Issue 72, June 2010
Sponsored by: Minken Employment Lawyers
Minken Employment Lawyers follow the latest developments on cases and legislation from all across Canada in performing workplace violence assessments and preparing policies and programs required by Bill 168.
Arbitrator orders employer to pay over $500,000 for bad faith termination
By Caroline Richard, Bird Richard
In Greater Toronto Airports Authority v. Public Service Alliance of Canada, Local 0004, Arbitrator Owen Shime ordered the GTAA to pay over $500,000 in damages for its bad faith conduct in wrongfully terminating a unionized employee for suspected abuse of sick leave.
Lifestyle and morality ruling stands, but not firing
by Yosie Saint-Cyr, LL.B., Managing Editor, and Christina Catenacci, LL.B., Assistant Editor, HRinfodesk.com—Canadian Payroll and Employment Law News
In a landmark freedom of religion ruling on May 14, 2010, the Ontario Divisional Court overturned the Ontario Human Rights Tribunal decision against Christian Horizons, a faith-based ministry that operates residential homes for people with developmental disabilities. The case involves the rights of faith-based organizations to hire like-minded employees (people of the same faith), and still serve the wider public.
Litigating just cause cases
By Stuart Rudner, Labour and Employment group at Miller Thomson LLP
Making the decision to summarily dismiss an employee, and litigating a wrongful dismissal claim on the basis of summary dismissal are two different things. One of the more difficult aspects of my job is explaining to clients (whether plaintiff or defendant) why being “right”, morally or legally, does not necessarily mean that you should refuse to settle a dispute.
EI sickness benefits to be extended
by Yosie Saint-Cyr, LL.B., Managing Editor, HRinfodesk.com—Canadian Payroll and Employment Law News
The Canada Employment Insurance Commission intends to amend the Employment Insurance Regulations to extend sickness benefits for up to six weeks to eligible workers whose immediate family members have died as a direct result of a crime. This amendment is also being considered for immediate family members of military personnel who die as a direct result of a service-related injury in a “special duty area”.
Doing business during the G20: Practical tips for employers affected by the upcoming G20 summit in Toronto
by Trevor Lawson, Brian Wasyliw, McCarthy Tétrault LLP
The Government of Canada will be hosting the annual G20 Summit (G20) in Toronto, Ontario on June 26th and 27th, 2010. Although the presence of the G20 is exciting to many, employers affected by the G20 must prepare in order to limit disruptions to their businesses and to avoid or minimize emergencies caused by the G20.
Open for business act would change ESA enforcement
by Yosie Saint-Cyr, LL.B., Managing Editor, HRinfodesk.com—Canadian Payroll and Employment Law News
On May 17, 2010, the Ontario government tabled Bill 68, The Open for Business Act, 2010. The aim of the Bill is to create a more competitive business climate in the province, while protecting the environment and public interest.
Proposed changes to PIPEDA
by Christina Catenacci LL.B., Assistant Editor, HRinfodesk.com—Canadian Employment Law News
On May 25, 2010, Bill C-29, an Act to amend the Personal Information Protection and Electronic Documents Act, received first reading in the House of Commons and makes significant changes to the private sector privacy legislation known as PIPEDA. The Bill provides for new exceptions for businesses, new powers for law enforcement and new security breach disclosure provision.
Reminders/Updates: Current health and safety inspection blitzes
Ontario workplace health and safety inspection blitzes under the Safe at Work initiative are announced in advance and results are reported after they are completed on the Ministry of Labour website. The ministry tracks each sector to determine if the blitzes result in a long-lasting increase in compliance and decrease in injuries and fatalities.
The Ontario’s Ministry of Labour schedule for upcoming health and safety blitzes include:
- June 1 – 30: Mobile equipment for surface and underground mines – Mining Sector information
- June 1 – July 31: Heavy and light equipment- Construction Sector information
New health and safety measures for the construction industry
On May 13, 2010, the Ontario government announced new measures to increase safety in the construction industry. These measures are a result of past enforcement inspection blitzes at construction worksites.
The most common violations found in the recent construction site safety blitz involved guardrails, suspended scaffolds, fall protection systems and worker training.
In response to the blitz results at construction sites, the government intends to:
- Increase enforcement at construction sites, with a zero-tolerance approach to fall-related contraventions. As part of this enforcement measure, inspectors will include targeting construction sub-sectors showing higher rates of non-compliance. In addition, inspectors will continue to monitor enforcement with employers who repeatedly contravene the law.
- In addition to multi-language awareness campaigns urging the public and interested stakeholders to report unsafe labour practices and conditions, anybody who spots what might be an unsafe labour practice in any Ontario workplace will able to call toll-free 1-877-202-0008 to report it.
- The Ministry of Labour will work with provincial and municipal organizations to allow for greater sharing of building project information. It will also seek to broaden its information-gathering ability by proposing regulatory amendments that would require employers to notify the ministry before they use suspended platforms/scaffolds.
- The Ministry of Labour is asking the panel that is currently reviewing workplace health and safety in Ontario to add to the review if worker and supervisor training should be made mandatory.
- The ministry will also seek advice from the Provincial Labour Management Health and Safety Committee on expanding the use of enforcement tools (such as ticketing and summons), increasing fines and, more generally, mandatory training for workers and supervisors on fall protection and other high hazard construction activities.
June 15, 2010: Violence and harassment prevention under OHS comes into force
Effective June 15, 2010, the Ontario Occupational Health and Safety Act obligates employers to protect employees from the potential hazards of violence and harassment in the workplace. This obligation requires employers to prepare written violence and harassment policies, assess workplace risks, to respond to potential threats of domestic violence spilling into the workplace, establish new workplace reporting and training programs and much more. Also, it does not matter the size of your company or your industry sector. All must comply.
You should already be prepared; however, if you are not, First Reference has prepared a guide to help employers that provides an understanding of this new obligation, tips, techniques and sample policies, forms and checklists. You can still obtain a copy of the guide at www.firstreference.com.
New payroll deductions formulas for computer programs
To help employers and payroll specialists prepare, the new payroll deductions formulas for computer programs effective July 1, 2010 (draft version) is now available on the Canada Revenue Agency website. This publication reflects some income tax changes recently announced, which, if enacted by the applicable jurisdiction as proposed, would be effective July 1, 2010. At the time of publishing, some of these proposed changes had not been legislated. The changes apply to Newfoundland and Labrador and Nova Scotia. Effective July 1, 2010:
Newfoundland and Labrador proposes to reduce the provincial personal income tax rate for the second income bracket from 12.8 percent to 12.5 percent and for the third bracket from 15.5 percent to 13.3 percent. The age amount claimed on a TD1NL will also increase from $3,681 to $5,000. In addition, the upper income eligibility threshold for the non-refundable tax credit would increase from $51,940 to $60,733.
Nova Scotia proposes to implement a fifth income tax bracket and tax rate and to eliminate the high-income surtax. A new tax rate of 21 percent would apply to taxable income exceeding $150,000, while the previous top rate of 17.5 percent would apply to taxable income from $93,000.01 to $150,000. The Minister also proposed that, effective January 1, 2010, the surtax equal to 10 percent of individual provincial tax payable in excess of $10,000 will be suspended indefinitely.
See theT4127 payroll deductions formulas for computer programs here. Note: In jurisdictions were there are no changes, employers and payroll specialists must continue to use the T4127, Payroll Deductions Formulas for Computer Programs – 91st Edition, effective January 1, 2010.
Tables on Diskette will be discontinued
The Canada Revenue Agency has confirmed that the final edition of Tables on Diskette (ToD) will be issued for July 1, 2010. This decision reflects the minimal requests received in recent years for a stand-alone computer program version in favour of the Payroll Deductions Online Calculator (PDOC). The CRA indicates that this has resulted in cost savings and benefits to the environment.
July 1, 2010 Canada Day/Dominion Day, A Public National Holiday
Employees get a day off with public holiday pay. If the employee is required to work on the holiday, the employee must be paid regular wages and/or premium pay and/or get a substituted day off with pay at a later date. Canada Day is observed on July 1, the only exception is if July 1 falls on a Sunday, it is observed the following business day which is Monday (Newfoundland and Labrador has a different rule under the Shops’ Closing Act). Canada Day falls on a Thursday this year. The Federal Holidays Act states, July 1, not being a Sunday, is a legal holiday and shall be kept and observed as such throughout Canada under the name of “Canada Day”.
In accordance with Shops’ Closing Acts, or Retail Business Holiday Acts, or the Urban Municipality Acts, or Commercial Establishments Business Hours Act, or Days of Rest Act, provinces such as Ontario, Quebec and the Atlantic provinces except for Prince Edwards Island, must close retail businesses and commercial establishments on July 1, Canada Day (or July 2 if July 1 is a Sunday). Municipalities may pass by-laws that further restrict hours of operation or allow certain businesses in designated tourist areas to open regardless of these Acts.
On June 20, 1868, a proclamation signed by the Governor General, Lord Monck, called upon all Her Majesty’s loving subjects throughout Canada to join in the celebration of the anniversary of the formation of the union of the British North America provinces in a federation under the name of Canada on July 1st.
July 1, 2010 Canada Day/Dominion Day, A Public National Holiday
Employees get a day off with public holiday pay. If the employee is required to work on the holiday, the employee must be paid regular wages and/or premium pay and/or get a substituted day off with pay at a later date. Canada Day is observed on July 1, the only exception is if July 1 falls on a Sunday, it is observed the following business day which is Monday (Newfoundland and Labrador has a different rule under the Shops’ Closing Act). Canada Day falls on a Thursday this year. The Federal Holidays Act states, July 1, not being a Sunday, is a legal holiday and shall be kept and observed as such throughout Canada under the name of “Canada Day”.
In accordance with Shops’ Closing Acts, or Retail Business Holiday Acts, or the Urban Municipality Acts, or Commercial Establishments Business Hours Act, or Days of Rest Act, provinces such as Ontario, Quebec and the Atlantic provinces except for Prince Edwards Island, must close retail businesses and commercial establishments on July 1, Canada Day (or July 2 if July 1 is a Sunday). Municipalities may pass by-laws that further restrict hours of operation or allow certain businesses in designated tourist areas to open regardless of these Acts.
On June 20, 1868, a proclamation signed by the Governor General, Lord Monck, called upon all Her Majesty’s loving subjects throughout Canada to join in the celebration of the anniversary of the formation of the union of the British North America provinces in a federation under the name of Canada on July 1st.