Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

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Canada’s Competition Act Will Soon Criminally Prohibit Wage-Fixing and No-Poaching Agreements Between Unaffiliated Employers

New Legislation Enacted

Authors: Rhonda B. Levy, Knowledge Management Counsel, and Monty Verlint, Partner – Littler LLP

On June 23, 2022, Canada’s Bill C-19, Budget Implementation Act, 2022, No. 1 received Royal Assent and amended Canada’s Competition Act, which applies to all provincially and federally regulated businesses operating in Canada. These amendments include a new s. 45(1.1), which, when it comes into force on June 23, 2023, will prohibit employers from conspiring, agreeing or arranging to enter into “wage-fixing agreements” and “no-poach agreements” with another employer that is not affiliated with them.

Canada’s Employment Insurance Sickness Benefits and Federal Medical Leave Extended

New Legislation Enacted

Authors: Rhonda B. Levy, Knowledge Management Counsel, and Monty Verlint, Partner – Littler LLP

On December 18, 2022, Canada’s Employment Insurance (EI) sickness benefits were extended permanently from 15 weeks to 26 weeks. To align with this change, on the same date, the maximum length of unpaid medical leave available to federally regulated private-sector employees was also increased from 17 to 27 weeks under the Canada Labor Code.

Ontario Court Finds Sexual Harassment Not an Independent Tort

Precedential Decision by Judiciary or Regulatory Agency

Authors: Rhonda B. Levy, Knowledge Management Counsel, and Monty Verlint, Partner – Littler LLP

In Incognito v. Skyservice Business Aviation Inc., 2022 ONSC 1795, Ontario's Superior Court of Justice found that sexual harassment is not an independent tort in Ontario capable of supporting an independent cause of action, and an employer cannot be found vicariously liable for the sexual harassment of one of its employees by another.

Ontario: Whether Wrongfully Dismissed Employee Met Obligation to Take Reasonable Steps to Mitigate Damage

Precedential Decision by Judiciary or Regulatory Agency

Authors: Rhonda B. Levy, Knowledge Management Counsel, and Monty Verlint, Partner – Littler LLP

The Ontario Court of Appeal’s decision in Lake v. La Presse, 2022 ONCA 742, clarifies principles relating to a wrongfully dismissed employee’s obligation to take reasonable steps to mitigate their damages, including that the employee must not unreasonably delay the start of their job search; the employee is obliged to seek only “comparable employment” (i.e., status, hours and remuneration); and if the employee applies for a position with a title more senior than their previous title, it should not be assumed that they are not taking reasonable steps to mitigate.

Ontario Court of Appeal Finds Reasonableness Reviews of Administrative Decisions Must Follow Vavilov Principles

Precedential Decision by Judiciary or Regulatory Agency

Authors: Rhonda B. Levy, Knowledge Management Counsel, and Monty Verlint, Partner – Littler LLP

In the companion decisions, Turkiewicz (Tomasz Turkiewicz Custom Masonry Homes) v. Bricklayers, Masons Independent Union of Canada, Local 1, 2022 ONCA 780 and Enercare Home & Commercial Services Limited Partnership v. UNIFOR Local 975, 2022 ONCA 779, the Ontario Court of Appeal found that when conducting reasonableness reviews of administrative decisions, including decisions of the Ontario Labor Relations Board, courts must follow the principles in Canada (Minister of Citizenship and Immigration) v. Vavilov, 2019 SCC 65.