Federally regulated employers may soon be required to review and possibly raise pay rates for part-time, seasonal or casual workers under new “Equal Treatment” wage rules. Federally regulated temporary help agencies (THAs) may be particularly affected by these new rules. THAs are entities that assign individuals to temporarily work for their clients.
The federal government is finalizing regulations to implement these Equal Treatment rules and is inviting public comment on the draft regulations until March 24, 2025. The government anticipates the proposed amendments will come into force by order-in-council in late 2025 or early 2026.
In 2018, the Budget Implementation Act, 2018, No.2 (Bill C-86) revised the Canada Labour Code (the Code) with respect to Equal Treatment of wages. These provisions are not yet in force.
The Equal Treatment rules prohibit differential wage rates among employees based on “employment status” when employees:
Essentially, Equal Treatment requires employees performing similar work to be paid similar wage rates, with some exceptions. To this end, Bill C-86 also provides that federally regulated THAs cannot pay their employees a lower wage rate than what the client pays for the same kind of work under similar working...
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