Federal Post
Bill C‑15: Key Developments for Employers
Date: March 31, 2026
Federal Bill C-15, Budget 2025 Implementation Act, No. 1, received Royal Assent on March 26, 2026. It makes changes that affect public sector employers and federally regulated employers.
For federally regulated employers, Bill C-15 includes amendments to support enforcement of employee misclassification rules under the Canada Labour Code. For public sector employers, it expands early retirement eligibility and adds a temporary early retirement option during periods of workforce reduction.
CRA Can Share Information With ESDC to Help Enforce Misclassification Rules
For federally regulated employers, Bill C‑15 amends federal tax laws, including the Income Tax Act and the Income Tax Regulations, and makes a related amendment to the Excise Tax Act. These changes allow the Canada Revenue Agency to share taxpayer information and other confidential information with Employment and Social Development Canada to administer or enforce the Canada Labour Code rules that relate to the misclassification of employees (for example, classifying an employee as an independent contractor).
Expanded Early Retirement and Temporary Retirement Option
For public sector employers, Bill C-15 amends the Public Service Superannuation Act. Among other things, it:
- expands eligibility for early retirement for certain contributors
- authorizes certain plan members to exercise a temporary early retirement option during periods of workforce reduction
Takeaways
Misclassification
These information sharing amendments increase the risk of detection and enforcement of worker misclassifications for federally regulated employers. Employers are encouraged to prioritize disciplined and proper employee classification practices, and maintain supporting documentation.
Early Retirement
The expanded early retirement eligibility and the temporary early retirement option, give public sector employers statutorily sanctioned restructuring tools to address financial or operational pressures. These tools may provide alternative options, reducing the need to rely only on layoffs or terminations.
For questions about Bill C-15, please contact your regular Hicks Morley lawyer.
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