infrastructure services that enable the national economy and contribute to the well-being of Canadians.

Business and employer associations primarily act as advocates for their members on public policy issues with governments and often undertake research and analysis to support their activities. A few also engage in, or coordinate, collective bargaining on behalf of their members.

Discussions with employers, and the associations that represent them, have long been important means by which the Minister of Labour and the Labour Program identify issues of common concern and gain a better understanding of employer perspectives on federal labour issues. Ongoing dialogue with these organizations helps to ensure that their views are taken into account in the formulation of federal labour laws and policies.

The remainder of this section describes the key business and employer associations that are active in the federal private sector.

Labour organizations

There are approximately 4.9 million workers in Canada represented by a union.

Unions act as the bargaining agent representing employees during the collective bargaining process. Additionally, unions support employees by working with the employer to help resolve workplace issues by:

• advocating for employee concerns
• holding employers accountable to their obligations, and
• supporting workplace safety and anti-discrimination measures

Any industrial action taken by either the workers or their employer during contract negotiations may have a social and economic impact and, because of this, it is important to develop ongoing communication and dialogue.

Unions, with some exceptions, are normally affiliated to a central labour body. One of the key roles of central labour bodies is to represent the views of the labour movement in public policy discussions and debates.

The remainder of this section first describes the main labour centrals in Canada, and then provides information on the key individual unions active in the federal jurisdiction.

Non-governmental organizations/experts

The Labour Program regularly engages with numerous non-governmental organizations and experts on key Labour Program mandate priorities, to build relationships and to share information on issues of mutual interest. Their views and perspectives have informed the development of policies, legislation and regulations that are responsive to the needs of the diverse types of workplaces found in the federal jurisdiction.

The contacts listed below include the organizations or individuals with whom the Labour Program has had significant interaction or who have made a key contribution to the development of policies or programs.

Disclaimer

The Labour Program reserves the right of final interpretation for the concepts, terms and numbers that are found in this section. The facts and the data are for information only. You may not copy, reproduce, republish, post, distribute, transmit or modify in any way all or any part of this section without the consent and validation by the Labour Program. For updated information and explanation of the concepts, terms and statistics, please contact the Labour Program directly.

Section 1 Number of employees and employers under federal jurisdiction and unionization rates (2019)

1.1 Estimated numbers of employees and employers under federal jurisdiction

Text description of Figure 4

Table 1: Estimated numbers of employees and employers covered by Canada Labour Code Part I

Canada Labour Code Part I Coverage	Number of employees	Number of employers
Private sector firms (excluding those covered by Part III), and municipal governments in the territories	37,000	5,000
Private sector firms and Crown corporations	920,000	18,000
Indigenous governments on First Nations reserves	35,000	630
Total	992,000	23,500*

Table 2: Estimated numbers of employees and employers covered by Canada Labour Code Part II

Canada Labour Code Part II Coverage	Number of employees	Number of employers
Private sector firms and Crown corporations	920,000	18,000
Indigenous governments on First Nations reserves	35,000	630
Federal public administration	309,000	29
Total	1,264,000	18,529

Table 3: Estimated numbers of employees and employers covered by Canada Labour Code Part III

Canada Labour Code Part III Coverage	Number of employees	Number of employers
Private sector firms and Crown corporations	920,000	18,000
Indigenous governments on First Nations reserves	35,000	630
Total	955,000	18,500*

• *The numbers of employees and employers are rounded to the nearest 500 to reflect the approximate character of the statistic
• **Part II applies to the Parliamentary Precinct as of January 2021

Section 2 Labour Relations – Canada Labour Code Part I

Section 3 Occupational Health and Safety - Canada Labour Code Part II

Data source: The Employer Annual Hazardous Occurrences Report, submitted by employers to Labour Program for each calendar year.

The Disabling Injury Frequency Rate (DIFR) is calculated based on the number of disabling injuries per one million hours worked. The DIFR for federal jurisdiction increased by 0.5% from 9.25 in 2014 to 9.3 in 2018.

Section 4 Labour Standards - Canada Labour Code Part III

Section 5 Employment Equity

• Data source: The Workplace Equity Information Management System and Canada's census
• Notes: Federally regulated private-sector employers, Crown corporations and other federal organizations that have 100 or more employees and are subject to the Employment Equity Act must submit employment equity reports to the Labour Program

The 2018 data includes only those employers who submitted their reports for 2018 for the four designated groups. The data does not include employers who submitted their reports for the first time and were only required to provide data on women.

Section 6 Wage Earner Protection Program

47.8% (9,484) of the applications received in 2018-2019 were from the employees of Sears Canada.

The maximum amount of Wage Earner Protection Program payment for each application increased from $3,908 in 2016 to $7,296 in 2020.

Section 7 Government Employees' Compensation Act (GECA)

The Government Employees' Compensation Act employee coverage includes the latest dataset on GC InfoBase of Actual Full Time Equivalences by Program and number of employees at Canada Post.

Section 8 Labour Cooperation Agreements and Labour Chapters of Free Trade Agreements

Section 9 International Labour Organization Conventions