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Budget Implementation Act, 2018, No. 2 (S.C. 2018, c. 27)

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)

 Section 213 of the Act is replaced by the following:

Marginal note:Redundant employee — employment terminated

  • 212.1 (1) In addition to giving notice under section 212, the employer must give each redundant employee whose employment is terminated during the group notice period or the group termination period

    • (a) notice in writing of the employer’s intention to terminate their employment on a date specified in the notice, which cannot be before the day after the group notice period ends, at least eight weeks before that date;

    • (b) wages in lieu of notice, at their regular rate of wages for their regular hours of work, for at least eight weeks or, if it is greater, the number of weeks between the day on which their employment is terminated and the day on which the group notice period ends; or

    • (c) any combination of notice and amounts of wages in lieu of notice so that the total of the number of weeks of notice in writing and the number of weeks for which wages are paid in lieu of notice is equivalent to at least eight weeks or, if it is greater, the number of weeks between the day on which the redundant employee is given notice of the date of the termination of their employment and the day on which the group notice period ends.

  • Marginal note:Failure to give group notice

    (2) For the purposes of calculating a redundant employee’s entitlement under subsection (1), if an employer does not give notice under section 212, the group notice period is deemed to start on the earlier of the day on which the redundant employee receives written notice of the termination of their employment and the day of the termination of the employment of the redundant employee.

  • Marginal note:Insufficient group notice

    (3) For the purposes of calculating a redundant employee’s entitlement under subsection (1), if an employer gives notice under subsection 212(1) fewer than 16 weeks before the date of the termination of the employment of the redundant employee, the group notice period is deemed to start on the earlier of the day on which the employer gives notice under that subsection and the day on which the redundant employee receives written notice of the termination of their employment.

  • Marginal note:Collective agreement

    (4) If an employer is bound by a collective agreement that contains a provision authorizing a redundant employee to displace another employee on the basis of seniority, the displaced employee is a redundant employee for the purposes of this Division.

  • Marginal note:Notice

    (5) If a redundant employee displaces another employee, the employer must give the displaced redundant employee notice under subsection (1) and must give a copy of that notice to the trade union that is a party to the collective agreement.

  • Marginal note:Conditions of employment

    (6) If an employer gives notice under paragraph (1)(a) or (c), the employer

    • (a) is prohibited from reducing the rate of wages or altering any other term or condition of employment of the redundant employee except with the written consent of that employee; and

    • (b) must, between the time when the notice is given and the day on which the employee’s employment is terminated, pay to them their regular rate of wages for their regular hours of work.

  • Marginal note:Expiration of notice

    (7) If a redundant employee to whom notice is given under paragraph (1)(a) or (c) continues to be employed by the employer for more than two weeks after the date specified in the notice, the employer is prohibited from terminating the employment of the employee, unless

    • (a) it is with their written consent;

    • (b) it is by way of dismissal for just cause;

    • (c) it is a termination of employment under another group termination and the employer complies with this Division; or

    • (d) it is an individual termination of employment and the employer complies with Division X.

  • Marginal note:Statement of benefits

    (8) An employer must give each redundant employee whose employment is terminated a statement in writing that sets out their vacation benefits, wages, severance pay and any other benefits and pay arising from their employment with the employer as at the date of the statement. The statement must be given to the employee

    • (a) in the case of an employee who receives notice under paragraph (1)(a), as soon as possible, but not later than two weeks before the date of the termination of their employment;

    • (b) in the case of an employee who receives wages in lieu of notice under paragraph (1)(b), not later than the date of the termination of their employment; and

    • (c) in the case of an employee who receives a combination of notice and wages in lieu of notice under paragraph (1)(c), as soon as possible, but not later than two weeks before the date of the termination of their employment unless the period of notice is shorter, in which case, the day on which notice is given to the employee of the date of the termination of their employment.

Marginal note:Cooperation with Commission

213 An employer who carries out a group termination and any trade union representing a redundant employee must give the Canada Employment Insurance Commission any information requested by it for the purpose of assisting any redundant employee and must cooperate with the Commission to facilitate the re-establishment in employment of that employee.

Marginal note:Transitional support measures

  • 213.1 (1) Unless the employer gives a redundant employee referred to in subsection 212.1(1) notice under paragraph 212.1(1)(a), they must provide the transitional support measures set out in the regulations to that redundant employee.

  • Marginal note:Amount payable

    (2) If an employer fails to provide the transitional support measures required under subsection (1), the redundant employee is entitled to be paid an amount equal to the prescribed value of those measures.

  •  (1) Section 227 of the Act is amended by adding the following after paragraph (a):

    • (a.1) prescribing circumstances where an employer is exempted from the application of a provision of this Division and any measure that that employer must take in respect of redundant employees;

  • (2) Section 227 of the Act is amended by adding the following after paragraph (b):

    • (b.1) establishing the method of determining the four-week period referred to in the definition group termination of employment;

    • (b.2) establishing the method of determining the four-week period referred to in the definition group termination period;

  • (3) Section 227 of the Act is amended by striking out “and” at the end of paragraph (c) and by adding the following after paragraph (d):

    • (e) defining the expressions “regular rate of wages” and “regular hours of work”; and

    • (f) respecting transitional support measures to be provided under section 213.1, including establishing the value of those measures for the purposes of subsection 213.1(2).

 Section 228 of the Act is repealed.

 The Act is amended by adding the following after the heading of Division X of Part III of the Act:

Marginal note:Application

229.1 This Division does not apply to an employee whose termination of employment is by way of dismissal for just cause.

 Section 229.1 of the Act is replaced by the following:

Marginal note:Application

229.1 This Division does not apply to an employee

  • (a) who is a redundant employee to whom subsection 212.1(1) applies; or

  • (b) whose termination of employment is by way of dismissal for just cause.

 Subsections 230(1) and (2) of the Act are replaced by the following:

Marginal note:Employer’s duty

  • 230 (1) An employer who terminates the employment of an employee must give the employee

    • (a) notice in writing of the employer’s intention to terminate their employment on a date specified in the notice, at least the applicable number of weeks set out in subsection (1.1) before that date;

    • (b) wages in lieu of notice, at their regular rate of wages for their regular hours of work, for at least the applicable number of weeks set out in subsection (1.1); or

    • (c) any combination of notice and amounts of wages in lieu of notice so that the total of the number of weeks of notice in writing and the number of weeks for which wages are paid in lieu of notice is equivalent to at least the applicable number of weeks set out in subsection (1.1).

  • Marginal note:Notice period

    (1.1) The applicable number of weeks for the purposes of subsections (1) and (2) is

    • (a) two weeks, if the employee has completed at least three consecutive months of continuous employment with the employer;

    • (b) three weeks, if the employee has completed at least three consecutive years of continuous employment with the employer;

    • (c) four weeks, if the employee has completed at least four consecutive years of continuous employment with the employer;

    • (d) five weeks, if the employee has completed at least five consecutive years of continuous employment with the employer;

    • (e) six weeks, if the employee has completed at least six consecutive years of continuous employment with the employer;

    • (f) seven weeks, if the employee has completed at least seven consecutive years of continuous employment with the employer; and

    • (g) eight weeks, if the employee has completed at least eight consecutive years of continuous employment with the employer.

  • Marginal note:Notice to trade union

    (2) If an employer is bound by a collective agreement that contains a provision authorizing an employee whose position becomes redundant to displace another employee on the basis of seniority, and the position of an employee who is so authorized becomes redundant, the employer must give at least the applicable number of weeks’ notice set out in subsection (1.1) in writing to the trade union that is a party to the collective agreement and to the employee that the employee’s position has become redundant.

  • Marginal note:Rights of displaced employee

    (2.1) For greater certainty, any employee who is displaced and whose employment is terminated is entitled to and shall be given notice or wages in lieu of notice under subsection (1).

  • Marginal note:Statement of benefits

    (2.2) An employer must give any employee whose employment is terminated a statement in writing that sets out their vacation benefits, wages, severance pay and any other benefits and pay arising from their employment with the employer as at the date of the statement. The statement must be given to the employee

    • (a) in the case of an employee who receives notice under paragraph (1)(a), as soon as possible, but not later than two weeks before the date of the termination of their employment;

    • (b) in the case of an employee who receives wages in lieu of notice under paragraph (1)(b), not later than the date of the termination of their employment; and

    • (c) in the case of an employee who receives a combination of notice and wages in lieu of notice under paragraph (1)(c), as soon as possible, but not later than two weeks before the date of the termination of their employment unless the period of notice is shorter, in which case, the day on which notice is given to the employee of the date of the termination of their employment.

 The Act is amended by adding the following after section 238:

DIVISION XII.1Reimbursement of Work-related Expenses

Marginal note:Entitlement

  • 238.1 (1) Subject to subsection (2), an employee is entitled to and the employer shall provide reimbursement of reasonable work-related expenses.

  • Marginal note:Exception

    (2) An employee is not entitled to be reimbursed for

    • (a) an expense that is ineligible under any regulation made under this Division;

    • (b) in the case of an employee who is subject to a collective agreement, an expense that the employee is required to pay in accordance with the collective agreement or any other written agreement between the trade union and the employer; or

    • (c) in the case of an employee who is not subject to a collective agreement, an expense that the employee is required to pay in accordance with any written agreement between themselves and the employer.

  • Marginal note:Payment

    (3) The employer shall pay the employee any amount that is payable under this section

    • (a) in the case of an employee who is subject to a collective agreement, within the time limit set out under the collective agreement or any other written agreement between the trade union and the employer;

    • (b) in the case of an employee who is not subject to a collective agreement, within the time limit set out under a written agreement between themselves and the employer; and

    • (c) in any other case, within the time limit prescribed by regulation.

Marginal note:Regulations

238.2 The Governor in Council may make regulations for the purposes of this Division including regulations prescribing factors to consider in determining if an expense is or is not work-related and prescribing factors to consider in determining if an expense is or is not reasonable.

 Section 239 of the Act and the heading of Division XIII before it are replaced by the following:

Medical Leave

Marginal note:Entitlement to leave

  • 239 (1) Every employee is entitled to and shall be granted a medical leave of absence from employment of up to 17 weeks as a result of

    • (a) personal illness or injury;

    • (b) organ or tissue donation; or

    • (c) medical appointments during working hours.

  • Marginal note:Certificate

    (2) If a medical leave of absence is three days or longer, the employer may require that the employee provide a certificate issued by a health care practitioner certifying that the employee was incapable of working for the period of time that they were absent from work.

  • Marginal note:Notice to employer

    (3) If an employee intends to take a medical leave of absence, they must give written notice to the employer of the day on which the leave is to begin and the expected duration of the leave at least four weeks before that day, unless there is a valid reason why that notice cannot be given, in which case the employee must provide the employer with written notice as soon as possible.

  • Marginal note:Change — in length of leave

    (4) An employee must provide the employer with written notice of any change in the length of their medical leave of absence as soon as possible.

  • Marginal note:Employment opportunities

    (5) An employee is entitled, on written request, to be informed in writing of every employment, promotion or training opportunity that arises during the period when the employee is on a medical leave of absence under this Division and for which the employee is qualified, and on receiving that request, the employer must provide the information to the employee.

  • Marginal note:Prohibition

    (6) Subject to subsection (7), an employer is prohibited from dismissing, suspending, laying off, demoting or disciplining an employee because the employee intends to take or has taken a medical leave of absence or taking such an intention or absence into account in any decision to promote or train the employee.

  • Marginal note:Exception

    (7) An employer may assign to a different position, with different terms and conditions of employment, any employee who, after a medical leave of absence, is unable to perform the work performed by the employee prior to the absence.

  • Marginal note:Benefits continue

    (8) The pension, health and disability benefits and the seniority of an employee who is absent from work due to medical leave under this Division accumulate during the entire period of the medical leave of absence.

  • Marginal note:Contributions by employee

    (9) If contributions are required from an employee in order for the employee to be entitled to a benefit referred to in subsection (8), the employee is responsible for and must, within a reasonable time, pay those contributions for the period of any medical leave of absence unless, at the commencement of the absence or within a reasonable time after, the employee notifies the employer of the employee’s intention to discontinue contributions during that period.

  • Marginal note:Contributions by employer

    (10) An employer who pays contributions in respect of a benefit referred to in subsection (8) must continue to pay those contributions during an employee’s medical leave of absence in at least the same proportion as if the employee were not absent, unless the employee does not pay the employee’s contributions, if any, within a reasonable time.

  • Marginal note:Failure to pay contributions

    (11) For the purposes of calculating the pension, health and disability benefits of an employee in respect of whom contributions have not been paid as required by subsections (9) and (10), the benefits do not accumulate during the medical leave of absence and employment on the employee’s return to work is deemed to be continuous with employment before the employee’s absence.

  • Marginal note:Deemed continuous employment

    (12) For the purposes of calculating benefits, other than benefits referred to in subsection (8), of an employee who is absent from work due to medical leave under this Division, employment on the employee’s return to work shall be deemed to be continuous with employment before the employee’s absence.

  • Marginal note:Regulations

    (13) The Governor in Council may make regulations defining terms for the purposes of this Division.

 

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