Ontario to increase fines for employment standards violations

Ontario is set to clamp down on bad employers with big fines.

Ontario Labour Minister David Piccini attends Question Period at the Ontario legislature in Toronto, Tuesday, Nov. 28, 2023. (THE CANADIAN PRESS/Chris Young)

Labour Minister David Piccini says his government will introduce legislation next week that will see fines increased for violations of the Employment Standards Act.

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Piccini told the Canadian Press he is sending a message to "bad actor" employers there will be more severe consequences for exploiting workers.

Ministry officials said they are looking to stamp out organizations that fail to pay wages, penalize employees for taking pregnancy or parental leave and/or have unequal pay for equal work.

The maximum fine for individuals convicted of violating the act will increase to $100,000 from $50,000.

Ministry of Labour investigators will also have the ability to lay $5,000 fines for repeat offenders, up from $1,000, an amount which can be multiplied based on the number of employees affected by contravention of the law.

"We're sending a clear message that as our economy grows and we attract all these incredible investments, we're going to protect workers," Piccini said.

"We know that through enforcement blitzes over the previous few years, we have found bad actors."

The president of the Sault District Labour Council, Michele McCleave-Kennedy, called the changes encouraging news.

President of the Sault District Labour Council, Michele McCleave-Kennedy speaks with CTV News on May 3, 2024. (Cory Nordstrom/CTV News Northern Ontario)

“The ministry is going to follow through on some of the labour laws that have already been enacted and hopefully they're going to strengthen them,” she said.

“I'm hoping that the writing I mean, the proof is in the pudding, as they say.”

A recent ministry investigation found 10,000 workers in Ontario were owed $4.2 million collectively, according to Piccini.

"That sends a signal to us that we have to do more to protect our workers in Ontario," he said.

McCleave-Kennedy said that the province now needs to address the number of inspectors it employs.

“We need to have more Ministry of Labour inspectors that are available to come to an accident site when it occurs,” she said.

“When the accident occurs, the worker is not supposed to leave the site unless they need to go for medical attention, but they're supposed to be there for the investigation.”

McCleave-Kennedy told CTV News that she is hopeful that the “added teeth” will deter businesses that are looking to cut corners to increase profits.

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The new fines are part of a labour omnibus bill set to be tabled in the legislature on Monday.

The bill will also give wildland firefighters the same cancer, heart and post-traumatic stress coverage as municipal firefighters and create a new high school apprenticeship pathway to graduation that the government is hoping will help meet demand for skilled trades.

Provincial officials said the legalisation will also do away with sick note requirements for short absences in an effort to decrease the workload of family doctors.

McCleave-Kennedy added that the province and the ministry should focus more efforts on health and safety training.

With files from The Canadian Press and CTV Northern Ontario News journalist Cory Nordstrom