New Regulation to Provide Temporary Relief from ESA Termination Provisions
Date: May 29, 2020
Earlier today, the Ontario government published a new regulation under the Employment Standards Act, 2000 (ESA) that is intended to provide temporary relief from the ESA’s termination provisions for employers whose operations have been shut down or otherwise curtailed by COVID-19.
The regulation will accomplish this in several ways:
- deeming certain employees whose hours or wages have been temporarily reduced to be on an Infectious Disease Emergency Leave
- deeming temporary reductions in hours or wages during certain defined periods not to be layoffs
- deeming temporary reductions in hours or wages during certain defined periods not to constitute a constructive dismissal.
The regulation (O. Reg. 228/20, Infectious Disease Emergency Leave) is complex, and there are a range of qualifications and exceptions to these general principles. Notably, the new rules do not apply to unionized employees.
We are reviewing the regulation in detail, and will be publishing a more complete review of the new rules by Sunday, May 31, 2020.
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