Human Resource Update for Employers – A Review of new and proposed Ontario Employment Legislation
Keeping up with changing employment legislation and regulations can be challenging. Every year in Ontario there are new laws passed that impact the Ontario worker and the workplace. The employment legislation update 2017 summary below will help employers keep up to date and compliant. Links to learn more about these changes are available at the end of this post. If you have questions or need assistance implementing changes in your workplace, Fusion Career Services can help.
New Legislation – Employment Legislation Update 2017
Pension Reform
This past year involved a lot of action on pension reform in Ontario and across Canada. In the end, the Ontario Government cancelled the Ontario pension plan and the Federal Government passed legislation to expand the Canada Pension Plan.
CPP Expansion – An Act to amend the Canada Pension Plan – Bill C-26
Bill C-26 received Royal Assent on December 15, 2016. The new expanded CPP program will allow for an increase in retirement pension, based on additional contributions and number of years participating. The program will be phased over seven years, with additional contributions beginning in 2019. The increase to maximum pensionable earnings will reach 14% by 2025.
Employer Action:
Employers should budget for additional CPP contributions beginning in 2019, and gradually increasing each year until 2025. More specific details will be available in the coming months.
ORPP Cancelled – Ontario Retirement Pension Plan
As a result of the Federal Government commitment to expand CPP for all Canadian workers, the Ontario Government has cancelled the Ontario Retirement Pension Plan (ORPP).
Voluntary Savings Tool – Ontario Pooled Registered Pension Plan Act – Bill 57
Bill 57 allows Ontario Businesses to offer pooled registered pension plans to their employees and provides self employed people the option to participate. PRPPs offer a voluntary, low cost, tax assisted option to increase retirement savings.
Sexual Harassment in the Workplace – Bill 132
The Sexual Violence and Harassment Action Plan Act aims to make workplaces, campuses and communities safer and more responsive to complaints about sexual violence and harassment and the needs of survivors. For employers, Bill 132 amends the Occupational Health and Safety Act (OHSA) to include specific requirements for sexual harassment prevention programs in the workplace. The changes create employer duties to protect workers, including a duty to ensure that incidents and complaints of sexual harassment are appropriately investigated.
Employer Action:
Employers must review and update their Workplace Harassment Policy, develop a Program to implement the Policy, and train managers and employees on the new requirements.
Recent Legislation – Employment Legislation Update 2017
Accessibility – Accessibility for Ontarians with Disabilities (AODA)
In 2005, the provincial government passed the Accessibility for Ontarians with Disabilities Act with the goal of making Ontario accessible by 2025. Implementation began in 2012 and continues through 2025.
Employer Action Required for Private Sector Companies in 2017:
January 2017 – Employers with 50 or more employees are required to create accessible public spaces such as waiting areas, service counters, walkways and parking. This only applies to new or major renovations to existing public spaces. Changes to other building spaces will be implemented through changes to the Ontario building code.
January 2017 – Employers with fewer than 50 employees are required to implement accessibility across all stages of the employment relationship (hiring, training, promotion, return to work after illness or injury, and more) and provide accessible formats and communication supports about goods, services or facilities, on request.
Employers with 20 or more employees must file an AODA compliance report by December 31, 2017.
WHMIS 2015 – New Regulation
All provinces and territories are in the process of amending their Workplace Hazardous Material Information System (WHMIS) requirements to reflect the federal changes towards the Global Harmonized System (GHS) or WHMIS 2015.
Employer Action:
Ontario employers who use or distribute hazardous chemicals must begin implementing the new WHMIS 2015 regulation which includes new language on chemical labels and information sheets. The phase in period will be between February 2015 and December 2018. During the transition workers must be trained on both systems – WHMIS 1988 and WHMIS 2015.
Police Record Checks – Bill 113
Bill 113, standardizes how police record checks are managed in Ontario. Implementation dates for the legislation have not yet been announced.
Employer Action:
Employers and volunteer organizations who use police record checks to screen potential candidates will need to be prepared to follow new procedures once the Act is proclaimed.
ESA Poster and Annual Increase to Minimum Wage – Bill 18
The Stronger Workplaces for a Stronger Economy Act, 2014, Bill 18, introduced a number of key changes to Ontario workplace legislation designed to protect vulnerable workers.
Employer Action:
All new employees must receive a copy of the Employment Standards Act Poster – What You Need To Know. Each year increases to minimum wage will be announced in April and come into effect on October 1.
Temporary Workers – Bill 18
The Stronger Workplaces for a Stronger Economy Act, 2014, Bill 18, introduced changes that impact employers who use temporary workers. The most significant change involves a new shared liability between the employer and the temporary help agency for unpaid wages. This change introduces the risk of dual payments for temporary labour.
Employer Action:
Employers need to be diligent and ensure their temporary help agency is financially stable and following the law.
New JHSC Certified Training Standards
Most workplaces in Ontario with 20 or more workers are required to have a Joint Health & Safety Committee (JHSC) comprised of both workers and management. The Ministry of Labour has issued new standards for JHSC Certification Training.
Employer Action:
Employers must follow new training standards and ensure JHSC receives re-certification training every 3 years.
Consultations on Employment Related Laws – Ongoing
Gender Wage Gap
The most recent wage statistics show a 14% to 26% difference in wages earned by men and women. The Government held public consultations across the province and has now released a Final Report with recommendations for a plan to close the gap. The Government will lead many of the initiatives recommended in the report, including a plan to invest in child and elder care and development of “share and care” parental leave policies encouraging men and women to share responsibility for care-giving. However, in order for real change to occur employers must also participate.
Employer Action:
Actions employers can take immediately to address the gender wage gap: take corrective action to close gender wage gaps in their organizations; create respectful workplaces, free of violence and harassment; and promote pay transparency.
WSIB Rate Framework Modernization
In November 2016, the Workplace Safety and Insurance Board’s (WSIB) Board of Directors approved a new Rate Framework. The WSIB has introduced dramatic reforms that will change how the Board classifies employers, assigns annual premiums and measures employer’s performance from year to year. The WSIB will continue to engage stakeholders through education efforts to ensure employers are prepared for the target implementation date of January 1, 2019.
Employer Action:
Employers should look out for notices from the WSIB on the new Rate Framework or visit the WSIB Rate Framework Modernization webpage to learn more about how the changes will impact their organization.
Changing Workplaces Review
This review is considering how the Labour Relations Act, 1995 and Employment Standards Act, 2000 could be amended to best protect workers while supporting businesses in our changing economy. An Interim Report was published in July 2016 and additional public consultations were open until October 2016. A final report is expected in 2017.
More Information on Employment Legislation Update 2017
Need more information about the changes discussed above? Visit the Fusion Industry Resource Page and browse through our Manager Guides or visit the links below.
CPP – Bill C-26
Pooled Registered Pension Plan Act – Bill 57
Sexual Violence and Harassment Action Plan Act – Bill 132
Accessibility for Ontarians with Disabilities Act, AODA
GHS – WHMIS 2015
Police Record Checks, Bill 113
Stronger Workplaces for a Stronger Economy, 2014, Bill 18
New Standards Joint Health and Safety Training
Gender Wage Gap Final Report
WSIB Rate Framework Modernization
Changing Workplaces Review Interim Report