Employment law changed in fundamental ways in 2024, and you may not even have noticed.
The fundamental principles of employment law rarely seem to change much. Employers are responsible for keeping employees safe, and for treating them fairly. If you fire an employee without notice, you’ll likely owe them money. Discrimination at work is illegal and may lead to an issue with the human rights tribunal. Employers may not understand every nuance, but they generally have a good idea of how things work.
The basic principles may stay consistent, but the fine details change regularly, and they can ultimately have a huge impact on your business. From staying compliant with changing regulations to keeping your contracts up to date, the small things that you do as an employer may have the biggest impact on your bottom line. In employment law it’s the things that you don’t know that can be the most painful.
That’s why you work regularly with your employment lawyer, and that’s why it’s our job to stay on top of the latest changes to the law. Here are just a few of the largest ones that we saw last year.
The Working for Workers Act strikes again
Since 2021, the Ontario government has released at least six different updates to what they’ve dubbed the Working for Workers Act. Each bill brings about changes to various employment standards laws in small but important ways, and many place new requirements on employers.
In November 2024, the Government announced the Sixth edition, which brought about some important changes. These include:
- A 16-week job-protected parental leave for parents who have children through adoption or surrogacy
- A new 27-week job-protected long-term illness leave for those impacted by a serious medical condition, such as cancer, MS, or Crohn’s disease
- New regulations for the documentation and posting of washroom cleaning records
- Increased mandatory minimum fines for those who have repeated serious violations under the Occupational Health and Safety Act that result in serious injury or death of a worker
- Multiple additional hiring requirements to create new opportunities for job seekers
The changes may seem small individually, but they’re plentiful, especially with such frequent updates to the legislation. Employers who are investigated by the Ministry and not in compliance can risk fines or sanctions that are completely avoidable. Let your lawyer worry about the nitty gritty, and work with them to help keep your workplace up-to-date.
What did we learn from Dufault?
We had written about the Dufault case late last year, but here’s the short version to recap: An employee from a small municipality was let go, and decided to challenge her employment contract’s validity in Court. The contract essentially gave the employer the power to terminate her employment at any time for any reason, and her lawyers argued that that was contrary to the law.
In a surprising legal decision last year, the Court agreed. While employers have a broad range, they cannot, for example, let an employee go for a discriminatory reason or as reprisal for asserting their rights. Therefore, a broad range does not mean complete carte blanche. The Court of Appeal upheld the ruling late in 2024, but as the contract had other errors as well, the Court opted not to comment on any other portions of the contract.
The lesson for employers is one that’s reinforced in case after case after case – check your employment contracts regularly! The legal standards of what’s acceptable in a contract can change quickly and without notice. Make sure that your contracts are properly protecting your business. An out-of-date contract that’s poorly written may not be worth the paper that it’s printed on.
There’s No Doctor in the House
What sort of medical evidence does an employee need to show to prove that they can’t look for new work? In Krmpotic v. Thunder Bay Electronics Limited, 2024 ONCA 332, the employee had worked as a labourer for three decades and had just returned from back surgery when he was let go. The employer offered him 16 months’ pay in lieu of notice and paid him for that time, but he sued for additional amounts because he could not work.
At the end of 16 months he had moved from Thunder Bay to Toronto to work for his son’s construction business, but he was unable to physically do so. His wife and son testified that he dealt with back and knee pain, anxiety, depression, fear, mental distress, etc. At trial, the Court accepted this evidence as proof that he could not mitigate his damages (obtain new work), and the Court of Appeal agreed.
The case may be significant in outlining the evidence employers are entitled to that proves this level of incapacity. The trial judge accepted that, given his age and his health, he simply was not able to perform physical labour. The Court of Appeal accepted a medical report that said that while he was recovering sufficiently, it did not explicitly say that he could not do heavy labour. The family further testified to his mental state, and the Court accepted that as well.
For employers, consult with your lawyer before you terminate so that you can discuss the exit package and how things should move forward. Not only can your lawyer make sure that your offer is sufficient, but they can help navigate complicated situations such as these as they arise.
The Backlash Against DEI
There has been a significant trend in recent months throughout the United States and even part of
Canada to move away from DEI initiatives. DEI, or sometimes IDEA, is the implementation of programs in the workplace that promote diversity, equity, inclusion, and accessibility. Critics say that these programs have become too politically motivated and that they are minimizing merit-based opportunities.
Ontario employers are not legally mandated to implement specific DEI programs. However, employers need to remember their obligations towards accommodation, accessibility and preventing discrimination. For example, employers need to accommodate an employee with a disability to the point of undue hardship and are required by law to remove certain barriers to accessibility.
These are not political positions but legal requirements in Ontario. Compliance with the law need not be complicated, but a failure to comply can become costly. Aside from Ministry inspections and potential penalties, a human rights claim against an employer can become an expensive proposition and is usually avoidable with better policies and training. Don’t let any political position on DEI influence your legal responsibilities.
Final Thoughts
You may catch the odd news story about employment law, but you’re not going to know everything. You already have your hands full running and growing your business, managing your team, boosting sales, working with suppliers and vendors, exploring new markets and offerings, etc. etc. etc.
Leave the tough stuff to us. Working with an employment lawyer means we’ll provide you with the advice to keep your business properly protected. Contact us today to set up a consultation.
