Canada Labour Code (R.S.C., 1985, c. L-2)

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Act current to 2018-07-05 and last amended on 2017-12-12. Previous Versions

Marginal note:Applicable provisions

 Sections 58 and 66 apply, with such modifications as the circumstances require, in respect of a decision of an arbitrator under section 224 as though it were a decision referred to in those sections.

  • 1980-81-82-83, c. 89, s. 32.
Marginal note:Implementation of adjustment program

 On completion of the development of an adjustment program, the employer shall implement the program and the joint planning committee and any trade union or redundant employees who appointed the members of the committee shall cooperate with and assist the employer in implementing the program.

  • 1980-81-82-83, c. 89, s. 32.
Marginal note:Regulations

 The Governor in Council may make regulations for carrying out the purposes and provisions of this Division and, without restricting the generality of the foregoing, may make regulations

  • (a) exempting employers from the application of this Division in respect of the termination of employment of employees employed on a seasonal or irregular basis;

  • (b) requiring employers employing employees in a particular occupational classification, in a particular industry or in an industrial establishment that is within an area or region described in the regulations, to comply with the provisions of this Division in respect of terminations of employment of groups of employees numbering less than fifty but greater than a number prescribed in the regulations;

  • (c) prescribing information to be set out in a notice referred to in subsection 212(1); and

  • (d) prescribing circumstances in which a lay-off of an employee shall not be deemed to be a termination of his employment by his employer.

  • R.S., c. 17(2nd Supp.), s. 16.
Marginal note:Waiver of application of Division

 On the submission of any person, the Minister may, by order and subject to any terms or conditions specified in the order, waive the application of this Division, or any provision thereof, in respect of any industrial establishment or of any class of employees therein specified in the order if it is shown to the satisfaction of the Minister that the application of this Division, or any provision thereof, as the case may be, in respect of any industrial establishment

  • (a) would be or is unduly prejudicial to the interests of the employees therein or to any class of employees therein;

  • (b) would be or is unduly prejudicial to the interests of the employer of those employees;

  • (c) would be or is seriously detrimental to the operation of the industrial establishment; or

  • (d) is not necessary, because measures for the assistance of redundant employees at that establishment that are substantially the same or to the same effect as the measures established by this Division or that provision, as the case may be, have been established by collective agreement or otherwise.

  • R.S., c. 17(2nd Supp.), s. 16;
  • 1980-81-82-83, c. 89, s. 33.
Marginal note:Application of sections 214 to 226
  •  (1) Sections 214 to 226 do not apply in respect of any redundant employees who are represented by a trade union if the trade union and the employer are bound by a collective agreement containing

    • (a) provisions that

      • (i) specify procedures by which any matters relating to the termination of employment in the industrial establishment at which those employees are employed may be negotiated and finally settled, or

      • (ii) are intended to minimize the impact of termination of employment on the employees represented by the trade union and to assist those employees in obtaining other employment; and

    • (b) provisions that specify that those sections do not apply in respect of the employees represented by the trade union.

  • Marginal note:Idem

    (2) Sections 214 to 226 do not apply in respect of any redundant employees who are represented by a trade union if the termination of the employment of those employees is the result of technological change as defined in subsection 51(1) and sections 52, 54 and 55 apply or would, but for subsection 51(2), apply to the trade union and the employer.

  • 1980-81-82-83, c. 89, s. 33.

DIVISION XIndividual Terminations of Employment

Marginal note:Notice or wages in lieu of notice
  •  (1) Except where subsection (2) applies, an employer who terminates the employment of an employee who has completed three consecutive months of continuous employment by the employer shall, except where the termination is by way of dismissal for just cause, give the employee either

    • (a) notice in writing, at least two weeks before a date specified in the notice, of the employer’s intention to terminate his employment on that date, or

    • (b) two weeks wages at his regular rate of wages for his regular hours of work, in lieu of the notice.

  • Marginal note:Notice to trade union in certain circumstances

    (2) Where an employer is bound by a collective agreement that contains a provision authorizing an employee who is bound by the collective agreement and whose position becomes redundant to displace another employee on the basis of seniority, and the position of an employee who is so authorized becomes redundant, the employer shall

    • (a) give at least two weeks notice in writing to the trade union that is a party to the collective agreement and to the employee that the position of the employee has become redundant and post a copy of the notice in a conspicuous place within the industrial establishment in which the employee is employed; or

    • (b) pay to any employee whose employment is terminated as a result of the redundancy of the position two weeks wages at his regular rate of wages.

  • Marginal note:Where employer deemed to terminate employment

    (3) Except where otherwise prescribed by regulation, an employer shall, for the purposes of this Division, be deemed to have terminated the employment of an employee when the employer lays off that employee.

  • R.S., c. 17(2nd Supp.), s. 16.
Marginal note:Conditions of employment

 Where notice is given by an employer pursuant to subsection 230(1), the employer

  • (a) shall not thereafter reduce the rate of wages or alter any other term or condition of employment of the employee to whom the notice was given except with the written consent of the employee; and

  • (b) shall, between the time when the notice is given and the date specified therein, pay to the employee his regular rate of wages for his regular hours of work.

  • R.S., c. 17(2nd Supp.), s. 16.
Marginal note:Expiration of notice

 Where an employee to whom notice is given by his employer pursuant to subsection 230(1) continues to be employed by the employer for more than two weeks after the date specified in the notice, his employment shall not, except with the written consent of the employee, be terminated except by way of dismissal for just cause unless the employer again complies with subsection 230(1) in respect of the employee.

  • R.S., c. 17(2nd Supp.), s. 16.
Marginal note:Regulations

 The Governor in Council may make regulations

  • (a) prescribing circumstances in which a lay-off of an employee shall not be deemed to be a termination of his employment by his employer; and

  • (b) [Repealed, R.S., 1985, c. 9 (1st Supp.), s. 11]

  • (c) defining for the purposes of this Division the absences from employment that shall be deemed not to have interrupted continuity of employment and the expression “regular hours of work”.

  • R.S., 1985, c. L-2, s. 233;
  • R.S., 1985, c. 9 (1st Supp.), s. 11.
Marginal note:Application of section 189

 Section 189 applies for the purposes of this Division.

  • R.S., c. 17(2nd Supp.), s. 16.

DIVISION XISeverance Pay

Marginal note:Minimum rate
  •  (1) An employer who terminates the employment of an employee who has completed twelve consecutive months of continuous employment by the employer shall, except where the termination is by way of dismissal for just cause, pay to the employee the greater of

    • (a) two days wages at the employee’s regular rate of wages for his regular hours of work in respect of each completed year of employment that is within the term of the employee’s continuous employment by the employer, and

    • (b) five days wages at the employee’s regular rate of wages for his regular hours of work.

  • Marginal note:Circumstances deemed to be termination and deemed not to be termination

    (2) For the purposes of this Division,

    • (a) except where otherwise provided by regulation, an employer shall be deemed to have terminated the employment of an employee when the employer lays off that employee.

    • (b) [Repealed, 2011, c. 24, s. 167]

  • R.S., 1985, c. L-2, s. 235;
  • R.S., 1985, c. 32 (2nd Supp.), s. 41;
  • 2011, c. 24, s. 167.
 
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