June 10, 2021

ESA ‘COVID-19’ Period extended to September 25, 2021

I advised in December that the regulatory changes to the Employment Standards Act  originally brought forward in May of 2020 to address the impact of the COVID pandemic would be extended from January 2, 2021 to July 3, 2021.

These changes have now been further extended to September 25, 2021 and  the government has stated that “the rules in the regulation apply during the “COVID-19 period which is from March 1, 2020 to September 25, 2021“.

This effects all non-union employees and unionized employees in some sectors such as hospitality and other hard-hit industries.

Non-union employees
Employers can put non-unionized employees on job-protected leave during the COVID-19 outbreak any time their hours of work are temporarily reduced by the employer due to the pandemic

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This measure is intended to provide relief to employers while preventing temporary layoffs from becoming permanent.

Union employees in hospitality and other hard-hit industries

The government is creating a special industry regulation allowing employers to negotiate alternative arrangements with unions for putting termination and severance pay into trust for laid-off employees. Employers with laid-off unionized workers need to put all potential termination and severance payments in a trust after 35 weeks while employees wait to be recalled to their jobs.For companies in effected industries, employers and unions have the option to use those funds to help keep business doors open. NOTE: The provision is only available if unions and employers both agree to create alternative arrangements. For instance, an employer and union could agree to only 50 per cent of termination and severance pay being put into trust. Employers will not be able to implement these changes unilaterally.

I hope you find this information helpful and that you have an enjoyable weekend as restrictions begin to be eased throughout the province. 

Please contact me with any questions you may have or for assistance working through your staffing matters.