Bill 149: Working for Workers Four Act

Bill 149: Working for Workers Four Act

On November 15, 2023, the Ontario Government tabled Bill 149, which if passed, would make changes to Ontario’s Employment Standards Act, 2000 (“ESA”) to provide further protections to employees. The following are some of the key proposed changes for employers to note.

Job Posting Requirements

If passed, Bill 149 would amend the ESA to introduce job posting requirements for “publicly advertised Job postings” including:

  • Requiring employers to include the expected compensation for the position or the range of compensation in the job posting;
  • Requiring employers to disclose whether they use artificial intelligence to “screen, assess, or select applicants”; and
  • Banning the inclusion of Canadian work experience requirements in the job posting or related application form.

Bill 149 would also require employers to retain copies of every publicly advertised job posting for three years after the posting is removed.

Trial Periods and Deductions

If passed, Bill 149 would add a section to the ESA stipulating that individuals working during a trial period will fall under the ESA’s definition of “employee”. This means that any work done during this trial period, including training, must be compensated.

It will also prohibit employers from deducting employees’ wages where a customer at a restaurant, gas station, or other establishment leaves without paying for the goods or services.

Tips/Gratuities

Bill 149 will amend the ESA to stipulate the ways in which an employee must be paid their tips or other gratuities, including:

  • Requiring employers to pay tips by cash, cheque (payable to the employee), direct deposit, or other prescribed method of payment;
  • If the tips are paid by cash or cheque, the payment must be made at the workplace or another agreeable location; and
  • An employer can pay tips by direct deposit only if the account is in the employee’s name, is chosen by the employee, and is accessible only to the employee or another person authorized by the employee.

Bill 149 would also amend the ESA to specify that an employer with a tip sharing policy must display the policy in at least one conspicuous place in the establishment where it is likely to come to the attention of employees. If this policy is later retracted, the employer is required to retain a copy for at least three years.

Vacation Pay/Alternate Pay Arrangements

Employers are generally required to pay employees their vacation pay in a lump sum in advance of their vacation, or the employer and employee can agree to an “alternate pay arrangement”. Bill 149 would amend ESA’s vacation pay provisions to stipulate that any alternate pay arrangement must be “set out in an agreement”.

Conclusion

If you are an employer or employee with questions about Bill 149 or any other workplace law matter, please contact a lawyer at Turnpenney Milne LLP.

Written By: Lindy Herrington