2015 conférence sur le droit de l`emploi et du travail
Transcription
2015 conférence sur le droit de l`emploi et du travail
2015 CONFÉRENCE SUR LE DROIT DE L’EMPLOI ET DU TRAVAIL 2015 EMPLOYMENT & LABOUR LAW CONFERENCE Montréal Mercredi 6 mai 2015 | Wednesday, May 6, 2015 www.dlapiper.com DLA Piper (Canada) s.e.n.c.r.l. fait partie de DLA Piper, un bureau d’avocats mondial qui opère par l’entremise de diverses entités légales. Pour plus d’information veuillez vous référer à la section des avertissements légaux du site www.dlapiper.com. DLA Piper (Canada) LLP is part of DLA Piper, a global law firm operating through various separate and distinct legal entities. For further information please refer to the Legal Notices section at www.dlapiper.com. ORDRE DU JOUR Conférence sur le droit de l’emploi et du travail - Montréal mercredi, mai 6, 2015 Mot de bienvenue 8 h à 8 h 55 Inscription et petit déjeuner 8 h 55 à 9 h Mot d’ouverture/Introduction - Pablo Guzman Présentations: Session I 9 h à 9 h 20 Se séparer n’est pas une mince affaire : Les obligations post-emploi en 2015 - Karen Bock, présenté en anglais 9 h 20 à 9 h 40 Employé ou travailleur indépendant : le dilemme fiscal - Héloise Renucci et Mark Potechin, présenté en français 9 h 40 à 10 h Comment protéger votre milieu de travail contre l’intimidation - Michael Richards, présenté en anglais 10 h à 10 h 20 Voulez-vous coucher avec moi? ♪ ♫ ♪ ♫ (harcèlement sexuel en milieu de travail) - Pablo Guzman et Lucy-Maude Lachance, présenté en français Mises à jour sur le droit du travail à travers le Canada 10 h 20 à 10 h 40 Mise à jour de l’Ontario : Développements récents au centre de l’univers - Karen Bock, présenté en anglais Mise à jour de la Colombie Britannique : Développements récents sur la côte ouest - Michael Richards, présenté en anglais Mise à jour de Alberta : Développements récents - Wendy-Anne Berkenbosch, présenté en anglais Mise à jour du Québec : Développements récents dans la Belle Province - Melissa Gaul, présenté en français Pause-café 10 h 40 à 11 h Présentations: Session II 11 h à 11 h 20 Pause-café Ouch ça fait mal! L’octroi des dommages est à la hausse - Wendy-Anne Berkenbosch, présenté en anglais 11 h 20 à 11 h 40 Quoi de neuf docteur? Amendements au Code canadien du travail - André Giroux, présenté en français 11 h 40 à 12 h Naviguer les eaux du nouveau programme de travailleurs étrangers temporaires - Julio Mena, présenté en anglai 12 h à 12 h 20 Comment gérer vos accommodements raisonnables : un guide pour les employeurs - Tania Da Silva et Melissa Gaul, présenté en français Pause et dîner 12 h 20 à 12 h 45 Dîner et Conférencier invité 12 h 45 à 13 h 15 Pause et dîner Conférencier invité : Jessica Laforest, Commission des normes du travail du Québec DLA Piper (Canada) S.E.N.C.R.L. AGENDA 2015 Employment & Labour Law Conference - Montréal Wednesday, May 6, 2015 Welcome 8:00 am - 8:55 am Breakfast/Registration 8:55 am - 9:00 am Welcoming Remarks - Pablo Guzman Presentations: Session I 9:00 am – 9:20 am Breaking Up is Hard to Do: The Reality of Post-Employment Obligations in 2015 - Karen Bock, presented in English 9:20 am – 9:40 am Employee or Independent Contractor: the Tax Dilemma - Héloise Renucci and Mark Potechin, presented in French 9:40 am – 10:00 am How to Bullyproof your Workplace - Michael Richards, presented in English 10:00 am – 10:20 am Voulez-vous coucher avec moi? ♪ ♫ ♪ ♫ (Sexual Harassment in the Workplace) - Pablo Guzman and Lucy-Maude Lachance, presented in French Cross Country Check-up: Updates in Employment Law Across Canada 10:20 am – 10:40 am Ontario Update: Recent Developments From the Centre of the Universe - Karen Bock, presented in English British Columbia Update: Recent Developments on the West Coast - Michael Richards, presented in English Alberta Update: Recent Developments - Wendy-Anne Berkenbosch, presented in English Québec Update: Recent Developments From La Belle Province - Melissa Gaul, presented in French Refreshment Break 10:40 am – 11:00 am Presentations: Session II 11:00 am – 11:20 am Refreshment Break Ouch, That Hurts! Increasing Damages Awards - Wendy-Anne Berkenbosch, presented in English 11:20 am – 11:40 am What's up doc? Amendments to the Canada Labour Code - André Giroux, presented in French 10:40 am – 12:00 pm Navigating the Waters of the New Temporary Foreign Worker Program - Julio Mena, presented in English 12:00 pm – 12:20 pm How to be Reasonable in your Accommodations: A Guide for Employers - Tania Da Silva and Melissa Gaul, presented in French Break and Lunch 12:20 pm – 12:45 pm Special Presentation 12:45 pm - 1:15 pm Break and Lunch Special Guest Speaker: Jessica Laforest, Québec Labour Standards Commission DLA Piper (Canada) LLP Table des matières À propos de DLA Piper (Canada) S.E.N.C.R.L. .............................................................................. onglet 1 Profil du cabinet Se séparer n’est pas une mince affaire : Les obligations post-emploi en 2015 ......................... onglet 2 Karen Bock, présenté en anglais Employé ou travailleur indépendant : le dilemme fiscal ............................................................... onglet 3 Héloise Renucci et Mark Potechin, présenté en français Comment protéger votre milieu de travail contre l’intimidation .................................................. onglet 4 Michael Richards, présenté en anglais Voulez-vous coucher avec moi? ♪ ♫ ♪ ♫ (harcèlement sexuel en milieu de travail) .................. onglet 5 Pablo Guzman et Lucy-Maude Lachance, présenté en français Mise à jour de l’Ontario : Développements récents au centre de l’univers ................................ onglet 6 Karen Bock, présenté en anglais Mise à jour de la Colombie Britannique : Développements récents sur la côte ouest .............. onglet 7 Michael Richards, présenté en anglais Mise à jour de Alberta : Développements récents ......................................................................... onglet 8 Wendy-Anne Berkenbosch, présenté en anglais Mise à jour du Québec : Développements récents dans la Belle Province ................................ onglet 9 Melissa Gaul, présenté en français Ouch ça fait mal! L’octroi des dommages est à la hausse ........................................................... onglet 10 Wendy-Anne Berkenbosch, présenté en anglais Quoi de neuf docteur? Amendements au Code canadien du travail ........................................... onglet 11 André Giroux, présenté en français Naviguer les eaux du nouveau programme de travailleurs étrangers temporaires ................... onglet 12 Julio Mena, présenté en anglai Comment gérer vos accommodements raisonnables : un guide pour les employeurs ........... onglet 13 Tania Da Silva et Melissa Gaul, présenté en français Conférencier invité : Jessica Laforest ............................................................................................ onglet 14 La continuité d'une entreprise : Présentation spéciale par notre conférencière invitée Jessica Laforest de la Commission des normes du travail du Québec. Sondage ............................................................................................................................................. onglet 15 DLA Piper (Canada) S.E.N.C.R.L. Table of Contents About DLA Piper (Canada) LLP ....................................................................................................... Tab 1 Firm Profile Breaking Up is Hard to Do : The Reality of Post-Employment Obligations in 2015 ................... Tab 2 Karen Bock, presented in English Employee or Independent Contractor: the Tax Dilemma .............................................................. Tab 3 Héloise Renucci and Mark Potechin, presented in French How to Bullyproof your Workplace ................................................................................................. Tab 4 Michael Richards, presented in English Voulez-vous coucher avec moi? ♪ ♫ ♪ ♫ (Sexual Harassment in the Workplace) ..................... Tab 5 Pablo Guzman and Lucy-Maude Lachance, presented in French Ontario Update: Recent Developments From the Centre of the Universe .................................. Tab 6 Karen Bock, presented in English British Columbia Update: Recent Developments on the West Coast ......................................... Tab 7 Michael Richards, presented in English Alberta Update: Recent Developments ........................................................................................... Tab 8 Wendy-Anne Berkenbosch, presented in English Québec Update: Recent Developments From La Belle Province ................................................. Tab 9 Melissa Gaul, presented in French Ouch, That Hurts! Increasing Damages Awards ........................................................................... Tab 10 Wendy-Anne Berkenbosch, presented in English What's up doc? Amendments to the Canada Labour Code ......................................................... Tab 11 André Giroux, presented in French Navigating the Waters of the New Temporary Foreign Worker Program .................................... Tab 12 Julio Mena, presented in English How to be Reasonable in your Accommodations: A Guide for Employers ................................ Tab 13 Tania Da Silva and Melissa Gaul, presented in French Special Guest Speaker: Jessica Laforest, Québec Labour Standards Commission ................. Tab 14 Feedback Form .................................................................................................................................. Tab 15 DLA Piper (Canada) LLP FIRM OVERVIEW Effective April 17, 2015, Davis LLP combined with DLA Piper LLP (US) and has adopted the name DLA Piper (Canada) LLP. The firm will operate as an integral part of DLA Piper’s global platform and brand. With over 260 Canadian lawyers delivering services in more than 50 practice areas, DLA Piper (Canada) LLP provides unparalleled value to our clients by combining the deep resources of a global firm with the highest level of personal service in the business. Our mission and vision is to be Canada’s premiere entrepreneurial full-service law firm known for its leading edge specialties and comprised of lawyers who achieve results that exceed expectations through commitment to our clients and ourselves. Strength of Expertise As a full-service, international law firm, DLA Piper (Canada) LLP is strong in all of the traditional areas of legal practice and also offers clients the knowledge base of our broad array of innovative practice groups and integrated specialties. Across the firm, our lawyers continuously cultivate commercial and government relationships to facilitate the conduct of business and identify new business opportunities for our clients. With unrivalled Canadian experience representing organizations across all markets, DLA Piper (Canada) LLP is at the forefront of legal practice including: Commercial real estate and leasing, construction, municipal and environmental law. Corporate/commercial law, banking and finance, international trade and business transactions, infrastructure and project finance, insolvency and financial restructuring, taxation, intellectual property and information technology law. Complex litigation, alternative dispute resolution, administrative regulation and government relations, employment and labour relations, and human rights law. Our practice groups are coordinated into cross-disciplinary teams of specialists capable of directing formidable resources to particular areas of law, specific industries, and selected nations or regions as required. DLA Piper (Canada) LLP 1 Our Services Our core services that meet the legal and business needs of our clients include: Corporate Employment Environment Finance Intellectual Property and Technology International Trade, Regulatory and Government Affairs Litigation, Arbitration and Investigations Projects, Energy and Infrastructure Real Estate Restructuring Tax Transportation Our core sector teams include: Banking and Financial Services Education Energy Forestry Government Contracting Health Law Hospitality and Leisure Insurance Life Sciences Media, Sports and Entertainment Mining Technology DLA Piper (Canada) LLP 2 Recognition Our commitment to sensible and strategic legal counsel has garnered us a solid reputation for excellence and ethical practice. Our practitioners receive consistent recognition in ranking publications, including: Best Lawyers in Canada 2015 – directory lists 56 of the firm's lawyers across 36 practice areas as leaders in their field. Chambers Global 2015 – Our lawyers continue to rank highly in the leading international directory, and the firm’s practice area recognition increased by almost 30% over 2014. The Canadian Legal Lexpert Directory 2014 recognizes 34 of our partners and counsel as leading lawyers in various areas of practice. ® Martindale Hubbell – peer review rankings have 12 of our lawyers rated as AV Preeminent™ ® (highest level of professional excellence) and 52 as BV Distinguished™ (a widely respected mark of achievement). Benchmark Canada 2015 – named 11 litigation lawyers as Litigation Stars. Chambers Global sources were quoted as saying, “Their consistent and customer-oriented approach runs right through the organisation.” Helping Clients Succeed Clients can feel confident knowing that our services are of the highest calibre and integrity. We take pride in our services, our people and our clients. We do what it takes to take care of them and their needs. Our peers have noticed, and have shared their opinions with you and the global legal arena to assure you of our solid commitment to you. DLA piper (Canada) LLP lawyers and professional staff embody an entrepreneurial spirit that yields a business environment totally focused on client satisfaction. Our approach—alerting clients of economic and political developments so that they remain informed and compliant, presenting them with relevant and strategic business opportunities and helping initiate corresponding activities, leveraging our relationships to introduce clients to potential business partners, independently developing new commercial structures, and successfully handling conflict resolution—adds measurable value to our clients’ businesses. DLA Piper (Canada) LLP 3 Our Business Plan DLA Piper (Canada) is a full-service law firm that capitalizes on its existing competencies and resources. We foster a client-focussed culture where client’s needs drive the way we deliver services and the capabilities and skills we cultivate. We have positioned ourselves to be able to participate in high-end transactions without being dependent on the transaction market. All of our strategic decisions are based on the principal that the client’s interest is first, the firm’s second and the individual last. One of the foundations of our success is our unwavering commitment to integration and teamwork within and across all of our offices for the benefit of our clients. A key strategic focus has been on creating a virtual law firm environment for our lawyers through the deployment of technologies which have created tremendous efficiencies both from a service delivery and economic perspective for our clients. Personal Service, Worldwide Reach With deep roots in Canadian and international business communities, our extensive connections are used to help you keep pace with fluctuating global economies and evolving trends. We keep you informed and compliant of relevant economic, political and legal developments, help identify and initiate strategic business opportunities and manage conflict resolution. And of course, you always receive this added value with a level of service that is second to none. DLA Piper (Canada) LLP 4 APERÇU DU CABINET Le 17 avril 2015 Davis s.e.n.c.r.l., a fusionné avec DLA Piper LLP et a pris le nom de DLA Piper (Canada) s.e.n.c.r.l. Avec plus de 260 avocats canadiens offrant des services dans plus de 50 domaines de pratique, nous offrons une valeur inégalée à nos clients en combinant les vastes ressources d’un cabinet d’envergure mondiale avec le plus haut niveau de service personnalisé du secteur. Notre mission et notre vision sont clairs : être un cabinet d’avocats de premier ordre au Canada fournissant des services complets, connu pour ses domaines de spécialité de pointe et composé d’avocats dont les résultats dépassent les attentes par un engagement au service de nos clients et envers nous-mêmes. Expertise En tant que cabinet d’avocats international offrant des services complets, DLA Piper (Canada) s.e.n.c.r.l. possède des forces dans tous les domaines traditionnels de pratique juridique et offre aux clients un vaste éventail de groupes de pratique innovants et de spécialités transversales. À travers le cabinet, nos avocats entretiennent constamment des relations commerciales et gouvernementales afin de faciliter la conduite des affaires et identifier de nouvelles opportunités d’affaires pour nos clients. Avec une expérience canadienne inégalée quant à la représentation d’organisations à travers tous les marchés, DLA Piper (Canada) s.e.n.c.r.l. est à l’avant-garde de la pratique juridique, incluant les domaines du : Droit immobilier et des baux commerciaux, droit de la construction, droit municipal et environnemental. Droit des sociétés et droit commercial, droit bancaire et financement, droit du commerce international et transactions d’affaires, infrastructure et financement de projets, droit de la faillite et de la restructuration, droit fiscal, droit de la propriété intellectuelle et des technologies de l’information. Litiges complexes, méthodes alternatives de résolution de conflit, réglementation administrative et relations gouvernementales, droit du travail et des relations de travail, droits de la personne. Nos groupes de pratique sont constituées d’équipes de spécialistes interdisciplinaires capables de diriger des ressources formidables dans des domaines de droit particuliers, des industries spécifiques, et des pays ou régions tels que requis. DLA Piper (Canada) S.E.N.C.R.L. 1 Nos Services Nos services principaux permettant de satisfaire les besoins juridiques et d’affaires de nos clients sont les suivants: Droit des sociétés Droit du travail Droit de l’environnement Financement Droit de la propriété intellectuelle et des technologies Droit du commerce international, règlementation et affaires gouvernementales Litige, Arbitrage et Enquêtes Projets, Énergie et Infrastructure Droit immobilier Droit de la faillite et restructuration Droit fiscal Droit des transports Nos secteurs principaux incluent: Services bancaires et financiers Éducation Énergies Droit forestier Contrats publics Droit de la santé Hôtellerie et Loisirs Droit des assurances Sciences de la vie Médias, Sports et Divertissements Droit minier Technologies DLA Piper (Canada) S.E.N.C.R.L. 2 Reconnaissance Notre engagement à donner des conseils juridiques raisonnés et stratégique nous a permis d’obtenir une solide réputation d’excellence et de comportement éthique. Nos membres reçoivent constamment des reconnaissances dans les différents classements, incluant: Best Lawyers in Canada 2015 – liste 56 des avocats du cabinet à travers 36 domaines de pratiques en tant que leader dans leur secteur. Chambers Global 2015 – Nos avocats continuent de se retrouver dans la liste internationale, et la reconnaissance des domaines de pratiques a augmenté d’environ 30% en 2014. The Canadian Legal Lexpert Directory 2014 reconnaît 34 de nos associés et conseillers en tant qu’avocats de premier plan dans plusieurs domaines de pratique. Martindale Hubbell – la revue par les pairs a nommé 12 de nos avocats comme « AV ® ® Preeminent™ » (le plus haut niveau d’excellence professionnelle) et 52 comme « BV Distinguished™ » (un marque respectée de reconnaissance) Benchmark Canada 2015 – 11 avocats de litige ont été nommé « Litigation Stars ». Les sources de Chambers Global ont été citées à l’effet que “L’approche orientée sur le client se retrouve à travers l’organisation.” Aider les clients à réussir Les clients peuvent être en confiance en sachant que nos services sont de premier rang et d’une grande intégrité. Nous sommes fiers de nos services, de nos gens et de nos clients. Nous faisons ce qui est nécessaire pour bien les traiter, ainsi que leurs besoins. Nos pairs ont noté, et partagé leur avis avec vous et la scène juridique mondiale afin de vous assurer de notre engagement solide envers vous. Les avocats et l’équipe professionnelle de DLA piper (Canada) s.e.n.c.r.l. incarnent un esprit entrepreneurial qui engendre un environnement de travail orienté vers la satisfaction du client. Notre approche— alerter les clients des développements économiques et politiques afin de leur permettre de rester informer et en conformité, leur présenter des opportunités d’affaires pertinentes et stratégiques et les aider à initier les activités reliées, utiliser nos relations afin de permettre à nos clients de rencontrer des partenaires d’affaires potentiels, développer indépendamment de nouvelles structures commerciales, et gérer avec succès la résolution de différends—ajoute une valeur tangible aux affaires de nos clients. DLA Piper (Canada) S.E.N.C.R.L. 3 Notre plan d’affaires DLA Piper (Canada) s.e.n.c.r.l. est un cabinet offrant une gamme complète de services et capitalise sur des compétences et des ressources existantes. Nous encourageons une culture concentrée sur le client au sein de laquelle les besoins du client orientent notre façon de fournir des services, ainsi que nos capacités et compétences. Nous nous sommes positionnés afin de pouvoir participer à des transactions hautement sophistiquées sans être dépendants du marché des transactions. Toutes nos décisions stratégiques ont pour principe de placer en premier les intérêts de nos clients, puis les intérêts du cabinet et enfin ceux des individus. Un des fondements de notre réussite est notre engagement inébranlable à l’intégration et au travail d’équipe au sein et à travers tous nos bureaux de manière à avantager nos clients. Notre stratégie a été de créer un environnement de travail virtuel pour nos avocats par le biais du déploiement de technologies, permettant de créer un rendement inégalé d’un point de vue de la prestation de services et des perspectives économiques pour nos clients. Service personnalisé, portée mondiale Étant bien implanté dans les communauté d’affaires canadiennes et internationales, nos vastes connexions sont mises à profit afin de vous aider à suivre le rythme des économies mondiales fluctuantes et des tendances en évolution. Nous vous maintenons informés et aidons à vous conformer aux développements économiques, politiques et juridiques pertinents, vous aidons à identifier et initier des opportunités d’affaires stratégiques, et gérons la résolution des différends. Et, bien entendu, vous recevez toujours cette valeur ajoutée avec un niveau de service inégalé. DLA Piper (Canada) S.E.N.C.R.L. 4 Karen R. Bock Partner [email protected] Suite 6000, 1 First Canadian Place PO Box 367, 100 King St W, Toronto, ON, M5X 1E2, Canada T: +1 416 365 3523 F: +1 416 777 7444 Karen Bock is a partner in the Employment Group at the firm's Toronto office. Karen has a general management-side labour and CREDENTIALS employment law practice. Education LL.B., University of Toronto, 2000 Karen advises public and private-sector employers on matters, such as employment standards, arbitrations, wrongful dismissal actions, human rights complaints, workplace safety and insurance matters. Karen received her LL.B. from the University of Toronto in 2000. Ph.D., English Literature, Brown University M.A., English Literature, Brown University Previously, she earned her B.A. (Hons.) from the University of Winnipeg. She also earned an M.A. and Ph.D. in English Literature B.A., English Literature, (with Honours), University of Winnipeg from Brown University, and taught for some years at Wesleyan University in Connecticut. Admissions PUBLICATIONS Potter v. New Brunswick Legal Aid Services Commission: Supreme Court Expands Reach of Constructive Dismissal, 31 Languages Ontario English Mar 2015 2014 Employment and Labour Law Conference Presentations - Edmonton, 08 Oct 2014 PROFESSIONAL MEMBERSHIPS Member, Law Society of Upper Canada Member, Canadian Bar Association RECOGNITIONS Osgoode Society for Canadian Legal History Prize COMMUNITY INVOLVEMENT Board Member, Street Haven at the Crossroads DLA Piper (Canada) S.E.N.C.R.L. | 1 SE SÉPARER N’EST PAS UNE MINCE AFFAIRE: LES OBLIGATIONS POST-EMPLOI EN 2015 Présenté par Karen Bock Conférence en droit de l’emploi et du travail de Montréal Mercredi 6 mai 2015 OBLIGATIONS POST-EMPLOI : Où en sommes-nous en 2015? Quelles sont-elles? Pourquoi les voudriez-vous? Que devez-vous faire pour les obtenir? Comment les faire appliquer? Comment pouvez-vous les contourner? QUE SONT LES OBLIGATIONS POSTEMPLOI? Généralement, ce sont des obligations contractuelles auxquelles un individu est tenu envers son ancien employeur alias “clauses restrictives” puisque ce sont des restrictions imposées à un ancien employé pendant une certaine période de temps après la fin de l’emploi Obligations post-emploi les plus courantes: confidentialité non-concurrence non-sollicitation POURQUOI LES VOUDRIEZ-VOUS? Afin de protéger votre savoir-faire, vos informations confidentielles, les relations avec vos clients, les avantages compétitifs, etc. Sondage de 2013: Dans 47 % des cas les anciens employés violent l’entente de confidentialité et de non-divulgation en emportant des informations de l’entreprise avant de la quitter! Pour prévenir ou empêcher d’avantager un concurrent après que vous ayez investi des ressources importantes pour attirer, embaucher et retenir vos employés Pour éviter que vos employés tirent profit des relations qu’ils ont tissées (à vos frais) avec vos clients, consommateurs, contractants et employés en les sollicitant pour le compte de vos concurrents QUE DEVEZ-VOUS FAIRE POUR LES OBTENIR? Premièrement, comprenez que : Pour des motifs d’ordre public, les tribunaux canadiens n’aime PAS faire appliquer les obligations post-emploi (à l’exception des obligations de confidentialité) Shafron c. KRG Insurance Brokers (2009): la règle générale dicte que les clauses restrictives sont contraires à l’ordre public et donc nulles (Cour Suprême du Canada) Afin de persuader un tribunal de faire appliquer une clause restrictive, vous devez être capable de démontrer que la clause est raisonnable à tous égards. QU’EST-CE QUI EST “RAISONNABLE”? La clause restrictive ne doit pas outrepasser ce qui est nécessaire pour protéger les intérêts d’affaires légitimes de l’employeur. Elle doit être raisonnable quant à: sa durée son périmètre géographique; et tous ses autres aspects, incluant l’étendu des activités restreintes. Aller trop loin est fatal; il vaut mieux avoir une clause applicable couvrant une zone géographique moindre et en effet effective pour une période de temps plus courte que de ne pas avoir de protection du tout. QU’EST-CE QUI EST “RAISONNABLE”? La clause ne peut pas restreindre excessivement la capacité de l’employé à utiliser ses compétence pour gagner sa vie. La clause ne peut en aucun cas être ambigüe. “Le grand Vancouver”… ne fonctionnera pas. Prohiber de travailler dans toutes les activités dans lesquelles l’ancien employeur a un intérêt… ne fonctionnera pas. L’ancien employé doit savoir EXACTEMENT ce qu’il ne peut pas faire. Les tribunaux ne seront d’aucune aide: aucune “réparation” judiciaire d’une clause restrictive n’est permise! NON-CONCURRENCE vs. NONSOLLICITATION Une clause de non-concurrence n’est presque JAMAIS applicable. Le meilleur pari est sur une clause de non-sollicitation! EMPLOYÉ vs. ACTIONNAIRES/PROPRIÉTAIRE Une clause restrictive contractée par un employé est plus susceptible de ne pas respecter les conditions de “raisonnabilité”. Une clause restrictive contractée dans le cadre de la vente d’une entreprise est plus susceptible d’être opposable à l’ancien propriétaire ou actionnaire: Payette c. Guay Inc. LE TIMING (ET LA CONTREPARTIE) EST LA CLÉ Quand devez/devriez-vous solliciter une clause restrictive auprès d’un employé? Au moment de l’embauche? Lorsqu’une promotion importante est offerte? Au congédiement? Pour être exécutoire, l’employé doit recevoir une “contrepartie” en échange d’avoir accepté une clause restrictive,… …et ce n’est pas n’importe quelle contrepartie qui suffira! Et l’employé doit avoir eu l’opportunité pour se faire conseiller. EST-CE QUE LINKEDIN ENGENDRERA LA MORT DES CLAUSES RESTRICTIVES? Est-ce qu’employé qui met à jour les informations de son employeur sur LinkedIn est en effet en train de solliciter les clients / consommateurs / employés de son ancien employeur? Peut-être… Pouvez-vous restreindre ce qu’un ancien employé poste sur sa page LinkedIn? Peut-être… UNE FOISQUE VOUS LES AVEZ OBTENUS, COMMENT LES FAIRE APPLIQUER? Restez en alerte! Si vous n’agissez pas rapidement alors que vous êtes au courant d’une violation, une clause autrement exécutoire deviendra nonexécutoire. Envoyez une mise en demeure à votre ancien employé (et à son nouvel employeur) Demander une injonction pour éviter que l’ancien employé ne continue de violer la clause Documentez tout : les pertes dont vous avez soufferts à cause de la violation, tant celles qui sont pécuniairement quantifiables que celles qui ne le sont pas coûts de l’exécution CONGÉDIEMENT INJUSTIFIÉ ET APPLICABILITÉ Si l’employé est “injustement congédié”, le congédiement peut rendre invalide une clause restrictive autrement applicable. Au Québec, un employé qui est congédié sans “motif sérieux” n’est pas lié par la clause restrictive Parallèlement, un employé qui se conforme à une clause restrictive (même si elle était pas légalement applicable) peut se voir attribuer un préavis plus long en cas de recours pour congédiement injustifié Point à retenir?: Si vous voulez faire appliquer vos clauses restrictives, les tribunaux canadiens attendent que vous payiez pour ce privilège. COMMENT POUVEZ-VOUS LES CONTOURNER?: LE REVERS DE LA MÉDAILLE Que faites-vous si vous voulez embaucher un employé qui est assujetti à une clause restrictive? Premièrement: faites preuve de diligence raisonnable! Conditionnez votre offre d’emploi à une confirmation par l’employé qu’il n’est pas soumis à une clause restrictive. Si le candidat est lié par une clause restrictive, révisez-la et déterminez si elle peut être applicable ou non (consultez votre avocat!) COMMENT POUVEZ-VOUS LES CONTOURNER?: LE REVERS DE LA MÉDAILLE Développez une stratégie dans un cas où l’ancien employé chercherait à faire appliquer la clause: L’employé doit/devrait-il demander la permission de l’ancien employeur pour accepter votre emploi? Continuerez-vous d’employer l’employé? Risque de réclamation contre vous en tant que nouvel employeur : incitation à une violation du contrat ingérence dans les relations contractuelles DES ALTERNATIVES AUX CLAUSES RESTRICTIVES TRADITIONNELLES Si l’employé a une obligation fiduciaire, considérez si une clause restrictive est nécessaire Congé avant la fin de l’emploi ou entente de consultation vs. un congédiement Droit de reprise ou déchéance de compensation différé Levinsky c. Toronto Dominion Bank Clauses de prime de départ Woodward c. Stelco (Ontario) Nortel Networks c. Jervis (Ontario) Obligation de remboursement Rhebergen c. Crestron Veterinary Clinic (C.-B.) CONSEILS POUR LES EMPLOYEURS Utilisez des clauses restrictives avec parcimonie et seulement pour protéger des intérêts d’affaires identifiables et légitimes Adapter les clauses restrictives aux individus et à leurs activités véritables Rédigez avec soin! (Obtenez un avis juridique…) N’allez pas trop loin Revoyez les clauses restrictives avant de promouvoir, de changer l’employer de poste ou d’augmenter sa compensation, et mettez la clause à jour de manière appropriée la clause Considérez les interactions entre la clause restrictive et les dispositions de résiliation Envisagez des alternatives aux clauses restrictives BREAKING UP IS HARD TO DO: POST-EMPLOYMENT OBLIGATIONS Presented by Karen Bock Montréal Employment and Labour Law Conference Wednesday, May 6, 2015 POST-EMPLOYMENT OBLIGATIONS: Where are we in 2015? What are they? Why would you want them? What do you have to do to get them? How do you enforce them? How do you get around them? DLA Piper (Canada) LLP 2 WHAT ARE POST-EMPLOYMENT OBLIGATIONS? Typically, these are contractual obligations which an individual owes to a former employer aka “restrictive covenants” because they restrict what the former employee can do for a period of time after the employment has ended Most common post-employment obligations: confidentiality non-competition non-solicitation DLA Piper (Canada) LLP 3 WHY WOULD YOU WANT THEM? To protect your know-how, confidential information, client relationships, competitive advantages, etc. 2013 survey: Former employees breach confidentiality and nondisclosure agreements 47% of the time, taking company information before they leave! To prevent or hinder a competitor from benefiting after you have invested significant resources in attracting, hiring, and retaining your employees To prevent your employees from leveraging the relationships they have built (on your dime) with your clients, customers, contractors and employees by soliciting them on behalf of your competitors DLA Piper (Canada) LLP 4 WHAT DO YOU HAVE TO DO TO GET THEM? First, understand: As a matter of public policy, Canadian courts do NOT like to enforce post-employment obligations (except for confidentiality obligations) Shafron v. KRG Insurance Brokers (2009): the general rule is that restrictive covenants are contrary to public policy and therefore void (Supreme Court of Canada) In order to persuade a court to enforce a restrictive covenant, you have to be able to establish that the covenant is reasonable in all respects. DLA Piper (Canada) LLP 5 SO WHAT’S “REASONABLE”? The restrictive covenant must go no further than is necessary to protect the employer’s legitimate business interests. It must be reasonable in: duration geographic scope; and all other aspects, including scope of activity that is restricted. Over-reaching is fatal; better to have an enforceable covenant that covers less territory and is in effect for a shorter period of time than to have no protection at all. DLA Piper (Canada) LLP 6 SO WHAT’S “REASONABLE”? The covenant cannot unduly restrain the employee from using his/her skills to earn a living. The covenant cannot be ambiguous in any regard. “Greater Vancouver”… won’t work. Prohibition on engaging in any of the activities the former employer has interests in… won’t work. The former employee has to know EXACTLY what s/he can’t do. The courts won’t help: no judicial “fixing” of a covenant is allowed! DLA Piper (Canada) LLP 7 NON-COMPETE vs. NON-SOLICIT A non-compete covenant is almost NEVER enforceable. The smart money is on a non-solicit! DLA Piper (Canada) LLP 8 EMPLOYEE vs. SHAREHOLDER/OWNER A restrictive covenant entered into by an employee is less likely to meet the “reasonable” requirements. A restrictive covenant entered into as part of a sale of a business is more likely to be enforceable against the former owner or shareholder: Payette v. Guay Inc. DLA Piper (Canada) LLP 9 TIMING (AND CONSIDERATION) MAY BE EVERYTHING When can/should you seek a restrictive covenant from an employee? At the time of hiring? When a significant promotion is offered? At termination? To be enforceable, the employee must receive “consideration” in exchange for agreeing to the restrictive covenant,… …and not just any consideration will do! And the employee must be given time to seek advice DLA Piper (Canada) LLP 10 WILL LINKEDIN BE THE DEATH OF RESTRICTIVE COVENANTS? Is an employee who updates her employer information on LinkedIn effectively soliciting clients / customers / employees of her former employer? maybe… Can you restrict what a former employee posts on his LinkedIn page? maybe… DLA Piper (Canada) LLP 11 ONCE YOU HAVE THEM, HOW DO YOU ENFORCE THEM? Stay Alert! If you don’t act quickly once you are aware of a breach, an otherwise enforceable covenant will become unenforceable. Send a demand letter to the former employee (and to his/her new employer Seek an injunction to prevent the former employee from continuing to breach the covenant Document everything: losses you suffer because of the breach, both those that can be quantified in money and especially those that can’t costs of enforcement DLA Piper (Canada) LLP 12 WRONGFUL DISMISSAL AND ENFORCEABILITY If the employee is “wrongfully dismissed” the dismissal may invalidate an otherwise enforceable restrictive covenant in Québec, an employee who is terminated without “serious reason” is not bound by his/her restrictive covenant Alternatively, an employee who complies with a restrictive covenant (even if it was legally unenforceable) may be awarded a longer notice period in a wrongful dismissal action Take-home point?: If you want to enforce your restrictive covenants, Canadian courts expect you to pay for the privilege. DLA Piper (Canada) LLP 13 HOW DO YOU GET AROUND THEM?: THE OTHER SIDE OF THE COIN What do you do if you want to hire an employee who is subject to a restrictive covenant? First: do your diligence! Make your offer of employment conditional on the employee confirming s/he isn’t subject to a restrictive covenant. If candidate is bound by a restrictive covenant, review it and determine whether it is likely to be enforceable or not (consult your lawyer!) DLA Piper (Canada) LLP 14 HOW DO YOU GET AROUND THEM?: THE OTHER SIDE OF THE COIN Develop a strategy in case the former employer seeks to enforce the covenant: can/should the employee seek permission from the former employer to take your job? will you continue to employ the employee? Risk of claim against you as the new employer: inducing breach of contract interference with contractual relations DLA Piper (Canada) LLP 15 ALTERNATIVES TO TRADITIONAL RESTRICTIVE COVENANTS If the employee is a fiduciary employee, consider whether a restrictive covenant is necessary Garden leave or consulting arrangement vs. termination Clawback or forfeiture of deferred compensation Levinsky v. Toronto Dominion Bank Golden handcuff provisions Woodward v. Stelco (Ontario) Nortel Networks v. Jervis (Ontario) Repayment obligation Rhebergen v. Crestron Veterinary Clinic (BC) DLA Piper (Canada) LLP 16 TIPS FOR EMPLOYERS Use restrictive covenants sparingly and only to protect identifiable and legitimate business interests Tailor the restrictive covenant to the individual and her actual activities Draft carefully! (Get legal advice…) Don’t overreach Review restrictive covenants before each promotion, change of job or increase in compensation, and update the covenant as appropriate Consider interaction between restrictive covenant and termination provision Consider alternatives to restrictive covenants DLA Piper (Canada) LLP 17 BREAKING UP IS HARD TO DO: POST-EMPLOYMENT OBLIGATIONS IN 2015 By Karen R. Bock In a perfect world, employees would never resign or have to be terminated. They would have long and satisfying careers in which they remained productive and loyal to employers whose businesses would always be successful. In the imperfect world we all inhabit, however, employees do resign or are terminated, with or without cause. In this imperfect world, employers quite reasonably worry about what employees will do after employment ends with the knowledge they have gained working in the employer’s business. Employers seek to protect their businesses by restricting what a former employee can do with the knowledge she has gained during the course of her employment about the employer’s business, clients, customers and employees. Generally, employers try to use “restrictive covenants” to protect their interests. These restrictive covenants can be part of an initial employment agreement or a separate agreement signed by the employee before starting employment, during employment, or at the end of the employment relationship. However, if restrictive covenants are not carefully drafted and tailored to the employer’s specific business and the employee’s specific role in that business, they are not be worth the paper on which they are written. Restrictive covenants come in three basic varieties: confidentiality agreements non-solicitation agreements non-competition agreements A restrictive covenant prohibits an employee from doing something that would otherwise be lawful for the employee to do. A confidentiality agreement (also known as a “non-disclosure agreement”) restricts an employee or former employee from using his former employer’s confidential information in the employee’s subsequent employment. A non-solicitation agreement restricts an employee from soliciting her former employer’s clients, customers, distributors, suppliers and/or employees. CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 1 A non-competition agreement restricts an employee from competing with his former employer’s business. Courts are reluctant to enforce broadly-worded restrictive covenants that effectively prevent an employee from working in the field or business in which the employee is trained and experienced. In order to enforce a restrictive covenant, the court will analyze the covenant to determine whether it is reasonably necessary in the circumstances to protect an employer’s legitimate business interests. And just as with termination provisions, the court will look to see that the employee has received consideration for agreeing to the restrictive covenants that will limit her abilities to engage in certain activities after her employment ends. Therefore, ideally, restrictive covenant agreements should be signed by the employee at the time the employee is hired, before the employee actually commences work. The employer may also seek to include restrictive covenants as conditions to a promotion or significant increase in compensation. Alternatively, an employer can seek to obtain the employee’s agreement to restrictive covenants at the time of termination, as part of termination package. 1. Confidentiality Clause Confidential information is information in which your business has a proprietary interest that the business is entitled to protect. Generally, if the information is in the public domain or if it is information of which your competitors are aware, it is not confidential and you are not entitled to protect it. However, information that is not readily available to the public or your competitors, such as customer records, marketing plans, business strategies, financial data, and trade secrets (for instance, recipes, formulas, programs, designs, etc.), can constitute confidential information. You are not entitled to protect an employee’s “know-how”, the skills, abilities and experience an employee gains in the course of her employment. You can protect your business’ confidential information by including carefully drafted non-disclosure provisions in employment agreements, or by supplementing employment agreements with separate nondisclosure agreements. When drafting non-disclosure provisions or confidentiality agreements, you should ensure that “Confidential information” is clearly and explicitly defined to include the kinds of information and trade secrets crucial to your business. 1) Non-Solicitation Clause CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 2 A non-solicitation clause restricts an employee from communicating with the clients, customers, distributors, suppliers and/or employees of her former employer in order to entice them to take their business to her new employer. In most cases, a carefully crafted non-solicitation clause provides sufficient protection for a former employer while still permitting the employee to remain in his chosen line of work and use his knowledge, skills and experience. Because non-solicitation clauses are narrower in scope than non-competition clauses, they are more likely to survive legal challenges. 2) Non-Competition Clause A non-competition clause restricts an employee from acting in any way that could constitute competition with her former employer’s business interests. In essence, the employee is prevented from working in the same line of business as her former employer for the duration of the non-competition period. Canadian courts are extremely reluctant to enforce non-competition clauses, since they can have the effect of forcing the employee to remain in the original employer’s employ in order to earn a living in her chosen field. Non-competition clauses have little chance of being upheld except in the context of a sale of a business or in rare circumstances where the nature of the former employer’s business indicates that if the employee is permitted to compete, the former employer’s business will be seriously jeopardized. Enforceability: The Basic Test In Canada, our courts have made it clear that there is an important public interest in discouraging such “restraints on trade”, and in maintaining free and open competition. However, our courts have also recognized that there is an important public interest in permitting parties to make agreements and to hold the parties to the terms of those agreements. These two distinct public interests meet and clash in restrictive covenants in the employment context. A non-solicitation clause, for instance, restrains an employee from soliciting trade from a client of his former employer. At the same time, the employee knowingly agreed to and accepted the terms of that restraint. In the face of these conflicting or competing public interests, our courts have developed a three part enquiry to determine if a restrictive covenant is reasonable, and thus should be enforced. 1 Step 1: Does the employer have a proprietary interest entitled to protection? 1 Elsley v. J.G. Collins Insurance Agencies, [1978] 2 S.C.R. 916 (S.C.C.) CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 3 Does the employer have a legitimate interest in confidential and proprietary information? The employer is not entitled to restrain an employee’s right to use generic skills or information gained through the employment relationship. Does the employer have a legitimate interest in its clients, customers, suppliers, distributors and/or employees, particularly where the departing employee’s relationships with those clients, customers, suppliers, distributors and/or employees is of such a “close and personal” nature that it is legitimate to expect that any solicitation by the departing employee would be successful? Does the departing employee, armed with the specialized skills and knowledge gained through his employment with the employer, pose such a risk to the employer’s business that a non-competition agreement is reasonable in the circumstances? Step 2: Are the temporal or geographic features of the clause reasonable, or too broad? Is the temporal dimension of the restrictive covenant reasonable to protect the employer’s legitimate business interests? Is the geographic dimension of the restrictive covenant reasonable to protect the employer’s legitimate business interests? Step 3: Is the covenant against competition generally, and not limited to prescribing solicitation of former clients of the former employer? In general, a Canadian court will not enforce a non-competition clause if a non-solicitation clause would adequately protect an employer’s interests. 2 In Canada, it’s important to get the covenant “right”; unlike the courts in some jurisdictions in the United States, Canadian courts won’t “fix” or “blue-pencil” a covenant that the court thinks is too broad or ambiguous, even if the result is that an employer’s legitimate interests will be significantly damaged. Alternatives to Traditional Restrictive Covenants Given the difficulty of enforcing traditional non-competition and non-solicitation provisions, it is not surprising that employers have developed other strategies for incenting employees to restrict their activities post-employment. Garden Leave 2 Lyons v. Multari, (2000), 7 C.C.E.L. (3D) 15 (Ont. C.A.) CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 4 One way to retain control over an employee’s activities after termination of employment is not to terminate. During the garden leave, the employee remains employed by the employer and continues to receive salary payments and benefits coverage but does not attend at work or provide any services to the employer. A condition of the garden leave is that the employee cannot accept employment with another employer or otherwise engage in activities that would breach his/her obligations of loyalty and good faith to the employer. Garden leave can apply to a resignation or a termination by the employer. In either case, the employee must agree to the terms of the garden leave. Garden leave can result from a provision in an employee’s employment agreement that requires the employee to provide a period of notice before the employee’s resignation becomes effective. To be effective and enforceable as garden leave, the agreement should provide the employer with the discretion to require the employee not to provide active services and be cut off from access to information and the company’s systems during the resignation notice period. While garden leave can be a very effective way to restrict an employee from competing with or soliciting the clients or employees of the current employer, it can also be costly, since the employee continues to receive full salary and benefits during the garden leave/resignation notice period. Although there is not much case law on the enforceability of garden leave provisions, the Ontario Superior Court has recently enforced a six-month garden leave provision without going into the public policy considerations that are usually considered when an employer tries to enforce a traditional restrictive covenant. 3 Consulting Relationship In appropriate circumstances, an employer may offer a departing employee a consulting arrangement that takes effect when the employee’s employment ends as a way to transition the employee out of the business while keeping the employee from accepting work with a competitor. The consulting arrangement should contain provisions that prevent the consultant from competing with the employer or offering services to competitors of the employer. If the consulting agreement is properly drafted, the employer may have no obligation to require the former employee to provide actual services to the employer. However, the former employee is unlikely to agree to the consulting agreement unless there is a guarantee of payment to the consultant whether or not services are provided. As with any consulting agreement, the employer will want to ensure that the consultant is actually an independent contractor, and not simply an employee who is being called a “consultant”. 3 Blackberry Limited v. Marineau-Mes, 2014 ONSC 1790 CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 5 Clawback or Forfeiture of Deferred Compensation A long term incentive plan can include provisions which result in the clawback or forfeiture of awards under the plan if the employee works for a competitor during a specified period following the termination of employment. 4 Golden Handcuffs Woodward v. Stelco (Ontario) 5 Woodward was employed by Stelco beginning in 1959. In 1986, he was offered and signed a “Retirement Benefits Contract” which stipulated if and when Woodward retired, Stelco would pay him a special retirement benefit in consideration for his agreement not to compete with Stelco or work with a competitor. When Woodward breached his covenant not to compete, Stelco ceased payment of the special retirement benefit. Woodward sued. The Ontario Court found that the Retirement Benefits Contract was not a “restrictive covenant”. It did not prevent Woodward from engaging in conduct that was competitive with Stelco. Rather, the Contract stated that if Woodward competed without Stelco’s consent he would forfeit the otherwise lifetime monthly retirement benefit. Nortel Networks v. Jervis (Ontario) 6 In this case, Nortel included a post-employment non-competition provision in a stock option plan. Jervis agreed that if he competed with Nortel within one year of executing options, he would have to repay Nortel any profit he made on the exercise of those options. As in the Stelco case, the Court found that this was not a “restrictive covenant” that prohibited Jervis from competing; it simply exacted a price from Jervis if he chose to compete. The Court held that where a former employee is required to forego a benefit if he or she chooses to compete, that is not a restraint of trade. Rhebergen v. Crestron Veterinary Clinic (BC) 7 Rhebergen was a recently credentialed veterinarian who entered into an employment agreement with an establish vet who had a practice among dairy farms in an area where there were very few vets. The employment agreement contained an unusual non-competition clause: if Rhebergen set up a veterinary 4 Levinsky v. The Toronto-Dominion Bank, 2013 ONSC 5657 Woodward v. Stelco Inc. 1998 CanLII 17686 (ON CA). 6 Nortel Networks Corp. v. Jervis [2001] OJ No. 12 (ON SC) 7 Rhebergen v. Creston Veterinary Clinic Ltd., 2014 BCCA 97 (BC CA). 5 CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 6 practice within 25 miles of the Creston Veterinary Clinic she would have to pay Creston a certain amount depending on when she set up that practice. After 14 months of working for Creston, Rhebergen told Creston that she intended to quit and set up her own vet business in the same town. Under the terms of her employment contract, she had agreed not to terminate the employment agreement for 3 years, so Creston terminated her employment for cause. Ultimately, the BC Court of Appeal took a different approach from the Ontario courts in the Stelco and Nortel cases. The BC Court of Appeal held that the non-competition clause in Rhebergen’s employment agreement was a restraint of trade. However the Court also held that the clause was enforceable against Rhebergen: it was neither ambiguous nor unreasonable in the circumstances. Restrictive Covenants: Other Recent Cases of Interest and Lessons for Employers 1. Enforceability of Restrictive Covenants in Ontario: H.L. Staebler Company v. Allan 8 Mr. Allan and Mr. Kienapple worked for H.L. Staebler Company in Ontario as commercial insurance salesmen. Their employment agreements contained restrictive covenants which stated that for two years after the termination of employment, they would not “conduct business” with any of Staebler’s clients or customers who Allan and Kienapple handled or services at the date of termination. Allan and Kienapple resigned and almost immediately began to work for a competitor of Staebler, Stevenson & Hunt Insurance Brokers. On behalf of Stevenson & Hunt, they solicited clients they had serviced at Staebler. Staebler sued to enforce the restrictive covenants, and brought a motion for an injunction to prevent Allan and Kienapple from soliciting Staebler’s clients on behalf of their new employer. By the time Staebler managed to get the injunction, 118 clients of Staeblers had transferred their business to Stevenson & Hunt. At trial, the employer was successful… The trial judge held that the restrictive covenant in issue was reasonable in scope and duration, and was no more restrictive than was reasonably necessary to protect Staebler’s business interests. The trial judge found that the restrictive covenant was a “hybrid” clause, a combination of a non-solicitation and non-competition clause. While it did prevent Allan and Kienapple from “conducting business” and not just soliciting, it did not prevent Allan and Kienapple from contacting Staebler clients whom they had not handled or serviced at Staebler. 8 H. L. Staebler Company Ltd. v. Allan (2008) 92 O.R. (3rd) 107. No. 399 (Ont. C.A.) CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 7 The trial judge ordered that Allan, Kienapple and Stevenson & Hunt pay Staebler damages in the amount of almost $2 million. But at the Court of Appeal, the employer lost… The Ontario Court of Appeal rejected the notion of a “hybrid” restrictive covenant, and found that the restrictive covenant Allan and Kienapple signed was a non-competition clause. It had no geographical limit and contained no limit on the type of “business” which Allan and Kienapple were prohibited from conducting. The absence of a geographical limit combined with the blanket prohibition on conducting business rendered the restrictive covenant overly broad and unenforceable. In reaching its decision, the Court of Appeal took into account the nature of the positions Allan and Kienapple held with Staebler. They were two of ten commercial insurance salespeople working for Staebler, and did not play an exceptional role in the business. They were not managers, directors or key employees, and were not fiduciaries in relation to Staebler. relationships with their clients, this was common in the industry. Although they had close personal The Court of Appeal also took note of the fact that other Staebler salespeople were subject to much less broad restrictive covenants. In sum, the Court of Appeal concluded that a suitably restricted non-solicitation clause would have been reasonable in all the circumstances. Although Staebler appealed the Court of Appeal’s decision to the Supreme Court of Canada, the Supreme Court dismissed the appeal without a hearing. The Lesson for Employers Don’t overreach: don’t use a non-competition clause when a non-solicitation clause is enough. Recognize that a non-solicitation clause is almost always enough in the eyes of a court. Make sure to include both a time-limit for the restrictive covenant, and a geographic scope. Where a geographic scope is difficult to specify (for instance, because business is conducted electronically and/or remotely), the restrictive covenant should state this explicitly. Include specific and express language directed at the employer’s and the individual employee’s circumstances. Include express justifications of any “exceptional circumstances” and an acknowledgement by the employee in relation to those circumstances that a breach of the restrictive covenant will cause severe harm to the employer, requiring a specified from of remedy within a delineated period of time. CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 8 3) Don’t Look to the Court to Fix Your Mistakes: Shafron v. KRG Insurance Brokers (Western) 9 Inc. Morley Shafron sold his insurance agency to KRG Insurance Brokers Inc., and joined KRG as a broker in Vancouver. In 1988, Shafron entered into an employment agreement with KRG which included a noncompetition clause. The non-competition clause prohibited Shafron from being involved in the business of insurance brokerage in the “Metropolitan City of Vancouver” for a period of 3 years after the termination of his employment with KRG for any reason except termination by KRG without cause. Over the next 14 years, Shafron’s employment agreement was renewed on numerous occasions, but the non-competition clause remained essentially unchanged. In 2001, Shafron left to KRG to work for another insurance company at an office in Richmond, B.C. A significant number of Shafron’s clients followed him from KRG to his new employer. KRG sued Shafron to enforce the non-competition agreement. KRG also argued that Shafron had breached his fiduciary duty to KRG and his duty of confidentiality to KRG. At trial, Shafron was successful… The trial judge found that Shafron was not a director, senior manager or a “key employee” of KRG and therefore owed no fiduciary duties or obligations to KRG. The trial judge also found that there was no evidence that Shafron had breached any duty related to confidential information. When it came to the non-competition clause, the trial judge found that it was unenforceable because, among other things, the area defined within the restrictive covenant was neither clear not certain. As a result of this ambiguity, the non-competition clause was unreasonable. In coming to this conclusion, the judge started from the proposition that there was no legal or judicial definition of the phrase “Metropolitan City of Vancouver”. The trial judge also found that the area covered by this phrase, whatever it meant, was wider than necessary to protect KRG’s legitimate interests. Finally, the judge held that, at 3 years, the temporal length of the restrictive covenant far exceeded what was reasonably necessary to protect KRG’s reasonable interests. KRG found help from the B.C. Court of Appeal, but… The B.C. Court of Appeal did not disagree with the trial judge that the phrase “Metropolitan City of Vancouver” was unclear and ambiguous. However, the Court of Appeal was prepared to try to “fix” that ambiguity by applying the doctrine of “notional severance”. In essence, the Court of Appeal “read down” the ambiguous phrase at issue to make it unambiguous and thus enforceable. The Court of Appeal 9 Shafron v. KRG Insurance Brokers (Western) Inc. [2009] S.C.J. No. 6 (S.C.C.) CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 9 decided that the phrase “Metropolitan City of Vancouver” must have been intended to mean the City of Vancouver and something more. The Court of Appeal considered whether the phrase should mean “the Greater Vancouver Regional District”, but decided that this definition would give the non-competition clause an unreasonable reach. A reasonable interpretation was to construe the phrase to include the City of Vancouver and the municipalities directly contiguous to it, including Richmond, the University of British Columbia endowment lands and Burnaby. The B.C. Court of Appeal then referred the case back to the B.C. Supreme Court for an assessment of damages owing to KRG based on the 3-year restrictive covenant to which Shafron had agreed. And finally the Supreme Court of Canada had its say… The Supreme Court upheld Shafron’s appeal of the B.C. Court of Appeal’s decision. The Supreme Court unanimously confirmed that in order for a restrictive covenant to be enforceable, it had to be unambiguous. The Supreme Court also made it very clear that parties could not look to the courts to “fix” ambiguous terms in their restrictive covenants. The doctrine of “notional severance”, the Supreme Court indicated, has no place in the interpretation of restrictive covenants in employment contracts. There was no evidence that KRG and Shafron would have agreed unquestioningly to the geographic scope at which the B.C. Court of Appeal had arrived in “reading down” the phrase “Metropolitan City of Vancouver”. According to the Supreme Court, applying the doctrine of notional severance to terms of a restrictive covenant in an employment agreement simply amounts to a court rewriting the covenant in a manner the court finds reasonable. It is the responsibility of employers, not the courts, to draft reasonable restrictive covenants. Employers should not be encouraged to draft overly broad restrictive covenants, secure in the knowledge that the court will sever the unreasonable parts or read down the covenant to what the court considers reasonable. The Supreme Court stated: “The restrictive covenant is sought by the employer. The obligation is on the employee. Having regard to the generally accepted imbalance of power between employers and employees, to introduce the doctrine of notional severance to read down an unreasonable restrictive covenant to what is reasonable provides no inducement to an employer to ensure the reasonableness of the covenant and inappropriately increases the risk that the employee will be forced to abide by an unreasonable covenant.” (para 41.) CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 10 In the case of Shafron’s non-competition clause, the Supreme Court also refused to apply the principle of “blue-pencil severance”, or removing part of a contractual provision, to delete the word “Metropolitan” from the phrase “Metropolitan City of Vancouver”. The Court stated that there was “no evidence that the parties would have ‘unquestionably’ agreed to remove the work “Metropolitan” without varying any other terms of the contract or otherwise changing the bargain” they had made (para. 50). The Supreme Court upheld Shafron’s appeal, and the restrictive covenant which had been part of Shafron’s employment agreement with KRG for 13 years was of no force or effect. Shafron is free to compete with KRG. The Lesson for Employers: Make sure that all the terms of your restrictive covenants are clear and unambiguous: o use legally recognized terms, like municipalities, regions, counties or provinces, to define geographic scope; and o be duly diligent and check that the terms of existing restrictive covenants remain current and clear (if the legal terms for a geographic area change, consider updating the restrictive covenant accordingly the next time you offer the employee fresh “consideration” in the form of a salary raise or other compensation). Include an express “severability” provision in your restrictive covenants, which allows a court to “sever” distinct provisions which are found to be unenforceable. 10 And once again, don’t overreach: the court will not “fix” a restrictive covenant that the court finds applies for too long a period of time to be reasonable, or a geographic area that is larger than necessary to protect an employer’s interests. It’s better to have an enforceable non-solicitation clause that lasts for at least 6 months, than reach for a 12month clause that in the end provides no protection at all. 4) Can You Get By Without Restrictive Covenants?: RBC Dominion Securities Inc. v. Merrill 11 Lynch Canada Inc. 10 A “severability” provision states that certain identified clauses in an agreement are each separate and distinct covenants, severable one from the other, and that if any such covenant or covenants is determined to be invalid or unenforceable, such invalidity and unenforceability attaches only to the invalid or unenforceable covenant or covenants, while all the other covenants that form part of the agreement continue in full force and effect. 11 RBC Dominion Securities Inc. v. Merrill Lynch Canada Inc. [2008] S.C.J. No. 56 (S.C.C.) CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 11 RBC Dominion Securities Inc. and Merrill Lynch Canada Inc. are competitors in the investment brokerage business, and both had offices in the city of Cranbrook, B.C. In November of 2000, virtually all of the investment advisers at RBC in Cranbrook, including the branch manager, Don Delamont, left to go work for Merrill Lynch, leaving only two very junior investment advisors and two administrative staff at RBC’s office. The departing employees gave RBC no notice of their resignation. In addition, during the weeks before they left, the departing employees surreptitiously copied RBC’s client records and transferred them to Merrill Lynch. As a result of the departure of the employees, RBC’s Cranbook office all but collapsed, and was able to retain only 15% of its previous clients. The departing employees were not subject to any restrictive covenants. RBC sued Merrill Lynch and the former RBC employees, claiming compensatory, punitive and exemplary damages on the following grounds: against the former employees: o breach of fiduciary duty, o breach of an implied contractual term of employment not to compete unfairly upon leaving RBC’s employ; o breach of an implied contractual term of employment to give reasonable notice of resignation; and o misuse of confidential information. against Merrill Lynch and its Cranbrook manager: o breach of duty in tort for inducing RBC’s employees to terminate their contracts of employment without notice and to breach their contractual obligations not to compete unfairly; against all the defendants: actions in tort for conspiracy and conversion (the latter relating to the removal of documents known to be the property of RBC). At Trial, RBC was successful… The trial judge held that the former RBC employees were not fiduciaries of RBC, and thus did not owe a duty of loyalty as fiduciaries to RBC. However, the trial judge also held that the employment contracts of CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 12 the former RBC employees did have implied terms which required reasonable notice of resignation and which prohibited unfair competition with RBC after the termination of employment. In relation to Delamont, RBC’s former branch manager, the trial judge found that Delamont had breached his contractual duty by coordinating the departure of the employees who left and by failing to inform RBC management of the impending departure of the employees. The trial judge determined that the appropriate period of notice the former employees should have given RBC was 2.5 weeks, and ordered the former employees to pay RBC an aggregate amount of $40,000. The trial judge also held that all of the defendants had competed unfairly with RBC and were thus liable for RBC’s loss of profits, including future loss of profits that occurred after the 2.5 week notice period ended. The defendants were ordered to pay compensatory damages of $225,000 with respect to this unfair competition. In addition, the trial judge ordered the defendants to pay RBC $330,000 in punitive damages for the conversion of RBC’s client records. The largest award of damages was made against Delamont personally. He was ordered to pay almost $1.5 million, based on five years of lost business and the collapsed operations of the Cranbrook branch. The trial judge found that the branch manager had an implied contractual duty of good faith towards his employer which included retaining his employer’s employees. At the B.C. Court of Appeal, the damages owing to RBC were reduced… The B.C. Court of Appeal quashed the damages for unfair competition and the $1.5 million award against the former RBC branch manager. The Court of Appeal explained that in the absence of a contractual non-competition clause, fiduciary duty or misuse of confidential information, an employee has no duty not to compete with a former employer. RBC’s employees had the right to consider other offers of employment while still employed with RBC, and were allowed to prepare for their departure by contacting clients and even preparing client lists which they take with them to their new employers. However, the Court of Appeal agreed that the former employees did breach an implied term in their employment contracts when they took RBC’s client records and gave them to Merrill Lynch. The Court of Appeal also noted that Delamont was not a fiduciary, and was thus not distinguishable from the other former RBC employees in terms of the duties owed to his employer. As a result, the Court of Appeal overturned the $1.5 million dollar award against the former branch manager. CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 13 The Court of Appeal also agreed that the former employees breached their obligation to provide reasonable notice of their resignation, and awarded RBC damages for lost profits during that 2.5 week period. RBC was also awarded punitive damages for the conversion of RBC’s client records. In the end, the damage award against the defendants was reduced from $2 million to a about $370,000. At the Supreme Court of Canada, Delamont did not fare as well,… The majority of the Supreme Court agreed with the B.C. Court of Appeal that the former RBC employees were not subject to an implied term of employment that they would not engage in “unfair competition”. In the absence of a non-competition agreement or a non-solictitation agreement, the former employees were free to compete with RBC and solicit RBC’s clients. The $1.5 million award against Don Delamont, the former branch manager, however, was reinstated by the Supreme Court. By organizing the mass defection of the other employees from the Cranbrook branch he managed, Delamont breached an implied duty of good faith to his employer. By his own admission, Delamont’s duties as branch manager included recruiting and retaining investment advisors. In organizing the departure of the RBC investment advisors, Delamont had breached that duty. With respect to the other former employees, the Supreme Court agreed with the Court of Appeal that RBC was only entitled to damages for lost profits for the 2.5 week notice of resignation period. The Lesson for Employers: In the absence of an enforceable restrictive covenant prohibiting competition and/or solicitation, a non-fiduciary employee is free to compete with her former employer or to solicit clients of her former employer. Employees have an obligation to give notice of resignation, although in most cases such notice will be brief, and employers can claim damages against employees who fail to provide notice. Therefore, consider including a term in the employment agreement specifying the required notice for resignation. Employees owe an implied duty of confidentiality to their employers. However, this duty does not extend to the identity of clients, or to client lists created by the employee, particularly in businesses like investment advising where continuity of contact is part of the service clients expect and require. If you want to protect such information, require the employee to sign a confidentiality agreement that expressly defines “confidential information”. CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 14 Orchestrating a group of employees to leave their employer may breach an implied term of an employee’s employment agreement, even if the employee is not a fiduciary, if the consequences are devastating to the employer. Conclusion As these cases demonstrate, the common law provides some protection to an employer with respect to the activities of a former employee, at least when that former employee breaches his duty of good faith in particularly egregious ways. However, all levels of court in RBC Dominion Securities clearly confirmed that a non-fiduciary employee is not restricted from competing with her former employer or from soliciting her former employer’s clients. In short, the best way to protect your business from former employees is to require the employee to agree to clear, unambiguous and reasonable restrictive covenants. When crafting such restrictive covenants, it is crucial to remember that one size does not fit all. In order to meet the “reasonable” test, restrictive covenants must be tailored to fit the employer’s business and the employee’s role in that business. As the Shafron case demonstrates, you only get one chance to get it right, and getting it wrong means losing all the protection the restrictive covenant was intended to provide. CAN: 18803811.1 DLA Piper (Canada) S.E.N.C.R.L. | 15 Mark A. Potechin Partner [email protected] Suite 1400, McGill College Tower 1501 McGill College Avenue, Montréal, QC, H3A 3M8, Canada T: +1 514 392 8414 F: +1 514 392 4637 Mark Potechin is a partner in the firm's Montréal office where he practises tax law with a focus on income tax planning for corporations and individuals as well as representing them before the tax authorities. Part of his practice is also focused on wills, estates and trusts, especially resolution of estate disputes. Mark’s first job was in the tax department of an international accounting firm. Mark now has over 30 years’ experience working in income tax, meeting the corporate tax requirements of ownermanaged enterprises and the personal tax planning needs of the owners and their families. He also has experience on matters related to GST, HST and QST. CREDENTIALS Education LL.B. (Honours), McGill University, 1979 B.C.L. (Honours), McGill University, 1978 Languages English French Mark has taught income tax courses both at McGill and Concordia Universities, has been a group coordinator on numerous occasions for the Canadian Institute of Chartered Accountants In-Depth Tax Course and has lectured and written extensively on numerous tax topics. Mark was instrumental in establishing McGill University’s former Graduate Diploma in Taxation program and was its first Academic Coordinator. Mark previously lectured at McGill in the Federal and Provincial Tax course dealing with GST and QST. Mark has been awarded a 2015 Client Choice award for the Corporate Tax Category in Quebec in recognition of his outstanding client service. DLA Piper (Canada) S.E.N.C.R.L. | 1 PROFESSIONAL MEMBERSHIPS Member, Executive, Canadian Bar Association''s Wills, Estates and Trusts Section (Quebec Division) Past President, Canadian Bar Association’s Income Tax Section (Quebec Division) Member, Board of Directors, Caisse Desjardins de Notre-Dame-de-Grace Former Secretary and Member, Executive Committee, Caisse Desjardins de Notre-Dame-de-Grace Former Member, Executive, The Financial and Estate Planning Council of Montreal Member, Canadian Tax Foundation Member, Society of Tax and Estate Practitioners Member, Association de Planification Fiscale et Financière RECOGNITIONS Client Choice Award, Corporate Tax (Quebec), 2015 COMMUNITY INVOLVEMENT Past President, Jewish Eldercare Centre (320 bed long term care facility) DLA Piper (Canada) S.E.N.C.R.L. | 2 Héloïse Renucci Avocat [email protected] Suite 1400, McGill College Tower 1501 McGill College Avenue, Montréal, QC, H3A 3M8, Canada T: +1 514 392 8409 F: +1 514 392 4638 Héloïse Renucci est avocate au bureau de Montréal de DLA Piper S.E.N.C.R.L., membre du groupe de fiscalité, et du groupe de droit des testaments, fiducies et successions. Sa pratique couvre tous les aspects liés à la planification fiscale et successorale, et la représentation des clients devant les autorités fiscales. J.D. (Common Law), Université de Montréal, 2011 LL.M. Fisc., Hautes Études Commerciales (HEC) Montréal, 2011 LL.B., Université de Montréal, 2008 Héloïse représente des entreprises privées dans divers secteurs d’activité, mais également d’autres entités et des particuliers. Elle a Québec acquis une expérience pointue en matière de règlement de successions internationales. Héloïse a obtenu un baccalauréat en droit (LL.B.) à l’Université de Montréal en 2008, et est devenue membre du Barreau du Québec en 2009 après avoir effectué son stage au contentieux de Revenu Québec. Après son admission au Barreau, Héloïse a effectué une maîtrise en droit option fiscalité à l’École des Hautes Études Commerciales (HEC) de Montréal, puis un Juris Doctor à l’Université de Montréal. Pendant ses études, Héloïse a reçu la bourse KPMG dans le cadre de sa maîtrise en droit option fiscalité, et le prix Leroux Côté Burrogano récompensant l’excellence en droit des biens et des contrats. Avant de se joindre à DLA Piper, Héloïse a exercé dans un cabinet juridique de Montréal. Membre de la Fondation Canadienne de Fiscalité Membre de l’Association de planification fiscale et financière Membre de l’Association du Jeune Barreau de Montréal Bourse KPMG (maîtrise en droit, option fiscalité), HEC Montréal, 2010 Prix Leroux Côté Burrogano (excellence en droit des biens et des contrats), Université de Montréal, 2008 DLA Piper (Canada) S.E.N.C.R.L. | 1 EMPLOYÉ OU TRAVAILLEUR INDÉPENDANT: LE DILEMME FISCAL Présenté par Mark A. Potechin et Héloïse Renucci Conférence en droit de l’emploi et du travail de Montréal Mercredi 6 mai 2015 CCQ - DÉFINITIONS Article 2085 « Le contrat de travail est celui par lequel une personne, le salarié, s'oblige, pour un temps limité et moyennant rémunération, à effectuer un travail sous la direction ou le contrôle d'une autre personne, l'employeur. » Article 2098 « Le contrat d'entreprise ou de service est celui par lequel une personne, selon le cas l'entrepreneur ou le prestataire de services, s'engage envers une autre personne, le client, à réaliser un ouvrage matériel ou intellectuel ou à fournir un service moyennant un prix que le client s'oblige à lui payer. » DLA Piper (Canada) S.E.N.C.R.L. 2 LIEN DE SUBORDINATION Article 2099 CCQ « L'entrepreneur ou le prestataire de services a le libre choix des moyens d'exécution du contrat et il n'existe entre lui et le client aucun lien de subordination quant à son exécution. » Approche différente en droit civil et en Common Law mais critères similaires. En droit civil, l’élément central est le lien de subordination. This is a sample footer DLA Piper (Canada) S.E.N.C.R.L. 3 CRITÈRES DE DISTINCTION Contrôle Propriété des outils Chances de profit / risques de perte Intégration L’intention des parties, critère pertinent? DLA Piper (Canada) S.E.N.C.R.L. 4 CRITÈRES INTERPRÉTÉS SELON L’INDUSTRIE Question de faits: les tribunaux semblent prendre en compte les particularités de l’industrie Exemple des informaticiens indépendants TAP consultant inc. c. Québec (Sous-Ministre du Revenu), 2011 QCCQ 6626 DLA Piper (Canada) S.E.N.C.R.L. 5 AFFAIRE TAP CONSULTANT Informaticienne indépendante incorporée qui rend services à des firmes de consultants en informatique des Cotisation basée sur la notion d’entreprise de services personnels Analyse des critères traditionnels Par la suite, consultations avec des représentants de l’industrie This is a sample footer DLA Piper (Canada) S.E.N.C.R.L. 6 AFFAIRE TAP CONSULTANT - SUITE Décision Distinction entre le contrôle du travailleur et le contrôle du résultat Question de l’intention des parties Grande connaissance d’un logiciel spécifique - autonomie Clause de non-concurrence / propriété intellectuelle Critère économique This is a sample footer DLA Piper (Canada) S.E.N.C.R.L. 7 RECOMMANDATIONS Mise en place d’une procédure de détermination Contrat écrit détaillé Pas de contrats de trop longue durée / privilégier des contrats courts séparés pour chaque travail même si les conditions restent les mêmes et renégociation des termes à chaque fois Contrat écrit insuffisant si la réalité n’est pas cohérente avec le contrat Problème de l’intégration à l’entreprise DLA Piper (Canada) S.E.N.C.R.L. 8 RECOMMANDATIONS Contenu du contrat Clause qui qualifie la nature de la relation Pas d’exclusivité Possibilité de déléguer Liste détaillée des livrables en annexe du contrat Pas de vacances, paiement de formation ou avantages Pas de paiement si travail mal fait Prévoir une estimation des frais DLA Piper (Canada) S.E.N.C.R.L. 9 CONSÉQUENCES DAS: impôts, charges sociales, cotisations basées sur la masse salariale TPS/TVQ Retenues pour les non-résidents Déduction des dépenses pour le travailleur autonome Pénalités Modalités de fin d’emploi / résiliation contrat de services DLA Piper (Canada) S.E.N.C.R.L. 10 AUTRES CONSIDÉRATIONS Résiliation contrat de services - conséquence inattendue en TPS/TVQ Si paiement à un fournisseur (par exemple un travailleur indépendant) inscrit, suite à la résiliation de l’entente qui porte sur des fournitures taxables TPS/TVQ réputée incluse dans le montant payé calcul particulier qui donne un taux de taxe différent à prévoir dans l’entente de résiliation DLA Piper (Canada) S.E.N.C.R.L. 11 ENTREPRISE DE PRESTATION DE SERVICES PERSONNELS Employé incorporé = entreprise de prestation de services personnels (« EPSP ») Rend des services à une personne Raisonnable de considérer l’employé incorporé comme un employé de la personne Ne s’applique pas si l’EPSP emploie plus de 5 employés à temps plein Ne s’applique pas si l’EPSP est associée avec la corporation qui paie l’EPSP DLA Piper (Canada) S.E.N.C.R.L. 12 EPSP Dépenses déductibles limitées à celles des employés Pas de déduction pour petite entreprise → taux d’impôt plus élevé Taux d’imposition combiné de 39,9% (augmentation du taux applicable au fédéral fin 2011) L’employeur pourrait être tenu de payer les DAS non effectuées DLA Piper (Canada) S.E.N.C.R.L. 13 AFFAIRE AGENCE OCEANICA Agence Océanica inc. c. Agence du revenu du Québec, 2014 QCCA 1385 Agence de placement de personnel infirmier Les parties considèrent le personnel placé comme des travailleurs autonomes Pas de DAS Vérification de Revenu Québec Cotisation basée sur un statut d’employé (RRQ, RQAP, FSS et CNT + pénalité 15% + intérêts) DLA Piper (Canada) S.E.N.C.R.L. 14 AFFAIRE AGENCE OCEANICA Décision de la Cour d’appel du Québec Les personnes sont des employés L’agence est l’employeur ou à tout le moins son mandataire L’agence devrait prélever les cotisations de nature fiscale Interprétation différente si en matière d’impôt sur le revenu? DLA Piper (Canada) S.E.N.C.R.L. 15 EMPLOYEE OR INDEPENDENT CONTRACTOR: THE TAX DILEMMA Presented by Mark A. Potechin and Héloïse Renucci Montréal Employment and Labour Law Conference Wednesday, May 6, 2015 CCQ - DEFINITIONS Section 2085 «A contract of employment is a contract by which a person, the employee, undertakes for a limited period to do work for remuneration, according to the instructions and under the direction or control of another person, the employer. » Section 2098 «A contract of enterprise or for services is a contract by which a person, the contractor or the provider of services, as the case may be, undertakes to another person, the client, to carry out physical or intellectual work or to supply a service, for a price which the client binds himself to pay to him. » DLA Piper (Canada) LLP 2 RELATIONSHIP OF SUBORDINATION Section 2099 CCQ « The contractor or the provider of services is free to choose the means of performing the contract and, with respect to such performance, no relationship of subordination exists between the contractor or the provider of services and the client. » Different approaches in civil law and common law but similar criteria. In civil law, the most important element is the relationship of subordination. This is a sample footer DLA Piper (Canada) LLP 3 CRITERIA FOR DISTINCTION Control Ownership of tools Opportunity for profit / risk of loss Integration Intention of the parties, relevant criterion? DLA Piper (Canada) LLP 4 INTERPRETATION OF CRITERIA IN THE CONTEXT OF THE INDUSTRY Question of facts: courts seem to take into consideration the particularities of the industry For example: IT freelancers TAP consultant inc. c. Québec (Sous-Ministre du Revenu), 2011 QCCQ 6626 DLA Piper (Canada) LLP 5 TAP CONSULTANT CASE Incorporated IT freelancer renders services to computer consulting firms Assessment based on personal services business corporation determination Analysis of traditional criteria After the decision, consultations with representatives from the industry This is a sample footer DLA Piper (Canada) LLP 6 TAP CONSULTANT CASE CONTINUED Decision Distinction between control over the worker and control over the end result Intention of the parties issue Great knowledge of a specific software - autonomy Non-competition covenant / intellectual property Economic criterion This is a sample footer DLA Piper (Canada) LLP 7 RECOMMENDATIONS Put in place a procedure for determination Detailed written contract Avoid long term contract / Prefer separate short contracts for each retainer even if the conditions remain the same and renegociation of the terms each time Not sufficient to have a written contract if the reality is not consistent with the contract Integration within the company issue DLA Piper (Canada) LLP 8 RECOMMENDATIONS Contents of the contract Clause qualifying the nature of the relationship No exclusivity Possibiliy to delegate Detailed list of deliverables as an annex to the contract No vacation, paid training or advantages No payment if work poorly done Provide for an estimate of the fees DLA Piper (Canada) LLP 9 CONSEQUENCES DAS: taxes, social charges, charges calculated on total payroll GST/QST Withholdings for non-residents Deduction of expenses for independent contractor Penalties Employment termination terms / Termination of contract for services DLA Piper (Canada) LLP 10 OTHER CONSIDERATIONS Termination of contract for services consequences with respect to GST/QST - unforeseen If payment to a services provider (such as an independent contractor) which is a registrant, further to the termination of an agreement for the making of taxable supplies GST/QST deemed to be included in paid amount Specific calculation resulting in different sales tax rate To be provided for in termination agreement DLA Piper (Canada) LLP 11 PERSONAL SERVICES BUSINESS CORPORATION Incorporated employee corporation (« PSBC ») = personal services business Renders services to a person Reasonable to consider the incorporated employee as an employee of the person Doesn’t apply if PSBC employs more than 5 full time employees Doesn’t apply if the PSBC is associated with the corporation paying the PSBC DLA Piper (Canada) LLP 12 PSBC Deductible expenses limited to those avilable to employees No small business deduction → Increased tax rate Combined tax rate of 39.9% (increase to the federal tax rate at the end of 2011) Employer might have to pay DAS not made DLA Piper (Canada) LLP 13 AGENCE OCEANICA CASE Agence Océanica inc. c. Agence du revenu du Québec, 2014 QCCA 1385 Nursing personnel employment agency Nursing personnel were treated by parties as independent contractors No DAS Audit by Revenu Québec Assessment based on employee status (QPP, QPIP, HSF and labour standards + penalty 15% + interest) DLA Piper (Canada) LLP 14 AGENCE OCEANICA CASE Decision of the Québec Court of Appeal Nursing personnel are employees The agency is the employer or at least its mandatary The agency should collect social charges Different interpretation if income tax context? DLA Piper (Canada) LLP 15 Michael S. Richards Partner [email protected] Suite 6000, 1 First Canadian Place PO Box 367, 100 King St W, Toronto, ON, M5X 1E2, Canada T: +1 416 941 5395 F: +1 416 777 7427 Suite 2800, Park Place 666 Burrard St, Vancouver, BC, V6C 2Z7, Canada T: +1 604 643 2919 F: +1 604 687 1612 Michael S. Richards is a partner specializing in employment law in Toronto. Michael was called to the bar in both Ontario and British Columbia and has represented clients before various levels of courts in both provinces, before administrative tribunals, at arbitrations, in mediation and at other negotiations, including collective bargaining. CREDENTIALS Education LL.B., University of Toronto, 1999 B.Comm., (Honours), The University of British Columbia, 1996 Admissions After graduating from the University of Toronto, Michael returned to British Columbia where he was the law clerk to Madam Justice JoAnn Prowse of the British Columbia Court of Appeal. Michael articled in the Vancouver office and was called to the British Columbia Bar before transferring to the Toronto office where he has practised since early 2001. Ontario British Columbia Languages English Michael’s practice in employment law includes providing advice to both national and international organizations on a daily basis and representing clients with respect to various labour and employment issues including: The recruitment, hiring and termination of employees. Providing advice with respect to group terminations and business closures. The successful and cost effective defence of wrongful dismissal claims, grievance and human right complaints. The preparation of employment, consulting and independent contractor agreements including the provision of advice with respect to the enforceability of non-solicitation, non-competition and confidentiality agreements. The negotiation and interpretation of collective agreements. The interpretation and application of employment standards legislation, workplace safety and insurance legislation, occupational health and safety, and human rights legislation. Finally, Michael’s practice also includes privacy law and advising businesses in Ontario with respect to their obligations under privacy legislation, including performing privacy audits and assisting clients in the development of privacy policies compliant with applicable legislation. DLA Piper (Canada) S.E.N.C.R.L. | 1 PUBLICATIONS/PRESENTATIONS 2015 OARTY Conference - Bridging the Gap - Grand Bend, 05 Jun 2015 2014 Lexpert Privacy Law and Data Protection Conference - Toronto, 27 Nov 2014 2014 Employment and Labour Law Conference Presentations - Vancouver, 08 Oct 2014 2014 Annual Canadian Association of Counsel to Employers Presentation - Montreal, 13 Sep 2014 The Six-Minute Labour Lawyer 2014 Presentation - Toronto, 06 Jun 2014 2012 Annual Canadian Association of Counsel to Employers Presentation - St. John’s, 22 Sep 2012 PROFESSIONAL MEMBERSHIPS Member, Law Society of British Columbia Member, Law Society of Upper Canada Member, Canadian Bar Association Member, Ontario Bar Association Member, British Columbia Bar Association Member, Advocates Society RECOGNITIONS Lexpert’s Litigation Lawyers to Watch, 2014 Lexpert Rising Stars: Leading Lawyers Under 40 in Canada, 2013 Lexpert's Litigation Lawyers to Watch, 2011 DLA Piper (Canada) S.E.N.C.R.L. | 2 COMMENT PROTÉGER VOTRE MILIEU DE TRAVAIL CONTRE L’INTIMIDATION Présenté par Michael S. Richards Préparé avec l’aide de Katherine Ruta Conférence en droit de l’emploi et du travail de Montréal Mercredi 6 mai 2015 AVANT DE COMMENCER… Qu’est-ce que l’intimidation au travail? Peut être des mots ou des gestes Vexatoires ou inappropriés La personne devait savoir ou aurait du savoir qu’ils était inopportuns Ne font pas partie d’une gestion de performance légitime DLA Piper (Canada) S.E.N.C.R.L. 2 LES RISQUES LÉGAUX Représailles selon la Loi sur la Santé et la sécurité du Travail Indemnisation pour accident du travail Poursuites Congédiement déguisé Dommages majorés Dommages punitifs DLA Piper (Canada) S.E.N.C.R.L. 3 SANTÉ ET SÉCURITÉ DU TRAVAIL Ljubja c. Aim Group Inc. (2013) Le superviseur lui a hurlé et crié après devant les autres employés. L’employé a approché les Ressources Humaines qui lui ont dit qu’il ne serait pas puni s’il portait une plainte formelle. Peu de temps après la plainte, l’employé a été congédié. On lui a précisé spécifiquement que les raisons du congédiement n’étaient pas lié à des problèmes de performance. L’obligation de “développer et maintenir” une politique contre le harcèlement implique qu’aucune représaille ne peut être faite pour avoir porté plainte. DLA Piper (Canada) S.E.N.C.R.L. 4 INDEMNITÉ POUR ACCIDENT DU TRAVAIL La Décision no. 2156/09 (de la Commission de la sécurité professionnelle et de l'assurance contre les accidents du travail de l'Ontario) de l’année dernière a eu l’effet pratique de rendre les réclamations d’indemnisation pour accident du travail en cas d’intimidation plus accessibles. La demanderesse a été infirmière dans le même hôpital durant 28 ans. Pendant 12 ans, elle fut l’objet de cris et de commentaires humiliants de la part d’un docteur pour lequel elle travaillait. Les commentaires étaient faits en présence d’autres employés. Elle fut diagnostiquée avec un trouble d’adaptation avec état d’anxiété et de dépression que ses médecins attribuèrent aux facteurs de stress de son milieu de travail. La Commission a retenu que les blessures étaient un accident de travail devant être indemnisé. DLA Piper (Canada) S.E.N.C.R.L. 5 BOUCHER C. WAL-MART CANADA CORP. Employée avec 8 années d’ancienneté et étant promue régulièrement A refusé d’altérer la lecture sur un registre de température tel que son superviseur lui avait ordonné A été injustement punie et a été par la suite l’objet d’abus verbaux répétés de la part de son superviseur Devant d’autres employés, des gérants et des clients Wal-Mart a payé 200 000 $ pour dommages majorés, 100 000 $ pour dommages punitifs et indemnité pour congédiement déguisé, ainsi que 140 000 $ de frais juridiques DLA Piper (Canada) S.E.N.C.R.L. 6 PRÉVENTION AVIS L’INTIMIDATION AU TRAVAIL EST CONTRE LA POLITIQUE DE LA COMPAGNIE DLA Piper (Canada) S.E.N.C.R.L. 7 DÉVELOPPEMENT D’UNE POLITIQUE Développez une politique qui est sérieuse mais atteignable pour permettre à votre organisation d’y donner suite. Les éléments clés : 1. Définissez l’intimidation et le harcèlement au travail 2. Comment et à qui les plaintes doivent être faites 3. De la flexibilité pour le traitement approprié de la plainte 4. Autres obligations légales 5. Révisée et mise à jour régulièrement DLA Piper (Canada) S.E.N.C.R.L. 8 FORMATION ET SENSIBILISATION Régulièrement Revoir la politique Engagement à demeurer « sans intimidation » Fournissez des exemples de conduite acceptables/inacceptables Cris/injures S’occuper des problèmes de performance Discussions ouvertes/fermées Façon de traiter avec les individus moins confiants Que faire si vous êtes témoin d’un comportement inapproprié DLA Piper (Canada) S.E.N.C.R.L. 9 VISIBILITÉ Plaintes parmi les collègues Les superviseurs et les membres de l’équipe des Ressources humaines doivent être présents Événements sociaux Aires communes DLA Piper (Canada) S.E.N.C.R.L. 10 DLA Piper (Canada) S.E.N.C.R.L. 11 EXÉCUTION Application cohérente Perception de l’employé RÉVISION DE LA PERFORMANCE Cycle et format standards Réunions structurées et programmées Rétroactions honnêtes et complètes Formation/conseils pour procéder à la rétroaction Quand donner ou ne pas donner de rétroaction informelle DLA Piper (Canada) S.E.N.C.R.L. 12 HOW TO BULLYPROOF YOUR WORKPLACE Presented by Michael S. Richards Prepared with the assistance of Katherine Ruta Montréal Employment and Labour Law Conference Wednesday, May 6, 2015 BEFORE WE START… What is Bullying/Workplace Harassment? Can be words or actions Vexatious or inappropriate Knew or should have known was unwelcome Not legitimate performance management DLA Piper (Canada) LLP 2 THE LEGAL RISKS Reprisals under Occupation Health and Safety Worker’s Compensation Litigation Constructive dismissal Aggravated damages Punitive damages DLA Piper (Canada) LLP 3 OCCUPATIONAL HEALTH AND SAFETY Ljubja v Aim Group Inc. (2013) Screamed and yelled at by supervisor in front of others Approached HR and was told would not be punished for making a formal complaint Shortly after complaint was made, the employee was terminated. Specifically told the reasons were not due to work performance issues. Obligation to “develop and maintain” a harassment policy means no retaliation for making a complaint DLA Piper (Canada) LLP 4 WORKER’S COMPENSATION Last year’s Decision No. 2156/09 had the practical effect of making workers compensation claims for bullying more accessible. The claimant had been a nurse at the same hospital for 28 years. For 12 of them she was subjected to yelling and demeaning comments by a doctor she worked for. The comments were made around other employees. The claimant was diagnosed with an adjustment disorder with mixed features of anxiety and depression which her doctors attributed to workplace stressors. The Board found the injuries compensable workplace injuries. DLA Piper (Canada) LLP 5 BOUCHER V WAL-MART CANADA CORP. Eight-year employee with regular promotions Refused to alter the reading on a temperature log as instructed by her supervisor Was unfairly disciplined and then subjected to repeated verbal abuse by her supervisor In front of other employees, managers and customers Wal-Mart paid $200,000 in aggravated damages, $100,000 in punitive damages as well as damages for constructive dismissal and $140,000 in legal costs DLA Piper (Canada) LLP 6 PREVENTION DLA Piper (Canada) LLP 7 POLICY DEVELOPMENT Develop a policy that is meaningful but attainable to follow through on for you organization. Key components: 1. Define Workplace Harassment/Bullying 2. How complaints are made and to whom 3. Flexibility for handling the complaint appropriately 4. Other legislated requirements 5. Reviewed and updated regularly DLA Piper (Canada) LLP 8 TRAINING AND AWARENESS Regularly Review of policy Commitment to remaining “bully-free” Provide examples of acceptable/unacceptable conduct Yelling/profanity Addressing performance issues Open/closed discussions Treatment of less confident individuals What to do if you witness inappropriate behaviour DLA Piper (Canada) LLP 9 VISIBILITY Complaints amongst co-workers Supervisors and HR need to be seen Social events Common areas DLA Piper (Canada) LLP 10 DLA Piper (Canada) LLP 11 (Canada) LLP 12 IMPLEMENTATION Consistent application Employee perception PERFORMANCE REVIEWS Standard cycle and format Structured and scheduled meetings Honest and complete feedback Training/guidance in delivering feedback When to give and not to give informal feedback DLA Piper BULLYPROOFING YOUR WORKPLACE By Michael S. Richards and Katherine Ruta, Articling Student Introduction The recent inquiry into the Jian Ghomeshi scandal concluded that the CBC failed to provide its staff a workplace free from disrespectful and abusive behaviour. The independent investigator hired by CBC to conduct an investigation into the circumstances surrounding allegations made against Ghomeshi concluded in a report that Ghomeshi’s behaviour violated CBC standards and was “considered to create 1 an intimidating, humiliating, hostile or offensive work environment”. The report also concluded that management failed to take steps in accordance with its own policies and therefore condoned the 2 behaviour. This report could form the basis for liability of CBC in claims by employees that are sure to unfold as a result of these conclusions. Employers have long understood their obligation to provide a workplace free from harassment and discrimination based on prohibited grounds, however, in recent years the obligation on employers to protect employees from any type of harassment has emerged. Where employers fail to do so, an employee may have recourse against his/her employer before an administrative body (such as the Ontario Labour Relations Board) or the courts. In addition, workers’ compensation schemes may compensate those with provable injuries caused by bullying thereby affecting premiums paid by employers. Where an employee is seeking compensation for harm suffered from bullying in the workplace, an employer’s workplace harassment policy and any steps taken in an attempt to resolve the issue will be subject to scrutiny. Slowly but surely a legal obligation is being created for employers to “bully-proof” their workplaces if they wish to avoid liabilities that could arise from any mistreatment of employees. 1 “CBC inquiry concludes management mishandled Jian Ghomeshi”, CBC News (16 April 2015) online: <www.cbc.ca/news” 2 Ibid. CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 1 In addition to the potential legal risks, bullying in the workplace may create a number of hard-tomeasure costs including increased sick time, reduced productivity and higher turnover. Employers who succeed in bully proofing their workplace may also avoid or reduce these hard to measure and intangible costs. The Legal Risks: Bullying and Harassment at the OLRB, WSIB and in the Courts The law in Ontario, and in many other provinces, has evolved to include the requirement for employers to develop and maintain effective anti-bullying or workplace harassment prevention policies. In Ontario, the requirement is found in the Occupational Health and Safety Act ( the “OHSA”). Unlike the parallel requirement under the Human Rights Code, the requirement under the OHSA stops short of placing an obligation on employers to provide a harassment free workplace. As a result, in Ontario, the OLRB, the Workplace Safety and Insurance Board (WSIB), and the courts have all grappled with what, if any, legal course of action is available for employees experiencing bullying or harassment at work, and the extent to which employers are liable. There is no doubt that legislative and judicial tolerance for bullying is stretched thin. The OLRB accepts that bullying and harassment is a workplace safety issue. Disciplinary actions resulting from employees complaining that workplace harassment policies were not followed may be considered an unlawful reprisal under the OHSA. The WSIB, for its part, has removed a large barrier for claimants seeking compensation for prolonged bullying or harassment at work. Finally, the Court of Appeal, in its 3 decision in Boucher v. Wal-Mart Canada Corp. , signalled that employers would not be let off the hook if they fail to enforce their policies effectively. Wal-Mart was ordered to pay $300,000 in damages for mishandling a bullying complaint The Ontario Labour Relations Board (the “OLRB”) Prior to the enactment of Bill 168 in 2009 (the Occupational Health and Safety Amendment Act (Violence and Harassment in the Workplace)) it was difficult, if not impossible, for an employee to seek 3 Boucher v. Wal-Mart Canada Corp., 2014 ONCA 419 [Wal-Mart]. CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 2 enforcement of the OHSA for the harassment of employees by managers or colleagues. In a 1996 decision the OLRB dealt with whether a work refusal because of sexual harassment, and subsequent reprisal, could be construed as an unlawful reprisal for the enforcement of the OHSA. At that time, the OLRB concluded that the OHSA was better suited to deal with physical rather than psychological injuries and declined to inquire into the complaint. 4 When the amendments to the OHSA came into effect in 2010, the Board once again had to consider what role it would play, if any, in adjudicating complaints of workplace harassment and whether a claim that an employee had been reprised against for making a complaint of workplace harassment was a claim that the employee had been reprised against for exercising a right under the OHSA. In Conforti v 5 Investia Financial Services Inc. (2011) , the OLRB struggled with what, if any, liability might arise out of the obligation under the OHSA to develop and maintain a workplace harassment policy. The applicant alleged that he had been discharged for making a harassment complaint and argued this was an unlawful reprisal. The OLRB noted that the applicant made no allegations that the employer had not fulfilled their obligation to create a policy with respect to workplace harassment as required by the OHSA. After engaging in a lengthy discussion around statutory interpretation, the OLRB noted that the legislature must have considered the issue in detail when crafting Bill 168. The OLRB concluded that the OHSA only required an employer to put a workplace harassment policy and program in place and to provide a worker with information and instruction as appropriate. The OLRB found there were no specific rights granted to a worker with respect to workplace harassment, and that it did not have the authority to adjudicate upon the practical application of a policy that otherwise complied with the OHSA. In the end, the OLRB simply declined to inquire into the complaint on the facts, but left the door open by suggesting that if the OLRB did have jurisdiction over these kids of complaints it should scrutinize applications at the outset. 4 5 Musty v Meridian Magnesium Products Ltd., [1996 OLRB] Rep 964. Conforti v Investia Financial Services Inc., [2011] OLRB Rep 549. CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 3 In 2013, however, the OLRB reconsidered this position and concluded that the OHSA protected employees who were alleging that they had been reprised against for making a complaint of workplace 6 harassment. In Ljuboja v Aim Group Inc. there was an incident where an employee was belittled by his supervisor; he was screamed and yelled at. The employee approached human resources about the incident and was told that reporting it would not result in a reprisal against him. However, shortly after making a formal complaint he was informed that he was being terminated and was advised the termination was not the result of performance issues. The employee alleged that he was terminated because he made a complaint of workplace violence and workplace harassment. Once again, the OLRB went through the provisions of the OHSA that place an obligation on employers to create and maintain a workplace harassment policy. The OLRB recalled that in Conforti it did not dismiss the ability of the OLRB to hear alleged reprisal complaints arising out of workplace harassment complaints all together. The OLRB went on to conclude that the meaning of the phrase 7 “…develop and maintain a program to implement a policy…” within the legislation must include a requirement to ensure that the policy is carried out and complied with. It would completely undermine this requirement to permit an employer to terminate a worker for making a complaint of workplace harassment. As a result, terminating a worker because they have made a workplace harassment complaint would be terminating the worker because they sought enforcement of the OHSA or were acting in compliance with the OHSA; namely, seeking to have their employer comply with its obligation to enable the worker to make the workplace harassment complaint. The OLRB did maintain its position, however, that the OHSA places no obligation on employers to provide a harassment free workplace or to provide any specific type of investigation or outcome to a harassment complaint. The only inquiry the OLRB will make into the underlying allegations of harassment is whether the employer terminated, or otherwise penalized, the worker for having filed the workplace 6 7 Ljuboja v Aim Group Inc., [2013] OLRB Rep. 1298. Occupational Health and Safety Act, RSI 1990, c 0.1, s 32.02(1) [OHSA]. CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 4 harassment complaint. Lastly, the OLRB will exercise its discretion to inquire into an alleged reprisal for filing a workplace harassment complaint on a case by case basis. Assuming the Board follows the decision in Ljuboja, going forward, it provides reasonably clear guidance for employers with respect to their obligations under the OHSA. Employers are not tasked with providing a harassment free workplace or guaranteeing any particular outcome of a harassment complaint. They are however, required to develop, maintain and communicate meaningful harassment policies and programs and they cannot terminate or reprise against an employee for making such a complaint. The Workplace Safety Insurance Board (the “WSIB”) Last year, the WSIB issued an important decision for those who suffer injuries as a result of sustained bullying or harassment at work. The decision is also worthy of employers’ attention since worker compensation claims can impact premiums paid to the WSIB by employers. In Decision No. 8 2156/09 , the WSIB found that the distinction between thresholds for physical and psychological injuries in the Workplace Safety and Insurance Act (WSIA) was discriminatory. This decision had the practical effect of making workers compensation claims for bullying more accessible. In this case, the employee was a nurse at the same hospital for twenty-eight years. For twelve of those years she was subject to ill treatment by a doctor who she worked with. This included yelling and making demeaning comments in front of both colleagues and patients. It all culminated in an incident when the employee attempted to carry out her duties in the clinic where she worked, but the doctor continually and repeatedly interrupted her talking with patients, told her to “shoo” and closed the door on her heals. The employee felt the doctor was interfering with her ability to perform her job and brought her concerns to the team leader the next day. In response, the team leader advised the employee that her responsibilities would be significantly reduced. 8 Decision No 2157/09, 2014 ONWSIAT 938. CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 5 The employee was unable to continue working. She sought medical and psychiatric treatment. The employee described feeling pushed around, battered, humiliated, and discredited. She was diagnosed with an adjustment disorder with mixed features of anxiety and depression, which her doctors attributed to workplace stressors. The employee filed a claim for mental stress with the WSIB. The WSIB found that the provisions of WSIA dealing with mental stress put an extra burden on employees seeking to claim compensation for psychological harm. The WSIA required that mental stress arise out of a sudden and unexpected traumatic event. Further, mental stress claims are limited to acute reactions in these situations. Claimants with physical injuries are not required to show that the injury was caused by a sudden or traumatic event, and would also be entitled to benefits where the injury arose gradually over time due to the nature of the work they performed. The WSIB declined to apply the provisions creating the extra hurdle to the employee, and determined that she had a compensable work place injury. This decision should signal the level of responsibility placed on employers to avoid and appropriately handle bullying in the work place. The WSIB has acknowledged that sustained harassment or bullying over time can result in compensable psychological injuries. If employers do not want to see their premiums increase, and also have employees with a decision in hand that links bullying in their work place to a compensable injury, it would be advisable to ensure the organization has in place a program that effectively addresses bullying and harassment. The Courts Last year the Ontario Court of Appeal released an important decision condemning Walmart’s handling of an ongoing bullying problem in one of their locations. The decision shows the extent to which the courts will examine the steps taken by employers when dealing with bullying and harassment complaints in assessing their liability, and the financial ramifications for those found liable. CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 6 9 In Boucher v Wal-Mart Canada Corp ., the plaintiff was a valued Wal-Mart employee for eight years. Since the beginning of her employment, she received regular promotions and eventually accepted a transfer to Wal-Mart’s Windsor store as an assistant manager. Although she initially enjoyed a good working relationship with her manager, relations between them became problematic after an incident in which she refused to alter a temperature log because the manager feared this oversight would reflect poorly on him in the store’s upcoming evaluation. She was subjected to a disciplinary coaching session. Because she felt she had been unfairly disciplined, and because she had been subjected to profane and disrespectful language when he spoke to her, the plaintiff decided to use Wal-Mart’s Open Door Communication Policy. The plaintiff and one other assistant manager met with the District People Manager to speak about their concerns with the manager. In breach of the policy, the manager was made aware of the meeting. From the day the manager found out about the meeting he subjected the plaintiff to an unrelenting and increasing torrent of abuse. The plaintiff met with senior management because nothing had been done to address her complaints. The management team said they would investigate. After a period of time Wal-Mart’s management team told the plaintiff that they had investigated her complaints and found them unsubstantiated. They also told her that she would be held accountable for making these unsubstantiated complaints. The court noted that little evidence was led at trial that the Wal-Mart investigators sought information from other assistant managers who had witnessed the manager’s abusive conduct. The plaintiff eventually quit after a particularly troublesome incident. The plaintiff filed suit against the manager personally as well as against Wal-Mart for constructive dismissal. At trial, the jury awarded $200,000 in aggravated damages against Wal-Mart and $1,000,000 in punitive damages. The jury awarded $250,000 in damages against the manager, $100,000 for intentional infliction of mental suffering and $150,000 in punitive damages. On appeal, the punitive award against the manager was reduced to $10,000, however, the damages for intentional infliction of mental distress were upheld. In reviewing the award against Wal9 Wal-Mart, supra note 3. CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 7 Mart on appeal, the Court upheld the $200,000 award of aggravated damages, criticising Wal-Mart for not taking adequate steps to bring an end to the manager’s conduct, not taking the plaintiff’s complaints seriously, and for failing to enforce its workplace policies. In lowering the jury’s punitive damage award against Wal-Mart from $1,000,000 to $100,000 the court noted that Wal-Mart was already liable for significant compensatory damages, its misconduct lasted less than six months, and the employer did not profit from its wrong. In total Wal-Mart was on the hook for $300,000 to the plaintiff plus the costs and bad press associated with the lawsuit. What is notable here, other than the monetary penalties, is the Court’s assessment of an employer’s work place policies, and the steps taken (or lack thereof) in enforcing them. This decision sends a strong message to employers to ensure their anti-bullying and workplace harassment policies are being implemented and carried out effectively. Leaving the rather unfortunate set of facts in the Wal-Mart case aside, it also suggests that employers need to carefully consider their policies to ensure they are not setting the bar too high for themselves. If courts are going to review employers’ policies against actions taken by the employer, it is important the create procedures that set reasonable standards and practices that are both fair and attainable. Preventive Measures: Bully-Proofing the Workplace There is probably no limit to the number of strategies that could be proposed for preventing workplace harassment/bullying. Since you don’t want to read this paper forever, however, we have settled on five (5) areas that we hope will have application to a broad variety of workplaces. We have also tried to avoid recommending or proposing a particular culture and instead have focused on principles that should apply regardless of a particular workplace culture. 1. Policy Development To protect against liability, employers need to ensure that they have sound policies. In Ontario, British Columbia and Quebec these policies are required in most workplaces. The policy should reflect CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 8 the applicable legislative definition of workplace harassment/bullying. In Ontario, workplace harassment is defined as: Engaging in a course of vexatious comment or conduct against a worker in a workplace that is known 10 or ought reasonably to be known to be unwelcome. In Quebec, “Psychological Harassment is defined as: vexatious behaviour in the form of repeated conduct, verbal comments, actions or gestures: that are hostile or unwanted; that affect the employee’s dignity or psychological or physical integrity; and that 11 make the work environment harmful. Finally, in British Columbia, WorkSafeBC has defined bullying to include … any inappropriate conduct or comment by a person towards a worker that the person knew or reasonably ought to have known would cause that worker to be humiliated or intimidated, but excludes any reasonable action taken by an employer or supervisor relating to the management and 12 direction of workers or the place of employment. The Policy should address how complaints are made and who they are made to. The ability to request or require the complaint be made in writing should be preserved. Consideration should be given to how the reporting will work if the person to whom the report is to be made is the alleged bully and harasser. To the extent possible, the Policy should ensure there is flexibility for handling the complaint in an appropriate way. This will generally involve having an option for an informal resolution mechanism at one end of the spectrum and a full investigation – potentially with an external independent investigator – at the other end of the spectrum. The Policy will also need to cover off any legislative requirements with respect to record keeping and timelines and should be reviewed on a regular basis to ensure it is up to date and not in need of revision. 10 OHSA, supra note 7 at s 1. An Act Respecting Labour Standards, CQLR c N01.1, s 81.18. 12 WorkSafebC, OHS Policies for Bullying and Harassment (British Columbia, 2015), online: www.2worksafebc.com 11 CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 9 Employers should also be keenly aware of the risks of developing a policy that overstates its obligations and as such should create both realistic and effective policies to address workplace bullying and harassment. 2. Training and Awareness Employers should ensure that they are providing training on their anti-bullying/workplace harassment policy on a regular basis. We recommend that such training be provided at least once a year. The training should involve a review of the policy and of the organization’s commitment to remaining “bully free”. It should provide employees with examples of acceptable and unacceptable behaviour and focus on identifying harmful behaviours. Consideration should be given to addressing: - when and how often yelling occurs in the workplace; - when and how often is profanity used; - when performance issues have to be addressed is this done appropriately and without an audience; - are less confident individuals treated differently; - when are issues open for discussion and when are they not and how is this made clear. Employers should also ensure that the organization’s stance on workplace harassment/bullying is made clear all the time. Policies should be posted in a prominent area and advertisements that the workplace is harassment or bully-free should be posted. Awareness also involves employees knowing what to do when and if they witness inappropriate behaviour. 3. Visibility CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 10 Although most workplace harassment/bullying cases involve a supervisor and subordinate relationship there are many less serious but still time and resource consuming ones that involve incidents amongst co-workers. Often these incidents come to a head at social events or in common areas. Common areas can help staff connect and build trust that will make the organization stronger. They can also become a battlefield and poison the work environment if an employee uses that space to assert themselves in a negative way. Social events can produce the same results. Many employers see social events as a way to foster better working relationships by providing fun and engaging events outside of work. However, just like common areas, social events also have the potential to give rise to bullying by providing a forum for bullies to victimize their colleagues. Close attention should be paid to the kind of culture that is created by these spaces and events. The attendance and visibility of supervisors and human resources in these spaces and at these events can go a long way towards defusing and preventing these incidents. 4. Implementation Once the policy is in place and the training has been conducted there needs to be a clear response to complaints made. If complaints are not addressed in accordance with the policy then employers risk undermining all of the work done to this point. As complaints and the resolution of them is a confidential matter, it is not always possible to demonstrate that you are handling complaints appropriately. As a result, you may want to consider other methods of gathering feedback on how the organization’s treatment of complaints is perceived such as employee surveys and open door/coffee chat discussions with HR. In addition, organizations should ensure policies and procedures are enforced top to bottom and that no one is exempt. The Ghomeshi scandal provides one extreme example of a problematic environment that can result when policies are not implemented properly. Due to his success, Ghomeshi was considered a “god” and this status he was given created a culture of complicity regarding his CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 11 misconduct. 13 Regardless of whether an employer has policies and procedures in place this kind of culture discourages people from reporting incidences they might otherwise report. 5. Performance Reviews and Feedback The last step in bully-proofing your workplace is also a big step towards protecting your self from unjustified complaints. There are two key elements that should be addressed regarding performance reviews and feedback: (i) the formal performance review process and (ii) on the spot, informal feedback. (i) The Formal Performance Review Process A standard cycle and format should be established for performance reviews. Supervisors should be encouraged and held accountable for taking this process seriously. The importance of giving honest and complete feedback cannot be overstated. In many workplace harassment complaints the employee provides their history of performance reviews – which show them to be a fine or even above average employee – to demonstrate that their supervisor’s conduct towards them was harassment and not legitimate performance management. Where possible avoid allowing a simple rank or rating system without an explanation. If you do require an explanation, require it in all cases, not just where a needs improvement or below average rating is given. Where possible, ask managers to provide specific examples of good or bad performance and provide suggestions for change or improvement. When reviews are delivered, they should ideally be done with a representative from human resources or another manager present. These meetings should be structured and are an opportunity for both the manager and employee to address concerns at work. Managers should give balanced feedback, providing examples of both good and poor performance or behaviours. Employees should be given an opportunity to share their perspective without judgement - this should be documented - particularly if no concerns are raised. Dates should be set for follow up if there are areas of concern. 13 Sheryl Johnson “Improving the Health of your Workplace Culture: Poor Culture can be Liability” HR Professional, March/April 2015, at p 12. CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 12 (ii) Informal Feedback Providing on the spot feedback can be both useful and threatening depending on the context and the approach. Without forethought, managers may not communicate their feedback in an ideal manner causing the employee to feel threatened. Feedback should never be given without due consideration to how it will be perceived by the employee. Negative feedback should always be delivered discretely and without an audience if possible. Furthermore, the purpose of the feedback should be to improve performance not to discipline or shame the employee. If discipline is warranted, it should be delivered formally and in an appropriate way, not off the cuff through a verbal dressing down. Where resources permit, employers should ensure that proper training and support is given to management in order to ensure that any feedback given by them is both effective and administered properly. One way to ensure this is to have management and senior employees undergo training on how to communicate, listen, express and manage more effectively. 14 Conclusion Workplace harassment and bullying will continue to be an issue for employers. Allegations are now being made frequently in wrongful dismissal cases that the terminated employee was harassed or bullied to justify claims for additional damages. In order to prevent these types of claims and to have the best defence available in the event they arise, employers have to do more than simply have a policy, they need to be proactive and take steps to make their workplace bully free. 14 Jennifer Loh, “The Role of Human Resource Departments in Addressing Bullying Behavior” Bullying in the Workplace: Causes Symptoms, and Remedies Edited by John Lipinksi and Laura M. Crothers, at 265. CAN: 18807034.2 DLA Piper (Canada) S.E.N.C.R.L. | 13 Pablo Guzman Partner [email protected] Suite 1400, McGill College Tower 1501 McGill College Avenue, Montréal, QC, H3A 3M8, Canada T: +1 514 392 8406 F: +1 514 392 8376 Pablo Guzman is a partner in the firm's Montréal office. Pablo is a litigator and practises in the areas of corporate law, employment, CREDENTIALS franchise and and commercial contracts, and the enforcement of creditors’ rights. He routinely counsels clients in the drafting, review, Education management and enforcement of contracts and security instruments B.A., Université du Québec à Montréal, 1989 in his areas of practice. LL.B., Université de Montréal, 1992 Admissions Pablo often provides strategic counsel to boards and C-level executives on complex litigation and compliance with businessrelated legislation, including Québec’s Consumer Protection Act, the Charter of the French Language, the Civil Code of Québec, the Competition Act and privacy legislation. His litigation practice also includes acting as defence counsel in several competition law class proceedings pursuant to the Civil Code of Québec and the Competition Act. Québec Languages English French Spanish He has appeared before the Québec, Superior and Appeal Courts and provincial, federal and international administrative and arbitration tribunals. Pablo was born in El Salvador, Central America and moved to Canada in 1976. He obtained a B.A. in Political Science at Université du Québec - Montréal in 1989, specializing in international relations. He received his Bachelor of Laws degree from the Université de Montréal in 1992. PUBLICATIONS 2014 Employment and Labour Law Conference Presentations - Vancouver, 08 Oct 2014 Understanding the New Temporary Foreign Worker Program, 24 Sep 2014 PROFESSIONAL MEMBERSHIPS Member, Mexico-Canada Chamber of Commerce Member, Canada-Chile Chamber of Commerce Member, Lord Reading Society (an association of English speaking litigation attorneys) DLA Piper (Canada) S.E.N.C.R.L. | 1 Lucy-Maude Lachance Avocate [email protected] 1501, Av. McGill College, Bureau 1400, Montréal Quebec H3A 3M8, Canada T: +1 514 392 8419 F: +1 514 392 8380 Lucy-Maude Lachance est avocate au bureau de Montréal de DLA Piper S.E.N.C.R.L. où elle pratique dans les domaines du litige et du ÉDUCATION droit de l’emploi. LL.B., Université de Montréal, 2013 Lucy-Maude travaille en collaboration avec ses collègues afin de B.A., Affaires publiques et relations internationales, Université Laval, 2010 représenter des clients dans un éventail de dossiers de litige, Admise au Barreau du Québec en 2014 notamment lors de disputes contractuelles et de dossiers de constructions, dans le cadre de recours collectifs et en responsabilité civile. Dans le cadre de sa pratique en droit de l’emploi, Lucy-Maude assiste les employeurs relativement à des plaintes de congédiement injustifié, et les conseille quant aux normes du travail et quant à des enjeux touchant la législation en droits humains. Lucy-Maude a obtenu un baccalauréat en droit de l’Université de Montréal en 2013 après avoir complété un baccalauréat en affaires publiques et relations internationales à l’Université Laval en 2010. Pendant ses études, Lucy-Maude a participé à l’Institut de Barcelone en droit international et comparatif de l’Université de San Diego. Elle a aussi fait un stage à la Société professionnelle des auteurs et des compositeurs du Québec, où elle a assisté le président dans tous les dossiers juridiques affectant les membres, surtout en ce qui a trait aux contrats d’édition, d’enregistrement et de gérance. Lucy-Maude s’est joint à DLA Piper S.E.N.C.R.L. comme étudiante d’été en 2013, et a poursuivi comme stagiaire puis comme avocate en 2014. Membre, Barreau du Québec Membre, Association du Jeune Barreau de Montréal Membre, Avocats sans Frontières Canada; Ancienne Vice-Présidente (Recherche), Comité de l’Université de Montréal DLA Piper (Canada) S.E.N.C.R.L. | 1 « VOULEZ-VOUS COUCHER AVEC MOI? » ♪♫ ♫ ♪♫ ♪♫ ♪ ♫ ♪♫ ♫ Harcèlement sexuel en milieu de travail Présenté par Pablo Guzman et Lucy-Maude Lachance Conférence en droit de l’emploi et du travail de Montréal Mercredi 6 mai 2015 Définition jurisprudentielle du harcèlement sexuel Une conduite à connotation sexuelle Qui revêt un caractère vexatoire et non désiré Et qui a un effet continu dans le temps, soit en raison de sa répétition ou de ses conséquences DLA Piper (Canada) S.E.N.C.R.L. 2 DÉFINITION JURISPRUDENTIELLE DU HARCÈLEMENT SEXUEL Peut se manifester de diverses façons, physiques ou psychologiques: Gestes, paroles, signes, remarques. Par exemple : Regarder constamment l'entrejambe et les seins d’un ou une collègue, le ou la frôler souvent, l'embrasser dans le cou, le ou la prendre par la taille et lui faire des propositions explicites; Interroger une femme quant à sa poitrine, ainsi que sur sa vie intime et poser la main sur l'un de ses seins; Prononcer des paroles et des plaisanteries déplacées, poser des gestes et des attouchements à caractère sexuel, proposer d'avoir des relations sexuelles et donner une tape sur les fesses; Mettre ses mains sur les épaules et les hanches d'une femme, lui caresser les bras ainsi que lui demander de porter du rouge à lèvres pour être plus sensuelle; DLA Piper (Canada) S.E.N.C.R.L. 3 DÉFINITION JURISPRUDENTIELLE DU HARCÈLEMENT SEXUEL Faire des remarques sur la tenue vestimentaire d’un ou une collègue, lui toucher les cuisses et lui faire des avances; Poser des questions sur la vie sexuelle d‘un ou une collègue et sur ses habitudes vestimentaires lorsqu‘il ou elle dort, l’inviter à s’habiller d’une manière sexy au travail, tenter de l'embrasser et finalement le ou la séquestrer pendant 30 minutes dans son bureau. DLA Piper (Canada) S.E.N.C.R.L. 4 DÉFINITION JURISPRUDENTIELLE DU HARCÈLEMENT SEXUEL Toutefois, ne constituent pas des actes à connotation sexuelle: le fait, pour un propriétaire de restaurant, de taquiner ses serveuses et de leur parler rudement lorsqu'il n'est pas satisfait de leur travail; le fait, pour un dentiste, de toucher involontairement les mains et les jambes de son assistante-dentaire durant le travail, de lui toucher le visage pour savoir si elle fait de la fièvre, de l'inviter à souper au restaurant avec lui et ses enfants ainsi que lui dire qu'elle est belle. DLA Piper (Canada) S.E.N.C.R.L. 5 DÉFINITION JURISPRUDENTIELLE DU HARCÈLEMENT SEXUEL La règle : Dire non ! Cependant, il s’avère que certains comportements sont objectivement inacceptables à un tel point qu’aucune manifestation de refus n’est requise de la part de la victime Test de la personne raisonnable DLA Piper (Canada) S.E.N.C.R.L. 6 DÉFINITION JURISPRUDENTIELLE DU HARCÈLEMENT SEXUEL Le harcèlement peut être établi par une preuve de plusieurs actes à connotation sexuelle (ou un seul acte grave) et d’autres actes reliés que ce soit des menaces, des promesses ou des représailles qui peuvent aller jusqu’au congédiement ou à la démission forcée de la victime. DLA Piper (Canada) S.E.N.C.R.L. 7 DÉFINITION DU HARCÈLEMENT SEXUEL DANS LE CODE CANADIEN DU TRAVAIL « Tout comportement, propos, geste ou contact qui, sur le plan sexuel: (a) soit est de nature à offenser ou humilier une employée; (b) soit peut, pour des motifs raisonnables, être interprété par celui-ci comme subordonnant son emploi ou une possibilité de formation ou d’avancement à des conditions à caractère sexuel » DLA Piper (Canada) S.E.N.C.R.L. 8 DÉFINITION DU HARCÈLEMENT PSYCHOLOGIQUE SUIVANT LA LOI SUR LES NORMES DU TRAVAIL « Une conduite vexatoire se manifestant soit par les comportements, des paroles, des actes ou des gestes répétés qui sont hostiles ou non désirés, laquelle porte atteinte à la dignité ou à l’intégrité psychologique ou physique du salarié et qui entraîne, pour celui-ci, un milieu de travail néfaste. Une seule conduite grave peut aussi constituer du harcèlement psychologique si elle porte une telle atteinte et produit un effet nocif continu pour le salarié » À noter que le harcèlement sexuel constitue une forme de harcèlement psychologique au sens des dispositions de la Loi sur les normes du travail. DLA Piper (Canada) S.E.N.C.R.L. 9 DÉFINITION DE LA DISCRIMINATION BASÉE SUR LE SEXE DANS LA CHARTE QUÉBÉCOISE DES DROITS ET LIBERTÉS « Toute personne a droit à la reconnaissance et à l’exercice, en pleine égalité, des droits et libertés de la personne, sans distinction, exclusion ou préférence fondée sur la race, la couleur, le sexe, la grossesse, l’orientation sexuelle, l’état civil, l’âge sauf dans la mesure prévue par la loi, la religion, les convictions politiques, la langue, l’origine ethnique ou nationale, la condition sociale, le handicap ou l’utilisation d’un moyen pour palier ce handicap. Il y a discrimination lorsqu’une telle distinction, exclusion ou préférence à pour effet de détruire ou de compromettre ce droit. » « Nul ne peut exercer de discrimination dans l’embauche, l’apprentissage, la durée de la période de probation, la formation professionnelle, la promotion, la mutation, le déplacement, la mise-à-pied, la suspension, le renvoi ou les conditions de travail d’une personne ainsi que dans l’établissement de catégories ou de classification d’emploi ». DLA Piper (Canada) S.E.N.C.R.L. 10 INFRACTIONS CRIMINELLES POUVANT DÉCOULER DU HARCÈLEMENT SEXUEL Lorsque le harcèlement sexuel au travail mène à des attouchements ou à du harcèlement criminel, les dispositions du Code criminel peuvent s’appliquer: Agression sexuelle Harcèlement criminel DLA Piper (Canada) S.E.N.C.R.L. 11 CONSÉQUENCES POTENTIELLES Plaintes de harcèlement psychologique à la Commission des normes du travail Plaintes pour lésions professionnelles (CSST) Plaintes à la Commission des droits de la personne et des droits de la jeunesse Plaintes à la Commission canadienne des droits de la personne Plaintes à Emploi et développement social Canada (pour les employés régis par le Code canadien du travail) Plaintes à la Commission de la fonction publique (pour les employés du gouvernement québécois) Plaintes criminelles DLA Piper (Canada) S.E.N.C.R.L. 12 OBLIGATIONS DE L’EMPLOYEUR La Loi sur les normes du travail prévoit que: « tout salarié a droit à un milieu de travail exempt de harcèlement psychologique, et que l’employeur doit prendre les moyens raisonnables pour prévenir le harcèlement psychologique et, lorsqu’une telle conduite est portée à sa connaissance, pour la faire cesser » Le Code canadien du travail contient une disposition similaire en plus d’imposer à l’employeur l’obligation de diffuser une déclaration en matière de harcèlement sexuel DLA Piper (Canada) S.E.N.C.R.L. 13 OBLIGATIONS DE L’EMPLOYEUR Les mesures devant être mises en place par un employeur dépendront des particularités du milieu de travail. Il est notamment suggéré : D’établir une politique claire en matière de harcèlement au travail, tel qu’il sera décrit plus amplement ci-après De veiller à diffuser la politique auprès de tous les employés et voir à son respect (remettre des copies à chaque employé et faire des sessions d’informations) D’agir rapidement et adéquatement lors du dépôt d’une plainte ou lorsque l’employeur a connaissance que certains des employés posent des gestes de harcèlement et prendre les mesures ou les sanctions nécessaires et appropriées dans de tels cas DLA Piper (Canada) S.E.N.C.R.L. 14 ÉLABORATION D’UNE POLITIQUE Voici des exemples de dispositions qui peuvent être incluses dans une politique en matière de harcèlement sexuel: Un énoncé de la raison d’être de celle-ci Son champ d’application Une définition du harcèlement sexuel Une procédure de traitement en cas de plainte (voir ci-après) DLA Piper (Canada) S.E.N.C.R.L. 15 ÉLABORATION D’UNE POLITIQUE La procédure de traitement en cas de plainte : Agir avec célérité dans la protection de la victime, le processus d’enquête, et la sanction à imposer Prévoir une personne en charge de recevoir les plaintes et un substitut dans le cas où cette personne serait le harceleur Prévoir un processus d’enquête de nature confidentielle sauf en cas de litige S’assurer du bien-être de la victime (offrir un congé payé, de voir un médecin?) En cas de geste grave, suspendre le présumé harceleur avec salaire pendant l’enquête Couper le lien hiérarchique entre la victime et le présumé harceleur le cas échéant Indiquer qu’aucune représaille ne sera effectuée contre un employé pour sa participation à une enquête Indiquer qu’une plainte frivole, faite de mauvaise foi ou avec l’intention de nuire pourra être sanctionnée par des mesures disciplinaires allant jusqu’au congédiement DLA Piper (Canada) S.E.N.C.R.L. 16 ÉLABORATION D’UNE POLITIQUE La procédure de traitement en cas de plainte (suite) : Prévoir que les parties auront la possibilité de faire valoir leurs observations avant qu’une décision ne soit rendue, ce qui implique d’indiquer au présumé harceleur qu’il fait l’objet d’une enquête, de lui mentionner l’individu qui est à l’origine de la plainte et quels sont les gestes qui lui sont reprochés Si l’enquête mène à conclure qu’il y a eu, dans les faits, harcèlement sexuel, indiquer que des mesures disciplinaires pourront être prises allant jusqu’au congédiement DLA Piper (Canada) S.E.N.C.R.L. 17 GRADATION DES SANCTIONS Suivre le principe de la gradation des sanctions dans le cadre de la gestion des questions de harcèlement sexuel: Analyse selon la gravité de la faute Certains comportements justifient l’imposition d’une suspension immédiate, tandis que certains types de comportement brisent le lien de confiance entre l’employeur et l’employé et justifient un congédiement immédiat; Or, il faut analyser minutieusement la conduite reprochée afin d’établir la sanction appropriée. Voici des exemples de critères à considérer: La gravité du harcèlement Le nombre de victimes Le milieu spécifique de travail La fonction du harceleur dans l’entreprise La clientèle de l’entreprise Le refus d’avouer et l’absence de regret, etc DLA Piper (Canada) S.E.N.C.R.L. 18 SÉGUIN C. DESSAU INC. À retenir: Un employé ne peut se réfugier derrière son droit à la vie privée lors d’une enquête pour harcèlement sexuel à son égard, et refuser de donner sa version des faits ou de fournir certaines informations en prétendant qu’il entretient une relation amicale en dehors des heures de travail avec une employée Un employeur peut prendre des mesures disciplinaires allant jusqu’au congédiement lorsque la conduite d’un employé en dehors des heures et du lieu de travail a un impact direct sur le milieu de travail La position de cadre est un facteur aggravant lors d’allégations de harcèlement sexuel DLA Piper (Canada) S.E.N.C.R.L. 19 MERCI! Me Pablo Guzman (514) 392-8406 [email protected] Me Lucy-Maude Lachance (514) 392-8419 [email protected] Cette présentation vise à fournir des commentaires généraux sur des développements en droit. Elle n'est pas destinée à être une revue exhaustive, et n'a pas pour but de fournir un avis juridique. Nul ne devrait agir sur la base des informations contenues dans cette présentation sans avoir obtenu un avis juridique spécifique quant à une situation particulière. DLA Piper (Canada) S.E.N.C.R.L. 20 « VOULEZ-VOUS COUCHER AVEC MOI? » Sexual harassment in the workplace Presented by Pablo Guzman and Lucy-Maude Lachance Montréal Employment and Labour Law Conference Wednesday, May 6, 2015 Jurisprudential definition of sexual harassment Conduct of a sexual connotation Of a vexatious and undesired nature And has a continuous effect over time, either by reason of its repetition or consequences DLA Piper (Canada) LLP 2 JURISPRUDENTIAL DEFINITION OF SEXUAL HARASSMENT It can manifest itself in various ways, physically or psychologically: Gestures, words, signs, remarks. For example: Constantly gazing between the legs or looking or brushing against the breasts of a colleague, kissing them on the neck or taking them by the waist and making explicit propositions; Questioning a woman about her breasts and about her sex-life and placing a hand on her breasts; Making inappropriate comments or jokes, touching or making gestures of a sexual nature, proposing sexual relations or slapping the buttocks; Placing one’s hand on a woman’s shoulders or hips, caressing the arms or asking that the person wear lipstick to appear more sensual; DLA Piper (Canada) LLP 3 JURISPRUDENTIAL DEFINITION OF SEXUAL HARASSMENT Making remarks about the clothing of a colleague, touching their thighs or making advances; Asking questions about the sex life of a colleague or about what clothes they wear when they sleep, asking them to dress ‘sexy’ at work, trying to kiss them or sequestering them for 30 minutes in their office. DLA Piper (Canada) LLP 4 JURISPRUDENTIAL DEFINITION OF SEXUAL HARASSMENT However, the following do not constitute acts of a sexual nature: The fact that a restaurant owner teased his servers or spoke with them rudely when unsatisfied with their work; The fact that a dentist involuntarily touched the breasts and legs of his assistant while at work, touched her face to see if she had a fever, invited her to dinner at a restaurant with his children or told her that she was beautiful. DLA Piper (Canada) LLP 5 JURISPRUDENTIAL DEFINITION OF SEXUAL HARASSMENT The rule: Say No! However, certain behaviour is so objectively unacceptable that no expression of refusal is needed from the victim The reasonable person standard DLA Piper (Canada) LLP 6 JURISPRUDENTIAL DEFINITION OF SEXUAL HARASSMENT Harassment can be established by proof of multiple acts of a sexual connotation (or by a single serious act) or by other related acts such as threats or promises of reprisal, which could include the dismissal or forced resignation of the victim. DLA Piper (Canada) LLP 7 DEFINITION OF SEXUAL HARASSMENT IN THE CANADA LABOUR CODE “Any conduct, comment, gesture or contact of a sexual nature: (a) that is likely to cause offence or humiliation to any employee; or (b) that might, on reasonable grounds, be perceived by that employee as placing a condition of a sexual nature on employment or on any opportunity for training or promotion.” DLA Piper (Canada) LLP 8 DEFINITION OF PSYCHOLOGICAL HARASSMENT IN THE ACT RESPECTING LABOUR STANDARDS “Any vexatious behaviour in the form of repeated and hostile or unwanted conduct, verbal comments, actions or gestures, that affects an employee's dignity or psychological or physical integrity and that results in a harmful work environment for the employee. A single serious incidence of such behaviour that has a lasting harmful effect on an employee may also constitute psychological harassment.” Of note is the fact that sexual harassment constitutes a form of psychological harassment according to the Act Respecting Labour Standards. DLA Piper (Canada) LLP 9 DEFINITION OF DISCRIMINATION BASED ON SEX IN THE QUÉBEC CHARTER OF HUMAN RIGHTS AND FREEDOMS “Every person has a right to full and equal recognition and exercise of his human rights and freedoms, without distinction, exclusion or preference based on race, colour, sex, pregnancy, sexual orientation, civil status, age except as provided by law, religion, political convictions, language, ethnic or national origin, social condition, a handicap or the use of any means to palliate a handicap. Discrimination exists where such a distinction, exclusion or preference has the effect of nullifying or impairing such right.” “No one may practise discrimination in respect of the hiring, apprenticeship, duration of the probationary period, vocational training, promotion, transfer, displacement, laying-off, suspension, dismissal or conditions of employment of a person or in the establishment of categories or classes of employment.” DLA Piper (Canada) LLP 10 CRIMINAL INFRACTIONS THAT CAN RESULT FROM SEXUAL HARASSMENT When sexual harassment involves sexual touching or criminal harassment, the Criminal Code may apply: Sexual assault Criminal harassment DLA Piper (Canada) LLP 11 POTENTIAL CONSEQUENCES Psychological harassment complaint to the Commission des normes du travail Complaint for employment injury (CSST) Complaint to the Commission des droits de la personne et des droits de la jeunesse Complaint to the Canadian Human Rights Commission Complaint to Employment and Social Development Canada (for employees governed by the Canada Labour Code) Complaint to the Commission de la fonction publique (for Québec government employees) Criminal complaints DLA Piper (Canada) LLP 12 OBLIGATIONS OF THE EMPLOYER The Act Respecting Labour Standards stipulates that: “Every employee has a right to a work environment free from psychological harassment, and that employers must take reasonable action to prevent psychological harassment and, whenever they become aware of such behaviour, to put a stop to it.” The Canada Labour Code contains a similar provision in addition to imposing on the employer, the obligation to issue a policy statement regarding sexual harassment. 13 OBLIGATIONS OF THE EMPLOYER Measures should be implemented by the employer depending on the particularities of the workplace. It is suggested that employers: Establish a clear policy regarding workplace harassment, as will be discussed more fully below Ensure dissemination of the policy to all employees and see to it that it is observed (furnish copies to each employee and provide information sessions) Act promptly and adequately once a complaint is filed or when the employer knows of harassment committed by certain employees, and take any necessary and appropriate disciplinary measures. DLA Piper (Canada) LLP 15 14 POLICY DEVELOPMENT Here are examples of provisions that should be included in a policy regarding sexual harassment: A stipulation of the purpose or objectives of the policy The scope of application A definition of sexual harassment The procedures to follow in cases of a complaint (see below) DLA Piper (Canada) LLP 15 POLICY DEVELOPMENT Complaints handling procedure: Act swiftly in protecting the victim, investigating the complaint and if necessary, imposing a sanction Appoint a person to receive complaints and a substitute in cases where this person is the harasser Provide for an investigation process that is confidential except in cases of litigation Assure the well-being of the victim (offer paid leave, recommend that they see a doctor) In serious cases, suspend the alleged harasser with pay for the duration of the investigation Cut the hierarchical reporting relationship between the victim and the presumed harasser Indicate that no reprisals will be taken against an employee for participating in an investigation Indicate that a frivolous complaint filed in bad faith or with the intention to harm could result in disciplinary measures, including dismissal. DLA Piper (Canada) LLP 16 POLICY DEVELOPMENT Complaints handling procedure(continued) : Provide the parties with an opportunity to submit their observations before a decision is rendered. This implies informing the alleged harasser that he or she is being investigated, mentioning to them the individual that is at the origin of the complaint, and finally, informing the alleged harasser of the impugned acts that they are being investigated for If the investigation is conclusive of the fact that sexual harassment occurred, indicate that disciplinary measures could be taken, including dismissal. DLA Piper (Canada) LLP 17 PROGRESSION OF DISCIPLINARY SANCTIONS Follow the principle of progressive disciplinary sanctions when dealing with issues concerning sexual harassment: Assess the situation according to the gravity of the fault committed Certain behaviour justifies the imposition of an immediate suspension. When the behaviour breaks the bond of trust between the employer and employee, immediate dismissal could be justified; It is necessary to thoroughly analyze the impugned conduct in order to establish the appropriate sanction. Here are examples of the criteria to consider: The The The The The The gravity of the harassment number of victims characteristics of the workplace position of the harasser in the company clientele of the company refusal by the harasser to confess, his or her absence of regret, etc. DLA Piper (Canada) LLP 18 SÉGUIN V. DESSAU INC. Of note: An employee cannot hide behind his or her right to privacy during a sexual harassment investigation and refuse to provide his or her version of the facts or to furnish certain information by claiming that he or she holds an amicable relationship with a colleague outside of work An employer can invoke disciplinary measures, including dismissal, when the off-duty conduct of an employee has a direct impact on the workplace The fact that the harasser holds a managerial position is an aggravating factor concerning allegations of sexual harassment DLA Piper (Canada) LLP 19 THANK YOU! Pablo Guzman, Partner (514) 392-8406 [email protected] Lucy-Maude Lachance, Associate (514) 392-8419 [email protected] This presentation is designed to provide general comments concerning legal developments. It is not intended to be an exhaustive review nor a legal opinion. No one should act on the basis of the information contained in this presentation without obtaining a specific legal opinion concerning their particular situation. DLA Piper (Canada) LLP 20 MISE À JOUR DE L’ONTARIO DÉVELOPPEMENTS RÉCENTS Présenté par Karen R. Bock Conférence en droit de l’emploi et du travail - Montréal Mercredi 6 mai 2015 Changement à la législature Projet de loi 18, Loi de 2014 sur l'amélioration du lieu de travail au service d'une économie plus forte Loi sur l'accessibilité pour les personnes handicapées de l'Ontario, 2005 Depuis le 1e janvier 2015 Procédure de rétroaction accessible Formation Sites web accessibles Après le 1e janvier 2016 Formats et supports de communication accessibles Tous les exigences restantes suivant les Normes du travail DLA Piper (Canada) S.E.N.C.R.L. 2 JURISPRUDENCE 1) Directeurs emprisonnés pour violation de la Loi sur la santé et sécurité au travail de l’Ontario New Mex Canada Inc. - Deux administrateurs ont plaidé coupable à des accusations en vertu de la LSST et ont reçu une sentence de 25 jours de prison après des violations des normes de sécurité ayant conduit à la mort d'un ouvrier d'entrepôt L’Employeur a écopé d’une amende de 250,000$ + d’une sur-amende de 25% 2) Clause de résiliation dans le contrat de travail nulle Clause de résiliation dans le contrat de travail prévoyait que l'employé avait droit à une "période minimale de préavis prévu par la législation applicable, ou à être payé un salaire tenant lieu de préavis" Ne prévoyait pas spécifiquement le maintien des bénéfices Clause de résiliation a violé les normes du travail - employé a droit à un préavis raisonnable de common law Miller c. ABM Canada Inc, 2014 ONSC 4062 DLA Piper (Canada) S.E.N.C.R.L. 3 JURISPRUDENCE 3) Recours collectif intenté par des anciens employés certifié 521 employés d’un centre d’appel ont voulu faire autoriser un recours collectif contre leur employeur, IQT, Ltd. 242 des anciens employés avaient déjà déposé des plaintes auprès du ministère du Travail 140 anciens employés ne déposèrent aucune plainte, mais ont été évalués par le Ministère du Travail 139 employés ne déposèrent aucune plainte ou ne furent pas bénéficiaires des ordonnances de payer du Ministère du Travail Les employés qui ont déposé des plaintes ont été empêchés de présenter une réclamation pour congédiement injustifié, mais pourraient poursuivre d'autres revendications (négligence, complot, etc.) Les employés qui ne déposèrent pas de plaintes mais ont été évalués par le ministère du travail ne furent pas empêchés de présenter une réclamation pour congédiement injustifié Brigaitis c IQT, Ltd c.o.b. en tant que IQT Solutions, 2014 ONSC 7 DLA Piper (Canada) S.E.N.C.R.L. 4 ONTARIO UPDATE RECENT DEVELOPMENTS ON THE HOME FRONT Presented by Karen Bock 2015 Employment & Labour Law Conference - Montreal Wednesday, May 6, 2015 Legislative Changes Bill 18 - Stronger Workplaces for a Stronger Economy Act, 2014 The Accessibility for Ontarians with Disabilities Act, 2005 As of January 1, 2015 Accessible feedback process Training Accessible Websites As of January 1, 2016 Accessible formats and communication supports All remaining requirements under the Employment Standards DLA Piper (Canada) LLP 2 CASES OF INTEREST 1) Directors Imprisoned for Violation of OHSA New Mex Canada Inc. - Two directors plead guilty to charges under the OHSA and received 25 days jail time after safety violations led to the death of a warehouse worker Employer fined $250,000 + 25% victim fine surcharge 2) Termination Provision in Employment Contract Void Termination provision in employment contract provided that employee entitled to “minimum period of notice prescribed by applicable legislation, or by being paid salary in lieu of such notice” Did not specifically provide for continuation of benefits Termination provision offended the ESA - employee entitled to common law reasonable notice Miller v ABM Canada Inc, 2014 ONSC 4062 DLA Piper (Canada) LLP 3 CASES OF INTEREST 3) Class Action Brought by Former Employees Certified 521 call centre employees sought to certify a class action against their employer, IQT, Ltd. 242 of the former employees had already filed complaints with the Ministry of Labour 140 former employees did not file complaints, but were assessed by the Ministry of Labour 139 employees did not file complaints or were not the beneficiaries of Ministry of Labour orders to pay Those employees who did file complaints were precluded from advancing a claim for wrongful dismissal, but could pursue other claims (negligence, conspiracy, etc.) Those employees who did not file complaints but were assessed by the Ministry of Labour were not precluded from advancing a claim for wrongful dismissal Brigaitis v IQT, Ltd c.o.b. as IQT Solutions, 2014 ONSC 7 This is a sample footer DLA Piper (Canada) LLP 4 MISE À JOUR PANCANADIENNE MISE À JOUR DE LA COLOMBIE BRITANNIQUE Faire les choses différemment depuis 1871 Présenté par Michael S. Richards Conférence en droit de l’emploi et du travail de Montréal Mercredi 6 mai 2015 « DOUBLES DÉDUCTIONS » Les prestations d’invalidité à long ou à court terme sontelles déductibles de l’indemnité tenant lieu de préavis l’héritage de Waterman Morris c. ACL Services Ltd., 2014 SCCB 1580 Gill c. Williams Lake and District Credit Union 2014 SCCB DLA Piper (Canada) S.E.N.C.R.L. 2 CE QUE VOUS NE SAVEZ PAS….. Nouvelles lignes directrices pour les vérifications d’information faites par les corps policiers en Colombie-Britannique Dans le passé, il était commun que les vérifications d’information faites par les corps policiers incluent: des informations à propos de questions de santé mentale des informations à propos de « question de contacts hostiles avec la police » Maintenant différenciez les vérifications d’information faites par les corps policiers concernant des personnes demandant à travailler ou travailler bénévolement avec des personnes « vulnérables » par opposition à celles faites à propos d’employés potentiels ne le demandant pas. DLA Piper (Canada) S.E.N.C.R.L. 3 VOUS POUVEZ ENSEIGNER DE NOUVEAUX TOURS À UN VIEUX CHIEN BC Teacher’s Federation c. British Columbia Législation enlevant la possibilité aux enseignants de négocier la taille et la composition de leur groupe. DLA Piper (Canada) S.E.N.C.R.L. 4 DLA Piper (Canada) S.E.N.C.R.L. 5 TROUVEZ L’EMPLOYÉ McCormick c. Fasken Martineau DuMoulin Devinez qui n’est pas un employé après tout! CROSS COUNTRY CHECK-UP BRITISH COLUMBIA UPDATE Doing Things Differently Since 1871 Presented by Michael S. Richards Montréal Employment and Labour Law Conference Wednesday, May 6, 2015 DOUBLE DIPPING Are short/long term disability benefits deductible from pay in lieu of notice - the legacy of Waterman Morris v. ACL Services Ltd., 2014 BCSC 1580 Gill v. Williams Lake and District Credit Union 2014 BCSC DLA Piper (Canada) LLP 2 WHAT YOU DON’T KNOW….. New Policy Guidelines for Police Information Checks in British Columbia In the past, common for police information checks to include: information about mental health issues information about “adverse police contact” Now differentiate between police information checks related to people who are applying to work or volunteer with “vulnerable” persons as opposed to prospective employees who are not. DLA Piper (Canada) LLP 3 YOU CAN TEACH AN OLD DOG NEW TRICKS BC Teacher’s Federation v. British Columbia Legislation removing ability of teachers to bargain class size and composition DLA Piper (Canada) LLP 4 DLA Piper (Canada) LLP 5 SPOT THE EMPLOYEE McCormick v. Fasken Martineau DuMoulin Guess who’s not an employee after all! Wendy-Anne Berkenbosch Partner [email protected] 1201 Scotia Tower 2 10060 Jasper Avenue, Edmonton, AB, T5J 4E5, Canada T: +1 780 429 6810 F: +1 780 702 4396 Wendy-Anne Berkenbosch is a partner and a member of the firm’s Employment law group. Wendy-Anne advises employers on labour, CREDENTIALS employment, administrative and human rights law issues. She also has expertise working with regulated health professions in Alberta. Education Wendy-Anne regularly assists clients and other lawyers by providing B.A. (with Distinction), The King's University College, 1995 research and analysis and by drafting comprehensive opinions, oral arguments and written submissions for all levels of court in all areas of the law. LL.B (with Distinction), University of Alberta, 1999 Admissions Alberta Wendy-Anne also practises in the area of environmental law. Her Languages experience includes advising clients regarding potential environmental risks and liability, supporting the defence of English environmental prosecutions and assisting in the application process for environmental regulatory approval. PUBLICATIONS Ouch, That Hurts! Increasing Damages Awards, 19 Nov 2014 2014 Employment and Labour Law Conference Presentations - Vancouver, 08 Oct 2014 2014 Employment and Labour Law Conference Presentations - Edmonton, 08 Oct 2014 PROFESSIONAL MEMBERSHIPS Member, Law Society of Alberta Member, Canadian Bar Association Second Vice President, University of Alberta Alumni & Friends of the Faculty of Law Association OTHER ACTIVITIES Guest Lecturer, University of Alberta, DHYG 326: Law and Dental Hygiene DLA Piper (Canada) S.E.N.C.R.L. | 1 MISE À JOUR PANCANADIENNE MISE À JOUR DE L’ALBERTA Présenté par Wendy-Anne Berkenbosch Conférence en droit de l’emploi et du travail de Montréal Mercredi 6 mai 2015 SPORTS ET MAGASINAGE Connor McDavid Notre tout premier Nordstrom (malheureusement, il est à Calgary) DLA Piper (Canada) S.E.N.C.R.L. 2 ÉLECTION PROVINCIALE EN ALBERTA Gouvernement conservateur progressiste depuis 1971 Élection provinciale tenue le 5 mai Et le gagnant est ????? DLA Piper (Canada) S.E.N.C.R.L. 3 MISE À JOUR LÉGALE: DROITS DE LA PERSONNE L’employé a reçu une indemnité tenant lieu de préavis de 2 semaines Le préavis requiert l’acceptation de l’offre en tant que “règlement total et définitif de toutes les demandes d’indemnité en rapport avec la cessation de votre emploi” L’employé a-t-il renoncé au droit d’intenter une plainte quant aux droits de la personne? DLA Piper (Canada) S.E.N.C.R.L. 4 MISE À JOUR LÉGALE: STATUT FAMILIAL Un employeur a refusé de permettre à un(e) employé(e) de travailler pendant des quarts de travail de jour Le simple fait d’avoir une famille ou d’éprouver des changements dans le statut familial n’accorde pas de droits particuliers; l’employé(e) doit établir qu’il y a eu discrimination La règle de l’employeur imposait un fardeau sur l’employé(e) mais non sur les autres employé(e)s ne partageant pas son statut familial. Aucune preuve de contrainte excessive DLA Piper (Canada) S.E.N.C.R.L. 5 MISE À JOUR LÉGALE: NORMES DU TRAVAIL Clause de “meilleurs bénéfices” Un employeur avait une politique selon laquelle les employé(e)s devaient utiliser leurs périodes de vacances plutôt que le temps supplémentaire accumulé L’application de cette politique empêchait les employé(e)s de prendre leur vacances pendant une période ininterrompue, ce qui viole le Employment Standards Code de l’Alberta (« ESC ») L’approche dite de “panier de bénéfices” ne peut pas être appliquée en contravention des droits prévus par l’ESC DLA Piper (Canada) S.E.N.C.R.L. 6 CROSS COUNTRY CHECK UP ALBERTA UPDATE Presented by Wendy-Anne Berkenbosch Montréal Employment and Labour Law Conference Wednesday, May 6, 2015 SPORTS AND SHOPPING Connor McDavid Our very first Nordstrom (sadly, it’s in Calgary) DLA Piper (Canada) LLP 2 (Canada) LLP 3 ALBERTA PROVINCIAL ELECTION Progressive Conservative government since 1971 Provincial election held on May 5 And the winner is ????? DLA Piper LEGAL UPDATE: HUMAN RIGHTS Employee received termination notice with offer of 2 weeks’ severance pay Termination notice required acceptance of offer as “full and final settlement of any and all claims for compensation with respect to the termination of your employment” Did employee waive right to file human rights complaint? DLA Piper (Canada) LLP 4 LEGAL UPDATE: FAMILY STATUS Employer refused to place employee on straight day shifts Mere fact of having family or experiencing change in family status does not give rise to special entitlements; employee must establish threshold discrimination Employer rule imposed burden on employee not suffered by other employees who did not share her family status No proof of undue hardship DLA Piper (Canada) LLP 5 LEGAL UPDATE: EMPLOYMENT STANDARDS “Greater benefits” clause Employer had policy requiring employees to use vacation time rather than banked overtime Application of policy prevented employees from taking vacation in one unbroken period, which violates ESC “Basket of benefits” approach cannot be applied to extinguish rights under ESC DLA Piper (Canada) LLP 6 Melissa Gaul Associate [email protected] Suite 1400, McGill College Tower 1501 McGill College Avenue, Montréal, QC, H3A 3M8, Canada T: +1 514 392 8916 F: +1 514 392 4644 Melissa Gaul is an associate in the firm's Montréal office. She practices in the areas of corporate ̸ commercial law and employment CREDENTIALS law. Education B.C.L./ LL.B., McGill University Melissa graduated from the McGill University Faculty of Law with a Bachelor of Civil Law (B.C.L.) and a Bachelor of Laws (LL.B.). She B.A. (First Class Honours, Dean’s Honour List), McGill University also holds a Bachelor of Arts (B.A., First Class Honours, Dean’s Honour List) in English Literature from McGill University. Admissions Québec, 2014 During her legal studies, she competed on behalf of the McGill University Faculty of Law at the International Mediation and Languages Advocacy Competition and served as a teaching assistant to Dean Daniel Jutras. French English While at McGill, Melissa was a member of the editorial board of the McGill International Journal of Sustainable Development Law & Policy, serving as an Associate Editor and later as Case Comments Editor. She also summered at a leading regional law firm in Halifax, Nova Scotia. Melissa has conducted legal research for numerous Canadian and international lawyers and organizations, including the United Nations Development Programme and the Canadian Human Rights Commission. Prior to law school, she interned at Bay Area Legal Aid in San Francisco, California and was a member of the Habitat for Humanity National Youth Council. Melissa joined the firm as a summer student in 2012 and completed her articles with the firm in 2014. PUBLICATIONS 'Asphalte Desjardins' Clarifies Obligations of Québec Employers Upon Resignation of an Employee, 27 Aug 2014 But We Had a Contract! Distinguishing Appearance from Reality in Employment Contracts, 30 Jul 2014 DLA Piper (Canada) S.E.N.C.R.L. | 1 PROFESSIONAL MEMBERSHIPS Member, Golden Key International Honour Society Member, Montreal Museum of Fine Arts' Young Philanthropists' Circle RECOGNITIONS McGill Faculty of Law, Class of ’64 Entrance Scholarship J.W. McConnell Award Elsie Stephen Reford Scholarship James McGill Scholarship COMMUNITY INVOLVEMENT Volunteer, Orchestre Nouvelle Génération DLA Piper (Canada) S.E.N.C.R.L. | 2 MISE À JOUR DU QUÉBEC : DÉVELOPPEMENTS RÉCENTS Présenté par Mélissa Gaul Conférence en droit de l’emploi et du travail de Montréal Mercredi 6 mai 2015 Jurisprudence Québec (Commission des normes du travail) c. Asphalte Desjardins inc., 2014 CSC 51 (CanLII) Un décision de la Cour suprême du Canada qui clarifie les obligations des employeurs québécois relativement aux démissions des employé(e)s. Daniel Guay était gestionnaire de projet pour Asphalte Desjardins inc., une entreprise de pavage. Son travail lui donnait accès à des informations confidentielles, telles que les listes de prix et les détails des soumissions de l’entreprise faites pour des contrats gouvernementaux. DLA Piper (Canada) S.E.N.C.R.L. 3 Québec (Commission des normes du travail) c. Asphalte Desjardins inc., 2014 CSC 51 (CanLII) Guay était employé de façon intermittente par Asphalte Desjardins de 1994 à 2008. Le vendredi 15 février 2008, Guay a remis sa lettre de démission à son employeur en raison de l’offre qu’il avait acceptée de la part d’un concurrent. La lettre spécifiait qu’il avait l’intention de mettre fin à son emploi trois semaines plus tard, soit le 7 mars 2008. DLA Piper (Canada) S.E.N.C.R.L. 4 Québec (Commission des normes du travail) c. Asphalte Desjardins inc., 2014 CSC 51 (CanLII) La direction n’a pas réussi à convaincre Guay à demeurer au sein de l’entreprise. L’employeur a mis fin à son contrat le 18 février 2008. La date annoncée dans la lettre de démission était le 7 mars 2008. Guay a donc réclamé une indemnité équivalente au reste des trois semaines de préavis stipulées dans sa lettre de démission. DLA Piper (Canada) S.E.N.C.R.L. 5 Québec (Commission des normes du travail) c. Asphalte Desjardins inc., 2014 CSC 51 (CanLII) La Cour suprême a conclu que les employeurs n’ont pas le droit de renoncer à la période de préavis fournie par un employé sans compensation. Dans les cas comme celui de Guay, lorsqu’un employeur ne souhaite pas que l’employé travaille pendant toute la durée du préavis, l’employeur doit alors fournir un préavis de cessation d’emploi ou le paiement d’une indemnité en tenant lieu. DLA Piper (Canada) S.E.N.C.R.L. 6 Québec (Commission des normes du travail) c. Asphalte Desjardins inc., 2014 CSC 51 (CanLII) Points clés à retenir de cette décision : La période de préavis stipulée par l’employé ne peut pas être unilatéralement imposée à l’employeur. L’employeur peut refuser l’accès au lieu de travail à l’employé, mais il doit alors fournir un préavis de cessation d’emploi ou une indemnité en tenant lieu. Un employeur n’est pas tenu de fournir un préavis lorsqu’un employé démissionne sans préavis et offre tout juste de travailler pendant une période de temps. DLA Piper (Canada) S.E.N.C.R.L. 7 Commission des normes du travail c. Compagnie d'assurances Standard Life du Canada, 2014 QCCQ 4523 (CanLII) La Commission des normes du travail (CNT) réclame, au nom de la salariée, la somme de 2301$ pour des vacances impayées. L'employeur soutient qu’il y a compensation, au sens des articles 1672 et s. du Code civil du Québec, entre cette somme et des avances de salaire dues par la salariée en vertu d'une convention de remboursement. La CNT soutient que l'employeur n'était pas autorisé à opérer compensation et que sa demande reconventionnelle aurait dû être déposée dans un dossier de cour distinct. DLA Piper (Canada) S.E.N.C.R.L. 8 Commission des normes du travail c. Compagnie d'assurances Standard Life du Canada, 2014 QCCQ 4523 (CanLII) Selon la Cour, la compensation est possible car: La défense de compensation légale a été reconnue à maintes reprises par les tribunaux. Le deuxième alinéa de l'article 49 de la Loi sur les normes du travail permet de faire une retenue sur le salaire si le salarié l'autorise, ce qui a été le cas avec la convention de remboursement. DLA Piper (Canada) S.E.N.C.R.L. 9 Législation Projet le loi no 42 : Loi regroupant la Commission de l’équité salariale, la Commission des normes du travail, et la Commission de la santé et de la sécurité du travail et instituant le Tribunal administratif du travail Auteur: Sam Hamad, Ministre du Travail, de l’Emploi et de la Solidarité sociale Présenté à la 41e législature, 1re session (séance du 15 avril 2015) DLA Piper (Canada) S.E.N.C.R.L. 11 Le projet de loi « regroupe les activités » de la Commission de l’équité salariale (CES), de la Commission des normes du travail (CNT), et de la Commission de la santé et de la sécurité du travail (CSST) Il modifie le nom de la CSST en lui donnant celui de Commission des droits, de la santé et de la sécurité du travail (CDSST). Il institue le Tribunal administratif du Travail (TAT) qui assumera les compétences de la Commission des lésions professionnelles (CLP) et de la Commission des relations du travail (CRT). Le TAT comportera quatre divisions : la division des relations du travail; la division de la santé et de la sécurité du travail; la division des services essentiels; la division de la construction et de la qualification professionnelle. DLA Piper (Canada) S.E.N.C.R.L. 12 Attention! Programme de vérification 2015 de la Commission de l’équité salariale (CES) « La Commission de l’équité salariale effectue actuellement des enquêtes à son initiative auprès d’employeurs qui devaient réaliser un exercice d’équité salariale au plus tard le 31 décembre 2010 et qui ne l’ont toujours pas fait. » DLA Piper (Canada) S.E.N.C.R.L. 14 DLA Piper (Canada) S.E.N.C.R.L. 15 Questions? Commentaires? Merci de votre attention. Me Mélissa Gaul Avocate [email protected] 514.392.8916 QUEBEC UPDATE: RECENT DEVELOPMENTS Presented by Melissa Gaul Montréal Employment & Labour Law Conference Wednesday, May 6, 2015 Jurisprudence Québec (Commission des normes du travail) v. Asphalte Desjardins inc., 2014 SCC 51 (CanLII) This is a decision of the Supreme Court of Canada that clarifies the obligations of Québec employers in the context of employee resignations. Daniel Guay was a project manager for Asphalte Desjardins inc., a paving company. His job involved access to confidential information such as price lists and the details of the company’s tenders for government contracts. DLA Piper (Canada) LLP 3 Québec (Commission des normes du travail) v. Asphalte Desjardins inc., 2014 SCC 51 (CanLII) Guay was employed intermittently by Asphalte Desjardins from 1994 to 2008. On Friday, February 15, 2008, Guay provided his employer with his letter of resignation as he had been offered a position with a competitor. The letter specified that he intended to terminate his contract of employment in three weeks’ time on March 7, 2008. DLA Piper (Canada) LLP 4 Québec (Commission des normes du travail) v. Asphalte Desjardins inc., 2014 SCC 51 (CanLII) Management was unable to convince Guay to remain with the company. His contract was terminated by the employer on February 18, 2008. The date announced in his termination letter was March 7, 2008. Guay therefore claimed an indemnity equivalent to the remainder of the three week notice period stipulated in his letter of resignation. DLA Piper (Canada) LLP 5 Québec (Commission des normes du travail) v. Asphalte Desjardins inc., 2014 SCC 51 (CanLII) The Supreme Court maintained that employers are not permitted to renounce the notice period provided by an employee without compensating the employee. In cases like that of Guay, where an employer does not wish the employee to work during the notice period, the employer will be required to provide notice of termination or pay in lieu thereof. DLA Piper (Canada) LLP 6 Québec (Commission des normes du travail) v. Asphalte Desjardins inc., 2014 SCC 51 (CanLII) Key points to retain from this decision: The notice period stipulated by the employee cannot be unilaterally imposed on the employer. The employer may deny the employee access to the workplace, but will be required to provide notice of termination or pay in lieu thereof. An employer is not required to provide notice where an employee resigns without notice and merely offers to continue working for a period of time. DLA Piper (Canada) LLP 7 Commission des normes du travail v. Compagnie d'assurances Standard Life du Canada, 2014 QCCQ 4523 (CanLII) The Commission des normes du travail (CNT) claimed, on behalf of an employee, a sum of $2301 for unpaid vacation. The employer argued that compensation, pursuant to articles 1672 and following of the Civil Code of Quebec, should be effected between the sum of $2301 and the amount owing to the employer for salary advances due under a repayment agreement. The CNT maintained that the employer’s cross-demand should have been filed in a separate court file. DLA Piper (Canada) LLP 8 Commission des normes du travail v. Compagnie d'assurances Standard Life du Canada, 2014 QCCQ 4523 (CanLII) According to the Court of Quebec, compensation is permitted in this case since: The defense of legal compensation has been recognized repeatedly by Quebec courts. Quebec’s An Act Respecting Labour Standards permits deductions from an employee’s wages if the employee consents thereto in writing (art. 49 para. 2). The employee had consented to a deduction under the repayment agreement. DLA Piper (Canada) LLP 9 Legislation Bill no 42 : An Act to group the Commission de l’équité salariale, the Commission des normes du travail and the Commission de la santé et de la sécurité du travail and to establish the Administrative Labour Tribunal Sponsor: Sam Hamad, Minister of Labour, Employment and Social Solidarity Presented at the 41st Legislature, 1st Session (Sitting held on April 15, 2015) DLA Piper (Canada) LLP 11 The bill “groups the activities” of the Commission de l’équité salariale (CES), Commission des normes du travail (CNT), and the Commission de la santé et de la sécurité du travail (CSST). It renames the CSST the Commission des droits, de la santé et de la sécurité du travail (CDSST). It establishes the Administrative Labour Tribunal (ALT), which will assume the responsibilities of the Commission des lésions professionnelles (CLP) and the Commission des relations du travail (CRT). The ALT will sit in four divisions: the labour relations division; the occupational health and safety division; the essential services division; and the construction industry and occupational qualification division. DLA Piper (Canada) LLP 12 Take Note! 2015 Audit Program of the Commission de l’équité salariale (CES) “The CES, on its own initiative, is currently carrying out investigations of employers who were required to carry out a pay equity review no later than December 31, 2010 and who have not yet done so.” [Translation of the original French text] DLA Piper (Canada) LLP 14 DLA Piper (Canada) LLP 15 Questions? Comments? Thank you. Melissa Gaul Associate [email protected] 514.392.8916 OUCH, ÇA FAIT MAL ! L’OCTROI DES DOMMAGESINTÉRÊTS EST À LA HAUSSE Présenté par Wendy-Anne Berkenbosch Conférence en droit de l’emploi et du travail de Montréal Mercredi 6 mai 2015 INTRODUCTION En plus des dommages-intérêts tenant lieu de préavis raisonnable, les employés congédiés sans cause juste et suffisante peuvent avoir droit à des dommages-intérêts majorés ou punitifs. Les employeurs peuvent aussi être tenus d’assumer des dommages-intérêts à la hausse dans le contexte des droits de la personne. L’attribution de dommages-intérêts ne cesse d’augmenter. DLA Piper (Canada) S.E.N.C.R.L. 2 PÉRIODES DE PRÉAVIS Les employeurs qui utilisent la règle générales “un mois par année de service continu” le font “à leur propre péril”. Il n’y a pas de limite maximale de 24 mois pour un préavis raisonnablepuisque la main-d’oeuvre viellit, il faut s’attendre à ce que la période de préavis raisonnable augmente. DLA Piper (Canada) S.E.N.C.R.L. 3 DOMMAGES-INTÉRÊTS : PLUS HAUT, TOUJOURS PLUS HAUT? La tendance s’est orientée vers des dommages-intérêts plus importants, particulièrement en matière de dommages-intérêts majorés et punitifs. Cette tendance n’est pas limitée aux Cours de justice; d’autre décideurs sont prêts à imposer des pénalités financières significatives à l’encontre d’employeurs fautifs. DLA Piper DOMMAGES-INTÉRÊTS PUNITIFS Prévus pour punir l’employeur de le dissuader d’une conduite future. Non compensatoires. Attribués lorsque la conduite de l’employeur est rude, vindicative et malveillante. (Canada) S.E.N.C.R.L. 4 DOMMAGES-INTÉRÊTS MAJORÉS Prévus pour compenser l’employé. Attribués lorsque les circonstances de congédiement sont froides, dégradantes ou humiliantes. DLA Piper (Canada) S.E.N.C.R.L. 5 TENDANCE: ACCROISSEMENT DES DOMMAGES-INTÉRÊTS A la suite de l’arrêt de la Cour Suprême Honda c. Keays, beaucoup ont pensé que des dommages-intérêts plus importants ne seraient plus vraiment accordés. Des décisions récentes suggèrent que l’octroi de ces dommages-intérêts est loin d’être révolu… DLA Piper (Canada) S.E.N.C.R.L. 6 TENDANCE: ACCROISSEMENT DES DOMMAGES-INTÉRÊTS Dans le passé, c’était les jurys qui avaient tendance à accorder d’importants montants de dommages-intérêts punitifs et les cours d’appel les réduisaient ou les supprimaient. Aujourd’hui les juges sont prêts à imposer d’important dommages-intérêts punitifs, et les cours d’appel semblent enclines à vouloir les soutenir. DLA Piper (Canada) S.E.N.C.R.L. 7 RECENT DECISIONS OF INTEREST TIPPLE C. CANADA (PROCUREUR GÉNÉRAL) (2012, CAF) 250 000 $ pour atteinte à la réputation maintenusen appel. Les dommages-intérêts pour atteinte à la réputation sont disponibles lorsque: la réputation de l’employé est préjudiciée par la divulgation publique de fausses allégations en rapport avec le congédiement; l’employeur ne prend pas des mesures correctives raisonnables; et l’atteinte à la réputation de l’employé a diminué sa capacité à trouver un nouvel emploi. DLA Piper (Canada) S.E.N.C.R.L. 9 WALSH C. MOBIL OIL CANADA (2013, ALTA CA) Une employée a souffert pendant des années de discrimination grave fondées sur le genre. Il n’y a aucune limite légale sur le montant des dommagesintérêts pouvant être octroyés pour souffrances mentales, blessures et perte de dignité. Lors du litige, pour l’évaluation des dommages-intérêts, la Cour a pris en considération la position infondée de l’employeur soutenant que le congédiement avait une cause. DLA Piper (Canada) S.E.N.C.R.L. 10 THE CITY OF CALGARY C. CUPE LOCAL 38 (2013, ALTA CONSEIL D’ARBITRAGE) L’employée a été harcelée sexuellement à maintes reprises par un employé senior. En réponse le directeur a fait rehausser le bureau de l’employée pour rendre plus difficile de l’approcher par derrière. L’employée a fourni des clichés d’une caméra cachée qu’elle avait installée pour prouver le harcèlement, mais le directeur lui a répondu que ce n’était pas concluant. DLA Piper (Canada) S.E.N.C.R.L. 11 THE CITY OF CALGARY C. CUPE LOCAL 38 (2013, ALTA CONSEIL D’ARBITRAGE) L’employée a souffert d’importants problèmes psychologiques en raison du harcèlement. Le conseil d’arbitrage lui a accordé plus de 800 000 $ à titre des dommages-intérêts et perte de salaire car l’échec de l’employeur à corriger la situation a entrainé des séquelles permanentes. Aucun dommage-intérêt punitif n’a été octroyé car des dommages-intérêts compensatoires avaient déjà été accordés. DLA Piper (Canada) S.E.N.C.R.L. 12 BOUCHER C. WAL-MART CANADA CORP (2014, ONCA) Le jury a accordé le plus gros montant de dommages-intérêts punitifs lié à une affaire de droit de l’emploi au Canada; le montant a été réduit en appel. Le directeur harcelait psychologiquement son employée : en la critiquant, la dégradant et l’humiliant devant ses collègues. L’employée a rapporté la conduite abusive à la direction supérieure, mais aucune démarche n’a été entreprise. DLA Piper (Canada) S.E.N.C.R.L. 13 BOUCHER C. WAL-MART CANADA CORP (2014, ONCA) Wal-Mart avait mis en place toutes les politiques nécessaires : Politique “porte-ouverte” de communication Politque de prévention de la violence au Travail Politique en matière de harcèlement et de discrimination Wal-Mart a été tenue responsable pour ne pas s’être occupée de l’intimidation et du harcèlement dans le milieu de travail; le directeur a aussi été tenu personnellement responsable en raison de son comportement. DLA Piper (Canada) S.E.N.C.R.L. 14 BASTIEN C. PRO-HAIRLINES (2014, ONT LRB) L’employé a été congédié en représailles d’avoir soulevé des préoccupations en matière de sécurité. En plus des dommages-intérêts pour perte de salaires d’un montant total d’environ 17 000.00 $, la Commission a aussi accordé des dommages-intérêts majorés de 7 500.00 $ pour cause de souffrance psychologique. La Cour a rendu la décision disant que les dommages-intérêts majorés sont appropriés lorsque l’employeur viole une interdiction légale. DLA Piper (Canada) S.E.N.C.R.L. 15 OUCH! Dommages-intérêts en matière de droits de la personne pour atteinte à la dignité : 75 000 $ Perte de réputation : 250 000 $ Dommages-intérêts généraux : 125 000 $ Dommages-intérêts majorés : 85 000 $ à 200 000 $ Dommages-intérêts punitifs : 450 000 $ - 550 000 $ maintenus en appel 1 000 000 $ accordés par un jury et réduits à 100 000 $ DLA Piper (Canada) S.E.N.C.R.L. 16 CONSIDÉRATIONS PRATIQUES POUR LE MILIEU DE TRAVAIL Incluez des clauses de congédiement claires dans les contrats de travail : Assurez-vous de vous conformer avec la législation en matière de normes du travail. Envisagez d’adapter les clauses aux ciconstances particulières. Si une formule est utilisée, incluez un montant maximum. Prévoyez comment allouer les droits et régimes d’indemnité en cas de congédiement. DLA Piper (Canada) S.E.N.C.R.L. 17 CONSIDÉRATIONS PRATIQUES POUR LE MILIEU DE TRAVAIL Réfléchissez avant de faire valoir une cause juste de congédiement : Ne maintenez pas des allégations de cause juste sauf si vous pouvez vraiment les appuyer. Ne prenez pas des mesures qui pourront porter préjudice à la réputation d’un employé dans la communauté. Conservez le respect et la dignité de l’employé durant la procédure de congédiement et par la suite. DLA Piper (Canada) S.E.N.C.R.L. 18 CONSIDÉRATIONS PRATIQUES POUR LE MILIEU DE TRAVAIL Enquêtez sur les plaintes des employés : Si vous recevez une plainte, traitez-là avec sérieux! Les accusations de harcèlement, de discrimination et d’abus devraient être examinées en profondeur et promptement. Mettez en place des politiques d’enquête approfondies et autres politiques de travail. Ce n’est pas suffisant d’avoir de bonnes politiques sur papier, il faut aussi y donner suite. DLA Piper (Canada) S.E.N.C.R.L. 19 DLA Piper (Canada) S.E.N.C.R.L. 20 MERCI! WendyWendy-Anne Berkenbosch Associée, Edmonton 780.429.6810 [email protected] OUCH, THAT HURTS! INCREASING DAMAGES AWARDS Presented by Wendy-Anne Berkenbosch Montréal Employment and Labour Law Conference Wednesday, May 6, 2015 INTRODUCTION In addition to damages for payment in lieu of reasonable notice, wrongfully terminated employees may be entitled to aggravated damages or punitive damages. Employers may also be on the hook for increasing damages in the human rights context. The damages awards keep going up and up… DLA Piper (Canada) LLP 2 NOTICE PERIODS Employers who apply the “one month per year of service rule of thumb” do so “at their own peril”. There is no 24 month upper threshold for reasonable notice; as the workforce ages, expect reasonable notice periods to increase. DLA Piper (Canada) LLP 3 DAMAGES: UP, UP AND AWAY? The pendulum has swung towards higher damages, particularly in regard to aggravated and punitive damages. This trend is not only limited to the Courts; other decision makers are also prepared to impose significant financial penalties on errant employers. DLA Piper PUNITIVE DAMAGES Intended to punish the employer to deter future conduct. Not compensatory. Awarded where the employer’s conduct is harsh, vindictive and malicious. (Canada) LLP 4 AGGRAVATED DAMAGES Intended to compensate the employee. Awarded when the circumstances of dismissal are insensitive, demeaning or humiliating. DLA Piper (Canada) LLP 5 TREND: INCREASING DAMAGES Following the Supreme Court’s decision in Honda v Keays, many thought that increased damages were less likely to be awarded. Recent cases suggest that these damages are far from dead… DLA Piper (Canada) LLP 6 TREND: INCREASING DAMAGES It used to be that large punitive awards tended to be jury awards and appellate courts would significantly reduce or eliminate punitive awards. Now, judges are prepared to impose significant punitive awards, and appellate courts seem more willing to uphold them. DLA Piper (Canada) LLP 7 RECENT DECISIONS OF INTEREST TIPPLE V CANADA (ATTORNEY GENERAL) (2012, FCA) $250,000 award for loss of reputation upheld on appeal. Damages for loss of reputation are available where: employee’s reputation is damaged by public knowledge of false allegations relating to termination; employer fails to take reasonable corrective steps; and damage to employee’s reputation has impaired his or her ability to find new employment. DLA Piper (Canada) LLP 9 WALSH V MOBIL OIL CANADA (2013, ALTA CA) Employee suffered serious gender discrimination over several years. There is no statutory limit on the amount of damages available for mental distress, injury and loss of dignity. The employer’s unfounded position that the employee was terminated for cause throughout the litigation was a factor the court considered when assessing damages. DLA Piper (Canada) LLP 10 THE CITY OF CALGARY V CUPE LOCAL 38 (2013, ALTA ARBITRATION BOARD) Employee was repeatedly sexually assaulted by a senior employee. Manager’s solution was to install an extension on the employee’s desk to make it more difficult to approach her from behind. Employee provided stills from a spy camera she installed evidencing the assaults, but the manager said it was “inconclusive”. DLA Piper (Canada) LLP 11 THE CITY OF CALGARY V CUPE LOCAL 38 (2013, ALTA ARBITRATION BOARD) Employee suffered significant psychological problems as a result of the assaults. The Arbitration Board awarded over $800,000 in general damages and loss of income because the employer’s failure to respond resulted in life-altering adverse impacts. No punitive damages because significant compensatory damages already awarded. DLA Piper (Canada) LLP 12 BOUCHER V WAL-MART CANADA CORP (2014, ONT CA) Jury awarded the largest punitive award in an employment case in Canada; award reduced on appeal. Manager was mentally abusive towards the employee: criticizing, demeaning and humiliating her in front of other staff. Employee reported abusive conduct to senior management, but no action was taken. DLA Piper (Canada) LLP 13 BOUCHER V WAL-MART CANADA CORP (2014, ONT CA) Wal-Mart had all the necessary policies in place: Open Door Communication Policy Prevention of Violence in the Workplace Policy Harassment and Discrimination Policy Wal-Mart was held liable for failing to address bullying and harassment in the workplace; the manager was also held personally liable for his conduct. DLA Piper (Canada) LLP 14 BASTIEN V PRO-HAIRLINES (2014, ONT LRB) Employee fired in retaliation for raising safety concerns. In addition to damages for lost wages totalling nearly $17,000.00, the Board also awarded aggravated damages of $7,500.00 for mental distress. Court held that aggravated damages are appropriate where the employer violates a statutory prohibition. DLA Piper (Canada) LLP 15 OUCH! Human rights damages for injury to dignity: $75,000 Loss of reputation: $250,000 General damages: $125,000 Aggravated damages: $85,000 to $200,000 Punitive damages: $450,000 - $550,000 awards upheld on appeal $1,000,000 jury award reduced to $100,000 DLA Piper (Canada) LLP 16 PRACTICAL CONSIDERATIONS FOR THE WORKPLACE Include clear termination clauses in employment contracts: Ensure compliance with employment standards legislation. Consider tailoring the clauses to the particular circumstances. If using a formula, include a maximum amount. Address rights and entitlements in the event of termination. DLA Piper (Canada) LLP 17 PRACTICAL CONSIDERATIONS FOR THE WORKPLACE Think carefully before asserting just cause: Do not maintain allegations of just cause unless you can actually back it up. Do not take steps that will damage an employee’s reputation in the community. Maintain employee’s respect and dignity during the termination process and thereafter. DLA Piper (Canada) LLP 18 PRACTICAL CONSIDERATIONS FOR THE WORKPLACE Investigate employee complaints: If you receive a complaint, treat it seriously! Employee allegations of harassment, discrimination and abuse should be investigated thoroughly and promptly. Institute sound investigative and other workplace policies. It is not enough to have good policies on paper; you have to follow through. DLA Piper (Canada) LLP 19 DLA Piper (Canada) LLP 20 THANK YOU! WendyWendy-Anne Berkenbosch Partner, Edmonton 780.429.6810 [email protected] OUCH, THAT HURTS! INCREASING DAMAGES AWARDS By Wendy-Anne Berkenbosch and Matylda Makulska 1. Introduction In recent years, there has been a notable increase in the quantum of damages being awarded in employment-related claims. In addition to damages for payment in lieu of reasonable notice, wrongfully terminated employees may be entitled to punitive or aggravated damages. Increasing damages are also being awarded in the context of human rights complaints. In a number of recent cases, employees have been awarded record setting damages. Clearly, the pendulum has swung towards higher damages, particularly in regard to aggravated and punitive damages. Employers should take note: latest decision and award trends seem to indicate that Canadian courts and tribunals are prepared to impose significant financial penalties on errant employers. 2. Notice Periods It is well established that employers have an obligation to give employees notice of termination, unless there is just cause for immediate dismissal. Where there is no just cause for dismissal, employers must provide their employees with reasonable notice or payment in lieu thereof. The critical question to be asked when an employee has been dismissed is: what is the length of the reasonable notice period? To determine the amount of reasonable notice, courts will evaluate each case individually, having regard to the character of employment, the length of service of the employee, the age of the employee and the 1 availability of similar employment, also known as the Bardal factors. However, there have been some recent developments in the way in which courts now assess reasonable notice periods. (a) Is 26 Months the New Threshold? The generally accepted upper threshold of reasonable notice in Canada has traditionally been 24 2 months. However, in the recent Ontario Superior Court case of Hussain v Suzuki Canada Ltd, a 35 year employee was awarded 26 months' reasonable notice. The case involved a 65 year old Assistant Warehouse Supervisor who had worked for Suzuki continuously for nearly 36 years. The employee had 1 2 Bardal v Globe & Mail Ltd, [1960] OJ No 149 (Ct. J). [2011] OJ No 6355 (SC). 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 1 lost his job due to corporate restructuring as a result of economic hardship. The court noted that the employee’s skills were general skills obtained on the job and were less marketable than skills that are the product of a definable trade, and that the employee was near the end of his working years. Although each of the Bardal factors on their own were not exceptional, the court held that the combination of factors amounted to exceptional circumstances that warrant a 26-month notice period. Employers ought to take note: there is no cap on the amount of reasonable notice to which an employee may be entitled, since each case must be considered on its own merits. If a court finds that “exceptional circumstances” exist in any given case, an employer could be on the hook for a large sum of money, totalling more than 24 months reasonable notice. (b) The Old “Rule of Thumb” Traditionally, there was a “rule of thumb” applied in employment law. According to this rule, a terminated employee was entitled to one month of reasonable notice per year of service. Although the rule has the benefit of being predictable, certain and easy to apply, it is clear that there is no longer a true “rule of thumb” for determining how much notice an employee is entitled to upon termination. The courts have made it clear that each case is to be assessed based upon its own particular circumstances. The 3 Ontario Court of Appeal in Minott v O’Shanter Development Company Ltd held that the rule of thumb approach suffers from two deficiencies: “it risks overemphasizing one of the Bardal factors, length of service, at the expense of the others; and it risks undermining the flexibility that is the virtue of the Bardal 4 test.” As such, it is clear that there is no single measure to determine the amount of reasonable notice that an employee is entitled to. More recently, the Saskatchewan Court of Appeal in Capital Pontiac Buick Cadillac GMC Ltd v 5 Coppola held that the rule of thumb was no longer supported by the majority of cases. Furthermore, the court stated that “while employers may wish to use the one month’s notice per year of service rule of thumb as a guideline in their day-to-day decision-making given its apparent facility, they do so at their 3 [1999] OJ No 5 (ONCA). Ibid at page 21 (QL). 5 2013 SKCA 80. 4 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 2. 6 own peril because the rule is not supported by the jurisprudence and is inconsistent with Bardal.” As such, employers should resist the temptation of identifying an easy way to calculate notice periods. At common law, calculating notice periods requires a contextual analysis taking into account several factors, with each case determined on its merits. There are no hard and fast rules. 3. Trend: Increase in Damages Awards 7 In 2008, the Supreme Court of Canada in Honda Canada v Keays redefined the law of damages in the context of employment. In particular, the court held that extending the notice period was not an appropriate way to compensate for manner of dismissal, and that punitive damages were restricted to cases of wrongful acts that were so harsh, malicious and reprehensible so as to justify punishment and denunciation. As a result of this case, it was thought by many that extended awards and punitive damages were effectively no longer available in wrongful dismissal cases. However, recent cases suggest that aggravated and punitive damages are far from dead. Importantly, this trend of increased aggravated and punitive damages is not limited only to wrongful dismissal claims, but also arises in the context of Human Rights Tribunals. Also of significance is the fact that previously, large punitive awards tended to be jury awards, and appellate courts, for the most part, had either significantly reduced or eliminated punitive awards. As the cases below demonstrate, judges are now prepared to impose significant punitive awards, and appellate courts are increasingly willing to uphold them. The object of punitive damages is to punish an employer in order to deter future unfair conduct. Punitive damages are not aimed at compensating the employee. These damages are exceptional and are awarded only when the employer’s conduct is deserving of punishment because it is harsh, vindictive, 8 reprehensible and malicious. In the employment context, aggravated damages may be awarded to compensate an employee when the circumstances of dismissal are insensitive, demeaning or humiliating. 9 Employers are held to an obligation of good faith and fair dealing in the manner of dismissal. Aggravated 6 Ibid at para 22. 2008 SCC 39. 8 Ibid at para 68. 9 Boucher v Wal-Mart Canada Corp, 2014 ONCA 419 at para 67. 7 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 3. damages are compensatory in nature (not punitive), and are awarded when the plaintiff’s actual injuries have been aggravated by the defendant’s behaviour. 10 The following cases provide some sobering examples of recent awards. In Higginson v Babine Forest Products Ltd and Hampton Lumber Mills Inc, 11 the employee worked for the employer for 34 years prior to the termination of his employment. He had worked as an electrical supervisor in a sawmill where the closure was imminent. The employee took the position that his employer’s allegations of just cause for termination were an attempt to avoid providing him with reasonable pay in lieu of notice. The allegations of just cause failed and the employee was granted 24 months’ notice, with some deduction for failure to mitigate. A jury awarded the employee $236,000 in compensatory damages for wrongful dismissal and $537,000 in punitive damages. This was the highest award of punitive damages in a Canadian wrongful dismissal case at the time, until Boucher v Wal-Mart 12 (discussed further below). The Federal Court of Appeal in Tipple v Canada (Attorney General) 13 addressed the issue of damages when the employee experienced loss of reputation arising from the suggestion that his employment was terminated due to misconduct. The adjudicator awarded approximately $1.4 million in damages to the former employee, including: nearly $690,000 for lost wages, $110,000 for lost performance bonus, $110,000 for lost benefits, $125,000 for psychological injury, $250,000 for loss of reputation and over $45,000 for obstruction of process. The adjudicator found that the employer’s actions had contributed to the employee’s damages, and the employer had not taken steps to minimize the damage to his reputation that they should have taken. On judicial review, the Federal Court set aside the award of damages for psychological injury, loss of reputation, and obstruction of process. The court believed the employee was entitled to moral damages, but felt that the amount was too high and sent the matter back to the adjudicator to be reassessed. On appeal, however, the Federal Court of Appeal accepted that the employee’s reputation was damaged by false accusations related to his termination and restored the $250,000 award for loss of reputation. In doing so, the Court of Appeal held that damages for 10 th Lewis Klar, Tort Law, 4 ed (Toronto: Thomson Canada Limited, 2008) at 121. 2010 BCSC 614. 12 Supra note 9. 13 2012 FCA 158. 11 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 4. loss of reputation stemming from a wrongful termination are available where: (a) the employee’s reputation is damaged by public knowledge of false allegations relating to the termination; (b) the employer fails to take reasonable corrective steps and offers no reasonable excuse for such failure; and (c) the damage to the employee’s reputation impaired his or her ability to find new employment. A self-represented litigant in Kelly v Norsemount Mining Inc 15 14 achieved a significant punitive damage award of $100,000. The employee alleged that he was dismissed because he insisted on compliance with securities regulations. The employer, on the other hand, alleged the employee was dismissed for cause on the basis of fraud and incompetence. The employer maintained those allegations for seven years, and threatened to bankrupt the employee in an attempt to dissuade him from pursuing his legal rights. In awarding punitive damages, the British Columbia Supreme Court held that the employer breached its duty of good faith and conducted itself both at the time of termination and afterwards in a manner that could be described as harsh, vindictive, reprehensible and malicious. The court further determined that since the general damages award was relatively small, an additional and significant award of punitive damages was necessary to effectively deter the employer. Interestingly, in Morgan v Herman Miller Canada Inc, 16 the Human Rights Tribunal of Ontario awarded damages of $70,000 to a former employee, despite finding that no discrimination had occurred. The Tribunal determined that the employee had not established on a balance of probabilities that he was assigned menial and demeaning tasks because of his colour. The employer eventually terminated the employee alleging just cause on the basis that the employee’s “campaign of misinformation” caused unnecessary alarm amongst co-workers. The Tribunal held that the employer’s decision to terminate the employee’s employment was made as a reprisal for expressed concerns about harassment and discrimination. As such, the employee was awarded 14 months’ lost wages and $15,000 as damages for injury to dignity, feelings and self-respect. It was further ordered that the employer have its human rights policies reviewed and its managers trained in their application. In addition, the individual manager 14 Ibid at para 16. 2013 BCSC 147. 16 2013 HRTO 650. 15 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 5. responsible for the termination was directed to undergo human rights training (despite the fact that the manager was no longer with the employer). The British Columbia Human Rights Tribunal decision of Cassidy v Emergency Health Services Commission (No 5) 17 is particularly significant in the context of damages, not for the size of the award, but for the fact that the individual manager was held jointly and severally liable. The employee, who had multiple sclerosis, worked as a paramedic. As a result of his disability, he was not able to manually palpate a pulse. The Tribunal found both the employer and the manager liable for failing to accommodate the employee after his suspension from duty. Not only did the manager fail to support the employee in his search for accommodation, the Tribunal also noted that the manager took steps intended to thwart the employee’s efforts to be accommodated and actively sought to keep the employee out of an ambulance. This conduct justified a finding of personal liability against the manager. As such, the Tribunal awarded $22,500 for injury to dignity, feelings and self-respect, as well as damages for lost wages and benefits. These damages were payable jointly and severally by the employer and the manager. This means that both parties were responsible for the full amount of the obligation. In Walsh v Mobil Oil Canada, 18 the employee filed a complaint with the Alberta Human Rights Commission alleging discrimination on the basis of gender over a period of several years. The employee was initially hired as a junior map clerk, and although she received several promotions while working for the employer, she also faced serious gender discrimination. Neither her pay scale nor her designations kept pace with her actual responsibilities, her abilities, her education, or the pay and designations of her male peers. When the Alberta Human Rights Tribunal dismissed the employee’s first complaint, the employer terminated her employment claiming it had cause to do (this claim was later rejected by the Court of Queen’s Bench). The exclusive focus of the Alberta Court of Appeal in this decision was about remedy. In considering the appropriate award for general damages, the court noted that in Alberta there is no statutory limit on the amount of damages available for mental distress, injury and loss of dignity flowing from discriminatory conduct. The Court of Appeal upheld the lower court’s award of $25,000, but reasoned that the award was on the low end of what was appropriate in the circumstances, given the 17 18 2013 BCHRT 116. 2013 ABCA 238. 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 6. wilfulness of the employer’s conduct, the duration of the conduct, the damaging impact on the employee, and the untenable position that the employer maintained throughout the litigation that the employee was terminated for cause. In Tl’azt’en First Nation v Joseph, 19 the Federal Court gave further direction about when it is appropriate to award aggravated and punitive damages. The employee was employed by the First Nation for more than 30 years prior to his dismissal. After the employee sent a letter to the executive director criticizing his management style, the executive director began to target the employee with unsupported claims of fraud and mismanagement. As a result of the threatening and harassing conduct, the complainant’s health deteriorated to the point that he was compelled to take medical leave. While on medical leave, the executive director proceeded to widely distribute accusations of criminal wrongdoing, insubordination and sexual assault of another employee. The employee was then fired without notice. With regard to aggravated damages, the Federal Court reasoned that the adjudicator awarded the aggravated damages flowing from the manner in which the employee was dismissed, and that $85,000 was entirely justifiable given the heavy handed conduct in this case. With regard to punitive damages, the court further reasoned that $100,000 was justifiable as the employer’s conduct was reprehensible, dishonest, malicious, deliberate, despicable, deceitful and in bad faith. The Ontario Court of Appeal recently rendered a decision in Pate Estate v Galway-Cavendish and Harvey (Township) 20 where it held that significant punitive damages were appropriate. The case involved a building inspector who was dismissed without notice. The employer alleged that the employee kept permit fees. The employee was criminally charged and eventually acquitted. It was later determined that the employer had withheld exculpatory evidence from the police, and the court concluded that had this evidence been provided to the police, the former employee would not have been criminally charged in the first place. Although the trial award of punitive damages was reduced from $550,000 to $450,000, this is the second largest punitive damages award to survive review by an appellate court in the employment 19 20 2013 FC 767. 2013 ONCA 669. 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 7. law context. 21 This case is significant not only because of the size of the award, but also because the original award was by a trial judge and not a jury. The Supreme Court of Canada refused leave to appeal. In keeping with the trend of damages awards increasing, in IBM Canada Limited v Waterman, 22 the Supreme Court of Canada confirmed that employers may not deduct earned pension benefits from wrongful dismissal damages. The employee had been a long-time member of IBM’s defined benefit pension plan and had a fully vested interest in the plan when he was terminated without cause with two months’ notice. Both his employment contract and the plan were silent on employee rights and entitlements in the event of termination without cause. The Supreme Court determined that the private insurance exception applied in this case, which provides that payments from private insurance are not typically deductible from damage awards. Furthermore, the contract of employment did not contain any general bar against receiving full pension entitlement and employment income. The court also considered broader policy objectives and, in particular, was concerned that allowing the deduction would create an economic incentive for employers to dismiss their pensionable employees before other employees. Though this case holds that pension payment should not typically be deducted from wrongful dismissal damages, the Supreme Court has left open the possibility for employers to expressly stipulate in the employment agreement that wrongful dismissal damages and pension benefits will not be paid simultaneously. Since this case was decided in 2013, it has already been applied in several decisions. In The City of Calgary v CUPE Local 38, 24 23 an employee of the City of Calgary’s Roads Division was repeatedly sexually assaulted by a senior employee, including repeated fondling while she was at her desk. When the employee reported the assaults to her manager, his solution was to install an extension on the employee’s desk to make it more difficult to approach her from behind. At a meeting with the manager, the employee described the assaults and provided stills from a spy camera she had installed, however, the manager found the evidence to be inconclusive. She subsequently went on a 21 The largest punitive jury award in an employment law case to survive appeal was in McNeil v Brewers Retail Inc, 2008 ONCA 405. The jury awarded $500,000 in punitive damages and the Ontario Court of Appeal upheld the award. 22 2013 SCC 70. 23 Morris v ACL Services Ltd, 2014 BCSC 1580; Lethbridge Industries Ltd v Alberta (Human Rights Commission), 2014 ABQB 496; and Liu v Everlink Services Inc, 2014 HRTO 202. 24 2013 CanLII 88297 AB GAA. 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 8. stress-related medical leave of absence and was hospitalized twice for contemplating suicide. An independent medical examination concluded that the sexual assaults and their aftermath were the primary causal factors of the employee’s psychological difficulties and would require extensive treatment to improve her functioning. The Arbitration Board awarded the employee $125,000 in general damages, as well as over $700,000 for damages for loss of income, on the basis that the city’s failure to respond to the situation resulted in a serious and life-altering adverse impacts. Interestingly, the Board declined to award punitive damages, observing that punitive damages are only awarded when the compensatory damages are insufficient to accomplish the purpose of retribution, deterrence and denunciation, and in this case, significant compensatory damages were already awarded. The decision of Kelly v University of British Columbia (No 4) 25 is significant, as the British Columbia Human Rights Tribunal awarded the complainant $75,000 in damages for injury to dignity, which is more than double the previous highest award for this type of injury set in 2008. 26 The complainant was a medical resident at UBC Medical School. He suffered from ADHD and had a nonverbal learning disability. After failing his first rotation in the residency program, he disclosed his disabilities and was asked to see a psychiatrist. In 2007, the complainant was dismissed from the family medicine residency program for unsuitability. In making the award for injury to dignity, the Tribunal noted the following factors: the effect of the termination on the complainant’s ability to fulfill his lifelong dream of practising medicine; the humiliation and embarrassment he experienced when he was forced to seek employment in medicine-related fields; the impact on his personal life; and the fact that he was in a vulnerable position in that he was a student who had a disability. This case may signal the court’s increasing willingness to increase this kind of damages award in the future. In Boucher v Wal-Mart, 27 the jury awarded the largest punitive award in an employment law case in Canada, however, this award was subsequently reduced on appeal. The former employee complained that her relationship with her immediate supervisor turned sour after an incident in May 2009 in which she refused to falsify a temperature log. The employee alleged that this caused the manager to be mentally 25 2013 BCHRT 302. The previous highest damages awarded for injury to dignity was $35,000, awarded in Senyk v WFG Agency Network (BC) Inc, 2008 BCHRT 376. 27 Supra note 9. 26 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 9. abusive towards her, criticizing, demeaning and humiliating her in front of other staff. When the employee complained of her supervisor’s conduct to Wal-Mart’s senior management, she was told that her claims were unsubstantiated. Wal-Mart did not take any action against the supervisor. At trial, the jury found that the employee had been constructively dismissed and awarded $1 million in punitive damages and $200,000 in aggravated damages as against Wal-Mart, and $100,000 for intentional infliction of mental suffering and $150,000 in punitive damages as against the supervisor personally. The Ontario Court of Appeal reduced the punitive damages against the supervisor on the basis that since the other damages were so high, the compensatory award carried a strong punitive element. As such, the supervisor’s punitive damages were reduced to $10,000 and Wal-Mart’s punitive damages were reduced to $100,000. Although the Court of Appeal reduced the portion of the award representing punitive damages, it upheld other aspects, leaving the employer liable for a large sum of money. Employers ought to be aware that failing to address bullying and harassment in the workplace could lead to a claim for constructive dismissal and may itself constitute conduct causing mental distress that can give rise to an award for aggravated damages. 28 In Bastien v 817775 Ontario Limited c.o.b. Pro-Hairlines, the Ontario Labour Relations Board ordered the employer to pay aggravated damages, in addition to lost wages, after firing an employee in retaliation for raising safety issues. The employee worked in a hair salon. While in the process of unplugging her cellphone charger from the power bar used generally to plug in her hairstyling equipment, the employee suffered a serious electrical shock. Although the employee’s doctor recommended that she required a week off work, the employer refused to grant the leave and instead directed that she work reduced hours. The employer took no steps to address the hazardous situation. The employee filed a health and safety complaint in respect of her employer, at which point the employer terminated her. The Board found that the employee was dismissed in retaliation for raising safety concerns and awarded lost wages. The Board also awarded aggravated damages for mental distress, stating that such damages are appropriate where the employer violates a “statutory prohibition.” 29 The Board stated that “the awarding of aggravated damages for employer conduct…is called for all the more where that conduct is violative of a 28 29 2014 CanLII 65582 (ON LRB). Ibid at para 27. 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 10. statutory norm designed the protect workers - a vulnerable group whose relationship with employers is one of unequal balance of power.” 30 The employer was ordered to compensate the employee by way of aggravated damages in the amount of $7,500 by reason of her dismissal contrary to Ontario’s Occupational Health and Safety Act. As we can see, while all of these cases have different facts, the result is often the same: courts are increasingly willing to punish employers for what the court views as poor conduct in the course of the employment relationship and following termination. 30 Ibid at para 35. 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 11. Practical Considerations for the Workplace 4. The cases explored in this paper help to illustrate the extent to which Canadian courts and Tribunals are prepared to award extensive damages against errant employers. The old “rule of thumb” no longer applies, and employers should not think that previous maximums awarded by courts will protect them from further liability. However, there are steps employers can take to limit potential damages that may be awarded against them. As a starting point, employers should include clear and concise termination clauses in their employment contracts, limiting notice periods or payment in lieu of notice. In order to increase the enforceability of these clauses, employers should consider tailoring those clauses to the circumstances. For instance, in the case of a lower level employee, the minimum amounts set out in employment standards legislation may be appropriate. However, in the case of a higher level employee, consider using a formula for calculating notice periods that includes a maximum amount payable. In addition, in cases where a departing employee signs a release following termination, it is important that the release is clear and concise, and that the employer is forthright when presenting it to the employee. 31 Where a court is satisfied that the release is drafted using simple plain language and it was clearly explained to the employee, it is likely that an employer can limit liability for any future claims raise by the former employee. The importance of setting out each party’s entitlement in the employment contract cannot be understated. For instance, as stated previously, in IBM Canada Limited v Waterman, 32 the employment contract was silent on rights and entitlements in the event of termination without cause. Though this case held that pension payments should not typically be deducted from wrongful dismissal damages, the Supreme Court left open the possibility for employers to expressly stipulate in the employment contract that wrongful dismissal damages and pension benefits would not be paid simultaneously. Following the termination of an employee, employers should think carefully before asserting just cause. Allegations of just cause should not be maintained throughout litigation, unless an employer is prepared to fully substantiate those claims. Otherwise, a court may consider this as a factor when 31 32 Marquardt v Strathcona County, 2014 AHRC 3. Supra note 22. 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 12. assessing the damages awarded to the former employee. For instance, in Walsh v Mobil Oil Canada, 33 the fact that the employer maintained throughout the litigation that the employee was terminated for cause, even though this was entirely unfounded, was a factor in the court determining that the lower court’s damages award was on the low end of reasonable. Further to this point, employers ought not to take steps that have the effect of damaging an employee’s reputation in the community. As seen in Tipple 34 v Canada (Attorney General), the Federal Court of Appeal accepted that the employee’s reputation was damaged by false accusations relating to his termination, and awarded $250,000 for loss of reputation. In addition, employers must not underestimate the importance of investigating employee claims thoroughly and promptly. It is essential for employers to have an investigative process; not only can it identify potential situations giving rise to a need for action or accommodation at an early stage, but it can also lead to an effective resolution of workplace issues. Workplace investigations relied upon by employers in subsequent civil or human rights proceedings will be subject to intense scrutiny. As we have seen, in City of Calgary v CUPE Local 38, 35 the Arbitration Board awarded over $800,000 in damages, largely due to the city’s failure to respond to the employee’s complaints. In that case, the employee was sexually assaulted several times by her supervisor, both before and after she made her initial complaint. Employers must take note: if you receive a complaint, treat it seriously! It is clear that having a sound investigative policy in place is an important step in minimizing potential damages claims, however, it is not enough to merely have good policies on paper. The entire workforce needs to know what the policies mean, and, if there is a breach, that management will react quickly and competently. The case of Boucher v Wal-Mart 36 is instructive on this point: despite the fact that Wal-Mart is a large sophisticated organization, it was still held liable for the misconduct of an employee. Wal-Mart had all the necessary policies in place: the Open Door Communication Policy, the Prevention of Violence in the Workplace Policy and the Harassment and Discrimination Policy. The employee testified that despite these policies, she was subject to harassment which led her to quit her job. As such, employers ought to be aware that failing to address bullying and harassment in the 33 Supra note 18. Supra note 13. 35 Supra note 24. 36 Supra note 9. 34 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 13. workplace could lead to a claim for constructive dismissal and may itself constitute conduct causing mental distress that can give rise to an award for significant damages. 5. Conclusion It is likely that the trend of courts and tribunals increasing damages awards will continue. Employers must take the potential for these awards into account while striving for best practices in the difficult circumstances of terminating an employee. The message that is being conveyed by the courts is that employers ought to ensure that employees are treated appropriately during the course of employment and at the time of termination. Otherwise, the employer could be on the hook for a large sum of money. 18661828.1 DLA Piper (Canada) S.E.N.C.R.L. | 14. André Giroux Partner [email protected] Suite 1400, McGill College Tower 1501 McGill College Avenue, Montréal, QC, H3A 3M8, Canada T: +1 514 392 8912 F: +1 514 392 8379 André Giroux is a partner in the firm’s Montréal office. André practises employment law and advises employers on collective bargaining, restructuring and downsizing of workforces, wrongful dismissals, human rights, privacy legislation, grievance arbitration, labour standards and alternative dispute resolution. CREDENTIALS Admission to Quebéc Bar, 1993 LL.B., Université de Montréal, 1992 BA.A, Université du Québec à Montréal, 1988 André represents employers before federal and provincial labour boards, privacy commissions, human rights tribunals, grievance arbitrators, federally appointed adjudicators as well as mediators and conciliators. He also represents clients before the courts of civil jurisdiction such as the Superior Court and the Court of Appeal of Quebec, the Federal Court and the Federal Court of Appeal. PUBLICATIONS 'Asphalte Desjardins' Clarifies Obligations of Québec Employers Upon Resignation of an Employee, 27 Aug 2014 But We Had a Contract! Distinguishing Appearance from Reality in Employment Contracts, 30 Jul 2014 PROFESSIONAL MEMBERSHIPS Canadian Bar Association DLA Piper (Canada) S.E.N.C.R.L. | 1 QUOI DE NEUF, DOCTEUR? AMENDEMENTS AU CODE CANADIEN DU TRAVAIL Présenté par André Giroux Conférence en droit de l’emploi et du travail de Montréal Mercredi 6 mai 2015 SYNDICATS : ACCRÉDITATION ET RÉVOCATION D’ACCRÉDITATION Point général La loi sur le droit de vote des employés (projet de loi C-525) entrera en vigueur le 16 juin 2015. Elle vient modifier: les conditions d’accréditation des syndicats, en la rendant plus difficile; les conditions de révocation de l’accréditation, en la rendant plus facile. DLA Piper (Canada) S.E.N.C.R.L. 2 SYNDICATS : ACCRÉDITATION ET RÉVOCATION D’ACCRÉDITATION Accréditation des syndicats - Régime actuel : Accréditation automatique du syndicat : aucun scrutin de représentation avec vote secret si le syndicat a l’appui de plus de 50% des employés d’une unité de négociation habile à négocier. Scrutin de représentation obligatoire : seulement si l’unité de négociation n’est pas déjà représentée par un syndicat et que 35% à 50% (inclusivement) des employés de l’unité appuient le syndicat. Note: la preuve de l’appui pour négocier peut être faite par le simple dépôt des demandes d’adhésion signées et des reçus de paiement à la cotisation syndicale (au moins 5 $). DLA Piper (Canada) S.E.N.C.R.L. 3 1 SYNDICATS : ACCRÉDITATION ET RÉVOCATION D’ACCRÉDITATION Accréditation des syndicats - Nouveau régime (en vigueur le 16 juin 2015) : Scrutin de représentation obligatoire avec vote secret pour toutes les demandes d’accréditation faite à compter du 16 juin 2015. Pour la tenue du scrutin, le syndicat doit avoir l’appui de 40% ou plus des employés de l’unité de négociation. Le scrutin est alors valide si plus de 35% des employés de l’unité de négociation ont voté. Pour obtenir l’accréditation il faut alors la majorité (50%+1) des votants. DLA Piper (Canada) S.E.N.C.R.L. 4 SYNDICATS : ACCRÉDITATION ET RÉVOCATION D’ACCRÉDITATION Révocation de l’accréditation - ce qui ne change pas : Seul un employé de l’unité de négociation peut demander la révocation ou l’absence de représentativité du syndicat reconnu comme l’agent négociateur de son unité de négociation. L’employé ne doit pas être un cadre de l’entreprise. La preuve du seuil minimal de représentation peut se faire en déposant des déclarations individuelles d’employés ou des pétitions. DLA Piper (Canada) S.E.N.C.R.L. 5 SYNDICATS : ACCRÉDITATION ET RÉVOCATION D’ACCRÉDITATION Révocation de l’accréditation - ce qui ne change pas : Si l’employé atteint le seuil minimal de représentation, un scrutin de représentation aura lieu avec vote secret pour tous les membres de l’unité de négociation concernée. Pour que le vote soit valide, il faut qu’au moins 35% des employés admissibles aient voté. Pour obtenir la révocation il faut la majorité des votants (50%+1), ces derniers devant être admissibles, i.e. faire partie de l’unité de négociation concernée au moment du dépôt de la demande. DLA Piper (Canada) S.E.N.C.R.L. 6 2 SYNDICATS : ACCRÉDITATION ET RÉVOCATION D’ACCRÉDITATION Révocation de l’accréditation - ce qui change au 16 juin 2015 : Régime actuel : l’employé qui demande la révocation doit atteindre un seuil de représentation supérieur à 50% des employés membres de l’unité de négociation. Nouveau régime : le seuil minimal de représentation à atteindre par l’employé demandant la révocation est à 40% des employés membres de l’unité de négociation. Note: dans le cas d’une demande au Conseil pour mettre fin à la représentativité d’un agent négociateur, le régime du seuil minimal de représentativité change également passant de 50% à 40%. DLA Piper (Canada) S.E.N.C.R.L. 7 SANTÉ ET SÉCURITÉ AU TRAVAIL Loi sur le soutien de la croissance de l’économie et de l’emploi au Canada (projet de loi C-4) est entrée en vigueur le 31 octobre 2014. Elle modifie : la définition du terme « danger » le processus applicable aux enquêtes reliées au droit de refus de travailler en cas de danger DLA Piper (Canada) S.E.N.C.R.L. 8 SANTÉ ET SÉCURITÉ AU TRAVAIL Nouvelle définition du mot “danger” Le ministère des Finances a établi qu’au cours des 10 dernières années (2003-2013), dans plus de 80% des refus de travail pour danger, il n’y avait pas vraiment de danger. L’ancienne version se lisait comme suit: « Situation, tâche ou risque — existant ou éventuel — susceptible de causer des blessures à une personne qui y est exposée, ou de la rendre malade — même si ses effets sur l’intégrité physique ou la santé ne sont pas immédiats —, avant que, selon le cas, le risque soit écarté, la situation corrigée ou la tâche modifiée. Est notamment visée toute exposition à une substance dangereuse susceptible d’avoir des effets à long terme sur la santé ou le système reproducteur ». DLA Piper (Canada) S.E.N.C.R.L. 9 3 SANTÉ ET SÉCURITÉ AU TRAVAIL La nouvelle définition se lit comme suit : « Situation, tâche ou risque qui pourrait vraisemblablement présenter une menace imminente ou sérieuse pour la vie ou pour la santé de la personne qui y est exposée avant que, selon le cas, la situation soit corrigée, la tâche modifiée ou le risque écarté. » DLA Piper (Canada) S.E.N.C.R.L. 10 SANTÉ ET SÉCURITÉ AU TRAVAIL Nouvelle définition du mot “danger” La nouvelle définition est plus restrictive et n’inclut plus les notions de « situations de risques éventuels » qui sont « susceptibles de causer des blessures ». Au contraire, le danger devient vraisemblable et doit présenter une menace imminente. Cette définition ressemble à la notion de « danger » prévalant avant sa modification au début des années 2000 ; il est donc possible que les tribunaux changent leur interprétation de ces dernières années. Douze causes pendantes devant le Tribunal de santé et sécurité au travail Canada. DLA Piper (Canada) S.E.N.C.R.L. 11 SANTÉ ET SÉCURITÉ AU TRAVAIL Fardeau de preuve des employés pour refus de travailler en cas de danger La loi supprime la notion d’effets “non immédiats” et la possibilité raisonnable qu’un risque se produise pour refuser de travailler. Elle ajoute le fardeau de prouver qu’une situation présente une “menace imminente ou sérieuse”, ce qui peut être plus restreint. DLA Piper (Canada) S.E.N.C.R.L. 12 4 SANTÉ ET SÉCURITÉ AU TRAVAIL Processus d’enquête pour refus de travailler en raison d’un danger La loi supprime la fonction “d’agent de santé et de sécurité” qui est au cœur du système d’enquête pour refus de travailler. Le processus commence dorénavant par une enquête interne au sein de l’entreprise entre l’employeur et l’employé. Si, à l’issue de cette enquête, la situation n’est pas réglée, et que l’employé maintient son refus de travailler, alors (dans certains cas) l’employeur ou l’employé peut renvoyer le dossier devant le ministre. DLA Piper (Canada) S.E.N.C.R.L. 13 DLA Piper (Canada) S.E.N.C.R.L. 14 SANTÉ ET SÉCURITÉ AU TRAVAIL Organigramme – Nouvelle procédure à suivre en cas de r efus de travailler en cas de danger dans le milieu de travail Source : Gouvernement du Canada, Programme du travail (http://www.travail.gc.ca/fra/sante_securite/pubs_ss/refuser.shtml) CONGÉDIEMENT SANS CAUSE Wilson v. Atomic Energy of Canada Limited, 2015 FCA 17 Un employé travaille depuis plus de 4 ans au sein d’Énergie atomique du Canada limitée (« EACL ») et est congédié sans cause en 2009. EACL lui offre 6 mois de salaires comme indemnité de congédiement, ce que l’employé refuse. L’employé dépose une plainte pour congédiement injuste. DLA Piper (Canada) S.E.N.C.R.L. 15 5 Wilson v. Atomic Energy of Canada Limited, 2015 FCA 17 Décision unanime qui établit que le Code canadien du travail ne prévoit pas un “droit à l’emploi”. Un congédiement sans cause n’est pas automatiquement requalifié de congédiement injuste, et ne permet donc pas forcément d’utiliser le recours prévu par le Code canadien du travail. Cependant, la Cour souligne qu’un congédiement sans cause n’enlève pas l’obligation de l’employeur de donner un préavis raisonnable ou une indemnité en tenant lieu. DLA Piper (Canada) S.E.N.C.R.L. 16 6 WHAT’S UP DOC? AMENDMENTS TO THE CANADA LABOUR CODE Presented by André Giroux Montréal Employment and Labour Law Conference Wednesday, May 6, 2015 UNIONS : CERTIFICATION AND REVOCATION OF CERTIFICATION General points The Employees’ Voting Rights Act (Bill C-525) will come into force on June 16, 2015. It is aimed to modify: the conditions of union certification by making them more exigent; the conditions of revoking certification by making them less exigent. DLA Piper (Canada) LLP 2 UNIONS : CERTIFICATION AND REVOCATION OF CERTIFICATION Certification of unions - existing regime: Automatic certification of the union: no representation vote by secret ballot if the union has the support of more than 50% of the employees in the bargaining unit. Obligatory representation vote by secret ballot: only if the bargaining unit is not already represented by a union and 35% to 50% (inclusively) of the employees in the unit support the union. Note: proof of support to negotiate can be made by the filing of a signed application for membership and the receipt of union dues in the amount of at least $5. DLA Piper (Canada) LLP 3 UNIONS : CERTIFICATION AND REVOCATION OF CERTIFICATION Certification of unions - new regime (in effect as of June 16, 2015): Mandatory representation vote by secret ballot for all certification petitions filed as of June 16, 2015. For the vote, the union must gain the support of 40% or more of the employees in the bargaining unit. The vote is valid if more than 35% of the employees in the bargaining unit have voted. To obtain certification, the majority of voters must vote in favour (50%+1) DLA Piper (Canada) LLP 4 UNIONS : CERTIFICATION AND REVOCATION OF CERTIFICATION Revocation of certification- what won’t change: Only an employee of a bargaining unit can petition for revocation or the absence of the representative character of the union recognized as the negotiating agent of his or her bargaining unit. The employee must not be part of the managerial staff of the company. The proof of meeting the minimum threshold of representation is made by the filing of the individual declarations of the employees or the petitions. DLA Piper (Canada) LLP 5 UNIONS : CERTIFICATION AND REVOCATION OF CERTIFICATION Revocation of certification- what won’t change: If the employee reaches the minimum threshold of representation, a representation vote by secret ballot will take place involving all the members of the concerned bargaining unit. For the vote to be valid, at least 35% of admissible employees must vote at the time of the petition Obtaining revocation requires a majority of votes (50%+1). The voters must be admissible to vote (i.e. be a member of the concerned bargaining unit). DLA Piper (Canada) LLP 6 UNIONS : CERTIFICATION AND REVOCATION OF CERTIFICATION Revocation of certification- what will change on June 16, 2015: Existing regime: the employee that petitions for revocation must reach a representation threshold of above 50% of the employees that are members of the bargaining unit. New regime: the minimum representation threshold that the employee petitioning for revocation must reach is 40% of the employees that are members of the bargaining unit. Note: In cases of a petition to the Board in order to put an end to the representativity of a bargaining agent, the threshold also passes from 50% to 40%. DLA Piper (Canada) LLP 7 OCCUPATIONAL HEALTH AND SAFETY Keeping Canada's Economy and Jobs Growing Act (Bill C-4) came into effect on October 31, 2014. It modified : the definition of the term “danger” the applicable process for investigations related to the right to refuse to work in cases of danger DLA Piper (Canada) LLP 8 OCCUPATIONAL HEALTH AND SAFETY New definition of the word “danger” The minister of finance determined that over the previous 10 years (2003-2013), in more than 80% of cases of refusal to work because of danger, there wasn’t any real danger. The old version reads as follows : “any existing or potential hazard or condition or any current or future activity that could reasonably be expected to cause injury or illness to a person exposed to it before the hazard or condition can be corrected, or the activity altered, whether or not the injury or illness occurs immediately after the exposure to the hazard, condition or activity, and includes any exposure to a hazardous substance that is likely to result in a chronic illness, in disease or in damage to the reproductive system” DLA Piper (Canada) LLP 9 OCCUPATIONAL HEALTH AND SAFETY The new definition reads as follows: “Any hazard, condition or activity that could reasonably be expected to be an imminent or serious threat to the life or health of a person exposed to it before the hazard or condition can be corrected or the activity altered.” DLA Piper (Canada) LLP 10 OCCUPATIONAL HEALTH AND SAFETY New definition of the word “danger” The new definition is more restrictive and does not include the notions of “situations of eventual risk” that are “susceptible to cause injury.” Contrarily, the danger must be probable and must present an imminent threat. The definition resembles the notion of “danger” used in the early 2000’s; it is therefore possible that the courts will change their interpretation of the recent years. Twelve pending cases before the Occupational Health and Safety Tribunal Canada. DLA Piper (Canada) LLP 11 OCCUPATIONAL HEALTH AND SAFETY The burden of proof for employees refusing to work in the case of danger The law removes the notion of “non-immediate effects” and the reasonable possibility that a risk could be realized for refusing to work. It adds the burden of proving that a situation presents an “imminent or serious threat,” which may be narrower. DLA Piper (Canada) LLP 12 OCCUPATIONAL HEALTH AND SAFETY Investigation process for refusal to work because of danger The law removes the function of the “health and safety officer” which is at the core of the investigatory system for refusals to work. The process commences henceforth with an internal investigation within the company between the employer and the employee. If as a result of this investigation, the situation is not resolved, and the employee maintains his refusal to work, then (in certain cases) the employer or the employee can refer the matter to the minister. DLA Piper (Canada) LLP 13 DLA Piper (Canada) LLP 14 Workplace R efusal to work flow chart Source : Gouvernement of Canada, labour programs (http://www.travail.gc.ca/fra/sante_securite/pubs_ss/refuser.shtml) DISMISSAL WITHOUT GOOD AND SUFFICIENT CAUSE Wilson v. Atomic Energy of Canada Limited, 2015 FCA 17 An Atomic Energy of Canada Limited (“AECL”) employee with more than 4 years of work experience is dismissed without cause in 2009. AECL offers him 6 months of salary as severance pay, which the employee refuses. The employee files a complaint for unjust dismissal. DLA Piper (Canada) LLP 15 Wilson v. Atomic Energy of Canada Limited, 2015 FCA 17 Unanimous decision establishing that the Canada Labour Code does not provide for a “right to employment.” A dismissal without cause does not automatically equate to unjust dismissal and does not necessarily permit resort to the recourses provided for in the Canada Labour Code. However, the court emphasizes that a dismissal without cause does not negate the obligation of the employer to provide reasonable notice or an indemnity in lieu thereof. DLA Piper (Canada) LLP 16 Julio Mena Associate [email protected] Suite 1400, McGill College Tower 1501 McGill College Avenue, Montréal, QC, H3A 3M8, Canada T: +1 514 392 8435 F: +1 514 392 8396 Julio Mena is an associate in the Montréal office. His practice is focused on business immigration law, litigation and employment law. CREDENTIALS Education Julio assists clients with a range of Canadian immigration matters, including work permit applications for executives, managers and LL.L. (cum laude), University of Ottawa, 2011 specialized knowledge workers (intra-company transfers) and A.E.P., Immigration Consultant, LaSalle College, 2007 applications for permanent residence under the economic class and family reunification (sponsorship) programs. He gained first-hand knowledge of immigration procedures and practices by working at Citizenship and Immigration Canada and by participating in a legal research project for Pro Bono Students Canada. Before law school, he completed a professional program to become an immigration consultant. Julio’s litigation experience includes drafting pleadings and conducting research for senior counsel in commercial matters. His employment law practice includes assisting employers with drafting and reviewing employment contracts and internal policies. Julio obtained his LL.L. from the University of Ottawa in 2011 and expects to receive his Juris Doctor from the Université de Montréal in 2014. At the University of Ottawa, Julio was elected Secretary of Lawyers Without Borders (University of Ottawa’s Division). While at the Université de Montréal, he participated in the Willem C. Vis International Commercial Arbitration Moot Competition in Vienna, Austria in 2013. He joined the firm as a summer student in 2010 and as an associate upon his call to the Québec Bar. Julio speaks English, French and Spanish fluently. PUBLICATIONS Understanding the New Temporary Foreign Worker Program, 24 Sep 2014 RECOGNITIONS Reach Canada’s Student of the Year award, 2011 DLA Piper (Canada) S.E.N.C.R.L. | 1 DROIT DE L’IMMIGRATION D’AFFAIRES NAVIGUER LES EAUX DU NOUVEAU PROGRAMME DES TRAVAILLEURS ÉTRANGERS TEMPORAIRES Présenté par Julio Mena Conférence en droit de l’emploi et du travail de Montréal Mercredi 6 mai 2015 QU’EST-CE QUE LE PTET? Le PTET est un programme d’immigration qui permet aux employeurs canadiens d’embaucher des étrangers afin de combler des pénuries temporaires de main-d’œuvre et de compétences Le PTET est géré conjointement par Emploi et Développement social Canada (EDSC) et Citoyenneté et Immigration Canada (CIC) Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 2 QUELS CHANGEMENTS ONT ÉTÉ APPORTÉS AU PTET? CONTEXTE Le 20 juin 2014, le Gouvernement fédéral a introduit d’importants changements au PTET Le 30 avril 2015, des changements supplémentaires ont été introduits au PTET OBJECTIF PRINCIPAL DE CES CHANGEMENTS Assurer que les citoyens canadiens et les résidents permanents soient les premiers à avoir accès aux emplois au Canada FAITS SAILLANTS DE CES CHANGEMENTS La réorganisation du PTET La mise en œuvre de l’exigence d’une Étude d’impact sur le marché du travail (EIMT - anciennement Avis relatif au marché du travail) L’augmentation importante des frais de traitement L’établissement d’un régime de conformité plus strict Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 3 LA RÉORGANISATION DU PTET Le PTET a été regroupé en deux grandes catégories: 1. PTET Cette catégorie sert comme dernier recours pour permettre aux employeurs canadiens de pourvoir des postes pour lesquels il n’y a pas de citoyens canadiens ou de résidents permanents qualifiés Celle-ci couvre des volets qui requièrent une EIMT Le ministère responsable: EDSC 2. Programmes de mobilité internationale Cette catégorie sert à défendre les intérêts économiques et culturels globaux du Canada Celle-ci couvre des volets qui sont exemptés de la condition d’avoir une EIMT (i.e. ALENA et d’autres accords applicables de libre-échange, emploi réciproque, etc.) Le ministère responsable: CIC Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 4 LA MISE EN ŒUVRE DE L’EXIGENCE D’EIMT La notion d’EIMT dans la catégorie du PTET Normes minimales en matière de recrutement Les employeurs doivent afficher le poste recherché pendant un minimum de 28 jours, sauf certaines exceptions (i.e. démarche simplifiée au Québec) L’affichage doit respecter des conditions spécifiques Les postes doivent demeurer affichés jusqu’à ce qu’une décision soit prise à propos de la demande d’EIMT Conseils pratiques: Soyez précis lorsque vous rédigez les exigences de l’emploi Veuillez tenir compte des exigences linguistiques N.B.: il existe des variations aux normes minimales en matière de recrutement pour certains postes et dans certain(e)s provinces/territoires Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 5 LA MISE EN OEUVRE DE L’EXIGENCE D’EIMT Volets principaux du PTET Volet rémunération élevée Volet rémunération peu élevée Volet des postes éligibles au délai de 10 jours ouvrables Volet agricole Programme des aides familiaux résidents Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 6 LA MISE EN OEUVRE DE L’EXIGENCE D’EIMT QUÉBEC Est-ce que la procédure pour demander une EIMT est différente au Québec comparativement aux autres provinces? OUI! Démarche simplifiée (l’employeur n’est pas soumis aux conditions d’affichage) ou démarche générale? Pour des postes situés au Québec, les employeurs doivent soumettre leurs demandes d’EIMT en français Déterminer le salaire à offrir au TET Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 7 LA MISE EN OEUVRE DE L’EXIGENCE D’EIMT Évaluation quant au salaire c. Évaluation quant aux compétences Est-ce que le poste est syndiqué? Si oui, l’employeur est tenu d’afficher et d’offrir les mêmes taux de salaires que ceux établis dans le cadre de la convention collective Les salaires ne doivent pas être inférieurs au taux de salaire courant pour le poste et le lieu de travail Les employeurs doivent revoir et ajuster (si nécessaire) le salaire de TET après 12 mois d’emploi N.B. : le salaire courant est reconnu comme le salaire horaire médian tel que publié sur le site Guichet Emploi Les salaires ne doivent pas être inférieurs au salaire minimum fédéral ou de la province/territoire Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 8 LA MISE EN OEUVRE DE L’EXIGENCE D’EIMT Les choses à savoir lorsqu’on embauche sous le volet de la rémunération peu élevée Limite établie concernant les TETs pour des postes à rémunération peu élevée Les employeurs avec 10 employés ou plus à l’échelle du pays embauchant des TETs à rémunération peu élevée seront assujettis à une limite de 10 % sur la proportion de TETs à rémunération peu élevée (N.B. cette limite s’applique par lieu de travail) EDSC a décidé de mettre en place graduellement l’application de la limite afin de permettre aux employeurs de changer et d’ajuster leurs effectifs Il y a certaines exceptions à cette exigence Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 9 LA MISE EN OEUVRE DE L’EXIGENCE D’EIMT Les choses à savoir lorsqu’on embauche sous le volet de la rémunération peu élevée Durée des permis de travail La durée des permis de travail pour des postes à rémunération peu élevée sera limitée à un maximum d’un an (sous l’ancien régime, la durée maximale des permis de travail était de deux ans) Obligations des employeurs (i) payer les frais de transport aller-retour pour le TET; (ii) assurer la disponibilité d’un logement abordable pour le TET; (iii) payer pour une couverture médicale jusqu’à ce que le TET soit couvert par l’assurance maladie de la province; (iv) enregistrer le TET auprès de la Commission de la sécurité professionnelle et de l’assurance contre les accidents du travail de la province ou du territoire; (v) fournir un contrat employeur-employé Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 10 LA MISE EN OEUVRE DE L’EXIGENCE D’EIMT Les choses à savoir lorsqu’on embauche dans des régions où le chômage est élevé EDSC refuse de traiter certaines demandes d’EIMT visant les secteurs de l’hébergement, des services de restauration et du commerce de détail dans les régions économiques ayant un taux de chômage de 6 % ou plus Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 11 LA MISE EN OEUVRE DE L’EXIGENCE D’EIMT Les choses à savoir lorsqu’on embauche sous le volet de la rémunération élevée Plan de transition Sauf certaines exceptions, les employeurs embauchant sous le volet de la rémunération élevée doivent soumettre un plan de transition Un plan de transition vise à assurer que les employeurs ont mis en place un plan ferme pour passer à un effectif canadien Un employeur peut effectuer différentes activités pour satisfaire à cette condition Les employeurs doivent rapporter les résultats de leur plan de transition lorsqu’ils redemandent une nouvelle EIMT pour le poste en question situé au même endroit ou dans le contexte d’une inspection Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 12 L’AUGMENTATION IMPORTANTE DES FRAIS DE TRAITEMENT Selon les nouvelles règles du PTET, les frais de procédure pour une demande d’EIMT ont augmenté passant de 275 $ à 1 000 $ D’autres frais à considérer: Certificat d’acceptation du Québec (pour le Québec seulement) = 191 $ Frais applicables pour l’examen de l’offre d’emploi (pour le Québec seulement) = 191 $ Permis de travail = 155 $ Depuis le 21 février 2015, les employeurs doivent fournir des informations additionnelles et payer de nouveaux frais relatifs à la conformité de 230 $ pour les demandes de permis de travail des catégories exemptées d’EIMT Également, de nouveaux frais de privilège de 100 $ doivent être payés pour les demandes de permis de travail ouverts Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 13 L’ÉTABLISSEMENT D’UN RÉGIME DE CONFORMITÉ PLUS STRICT Conformité Augmentation du nombre d’enquêtes et d’inspections (il est à prévoir que chaque année, un employeur sur quatre utilisant le PTET fera l’objet d’une inspection) Liste noire, suspension et révocation Amendes (jusqu’à 100 000 $) Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 14 CONSEILS PRATIQUES Consultez fréquemment les sites internet officiels de CIC et EDSC pour les mises à jour du PTET Respectez vos conditions et engagements de l’EIMT Mettez en place des politiques, guides et protocoles internes qui traitent: de l’embauche des TETs de la mise en conformité avec les règles du PTET (plans de transitions, obligations de rapport, etc.) de la rémunération des TETs de la rétention des documents associés au recrutement et à l’emploi de TETs (i.e. affichages de postes, demande d’EIMT, offres d’emploi, CVs, etc.) Naviguer les eaux du nouveau PTET DLA Piper (Canada) S.E.N.C.R.L. 15 BUSINESS IMMIGRATION LAW NAVIGATING THE WATERS OF THE NEW TEMPORARY FOREIGN WORKER PROGRAM Presented by Julio Mena Montreal Employment and Labour Law Conference Wednesday, May 6, 2015 WHAT’S THE TFWP? The TFWP is an immigration program that allows Canadian employers to hire foreign nationals to fill temporary labour and skill shortages The TFWP is jointly managed by Employment and Social Development Canada (ESDC) and Citizenship and Immigration Canada (CIC) DLA Piper (Canada) LLP 2 WHAT CHANGES WERE MADE TO THE TFWP? BACKGROUND On June 20, 2014, the federal government introduced significant changes to the TFWP On April 30, 2015, additional changes were introduced to the TFWP MAIN OBJECTIVE OF THESE CHANGES Ensure that Canadian citizens and permanent residents have the first opportunity for positions in Canada HIGHLIGHTS OF THESE CHANGES The re-organization of the TFWP The implementation of the Labour Market Impact Assessment (LMIA formerly Labour Market Opinion) requirement The introduction of higher processing fees The establishment of a stricter compliance regime DLA Piper (Canada) LLP 3 THE RE-ORGANIZATION OF THE TFWP The TFWP was regrouped into two main categories: 1. TFWP This category is aimed to serve as a last resort for Canadian employers to fill positions for which qualified Canadian citizens or permanent residents are not available It covers streams that require a LMIA Lead government department: ESDC 2. International Mobility Programs This category is aimed to advance Canada’s broad economic and cultural national interest It covers streams that are exempted from the LMIA requirement (i.e. NAFTA and other applicable free trade agreements, reciprocal employment, etc.) Lead government department: CIC DLA Piper (Canada) LLP 4 THE IMPLEMENTATION OF THE LMIA REQUIREMENT The notion of LMIA in the TFWP category Minimum advertisement requirements: Employers are required to advertise the sought position for a minimum of 28 days, save certain exceptions (i.e. facilitated process in Quebec) The advertisement must meet specific conditions The advertisements must remain posted until a decision is made regarding the LMIA application Practical tips: Be precise when drafting the job requirements Take into account the applicable language requirements N.B.: there are variations to the recruitment and advertisement requirements for specific occupations and in particular provinces/territories DLA Piper (Canada) LLP 5 THE IMPLEMENTATION OF THE LMIA REQUIREMENT Primary streams of the TFWP High-wage stream Low-wage stream Stream for occupations eligible to a 10 business day service standard Primary agricultural stream Live-in caregiver program DLA Piper (Canada) LLP 6 THE IMPLEMENTATION OF THE LMIA REQUIREMENT QUEBEC Is the process to apply for a LMIA different in Quebec when compared to other provinces? YES! Facilitated process (employer is not subject to the advertisement requirements) or regular process? Employers must submit their LMIA applications in French for positions located in Quebec Establish the salary that will be offered to the TFW DLA Piper (Canada) LLP 7 THE IMPLEMENTATION OF THE LMIA REQUIREMENT Wage assessment vs. Skill level assessment Is the position unionized? If yes, the employer must advertise and offer the same wage rates as those established under the collective agreement Wages must not be below the prevailing wage rate for the sought occupation and work location Employers must review and adjust (if necessary) the TFW’s wage after 12 months of employment N.B.: the prevailing wage rate is identified as the median hourly wage as published on Job Bank Wages must not be below any applicable federal or provincial/territorial minimum wage rates DLA Piper (Canada) LLP 8 THE IMPLEMENTATION OF THE LMIA REQUIREMENT Things to know when hiring under the low-wage stream Established cap on low-wage TFWs Employers with 10 or more employees nationally hiring TFWs for low-wage positions will be subject to an established cap of 10 % on the proportion of low-wage TFWs (N.B. the cap applies per work site) ESDC has decided to phase-in the application of the cap requirement to allow employers to transition and adjust their workforce There are exceptions to the cap requirement DLA Piper (Canada) LLP 9 THE IMPLEMENTATION OF THE LMIA REQUIREMENT Things to know when hiring under the low-wage stream Duration of work permits The duration of work permits for low-wage positions will be limited to a maximum of one year (under the previous regime, the maximum duration of work permits was two years) Employer’s obligations (i) pay for round-trip transportation for the TFW; (ii) ensure affordable housing is available for the TFW; (iii) pay for private health insurance until the TFW is eligible for provincial health coverage; (iv) register the TFW with the provincial/territorial workplace safety board; (v) provide an employer-employee contract DLA Piper (Canada) LLP 10 THE IMPLEMENTATION OF THE LMIA REQUIREMENT Things to know when hiring in areas of high unemployment ESDC refuses to process certain LMIA applications in the Accommodation, Food Services and Retail Trade sectors in economic regions with an unemployment rate at or above 6% DLA Piper (Canada) LLP 11 THE IMPLEMENTATION OF THE LMIA REQUIREMENT Things to know when hiring under the high-wage stream Transition plan Save certain exceptions, employers hiring under the high-wage stream are required to submit a transition plan A transition plan is aimed to ensure that employers have a firm plan in place to transition to a Canadian workforce There are different activities that may be conducted by an employer to meet this requirement Employers need to report on the results of their transition plans when re-applying for a new LMIA for the occupation in question at the same location or in the context of an inspection DLA Piper (Canada) LLP 12 THE INTRODUCTION OF HIGHER PROCESSING FEES Under the new TFWP rules, the processing fees to submit an LMIA application increased from $275 to $1,000 Other fees to consider: Quebec Certificate of Acceptance (Quebec only) = $191 Fees applicable to the evaluation of the employment offer (Quebec only) = $191 Work permit = $155 Since February 21, 2015, employers are required to provide additional information and to pay a new compliance fee of $230 when submitting work permit applications under certain LMIAexempted categories Also, a new privilege fee of $100 must be paid for open work permits DLA Piper (Canada) LLP 13 THE ESTABLISHMENT OF A STRICTER COMPLIANCE REGIME Compliance Increasing number of investigations and inspections (it is expected that one in four employers using the TFWP will be inspected each year) Blacklist, suspension and revocation Fines (up to $100,000) DLA Piper (Canada) LLP 14 PRACTICAL TIPS Frequently consult CIC’s and ESDC’s official websites for updates on the TFWP Stick to your LMIA conditions and engagements Implement internal policies, guidelines and protocols that deal with: the hiring of TFWs the compliance of TFWP rules (transition plans, reporting obligations, etc.) the compensation of TFWs the retention of documents associated with the recruitment and employment of TFWs (i.e. job advertisements, LMIA application, job offers, resumes, etc.) DLA Piper (Canada) LLP 15 Tania da Silva Avocat [email protected] Suite 1400, McGill College Tower 1501 McGill College Avenue, Montréal, QC, H3A 3M8, Canada T: +1 514 392 8427 F: +1 514 392 1999 Tania da Silva est une avocate du bureau de Montréal de DLA Piper S.E.N.C.R.L. Elle pratique dans les domaines du litige commercial et LL.L, Université d'Ottawa, 2008 du droit de l’emploi. LL.B., Université d'Ottawa, 2007 Tania s’est jointe à l’équipe de DLA Piper S.E.N.C.R.L. en 2009 après B.Sc.Soc., Concentration en criminologie, Université d'Ottawa, 2004 avoir complété son stage avec le cabinet. Québec Dans le contexte de sa pratique en droit de l’emploi, Tania fournit des conseils aux employeurs en matière de réclamations pour congédiement injustifié, ainsi que sur des questions portant sur les normes du travail, les droits de la personne et la vie privée. Elle se consacre également à intervenir devant les tribunaux pour faire respecter des clauses restrictives, ainsi qu’à rédiger et réviser de contrats d’emploi, de manuels d’employés et de politiques d’entreprise, y compris les codes de conduite. Tania fourni aussi des conseils aux employeurs sur l’embauche, la discipline progressive et la mise à pied, le licenciement et le congédiement d’employés. Membre de l''Association du Jeune Barreau de Montréal DLA Piper (Canada) S.E.N.C.R.L. | 1 COMMENT GÉRER VOS ACCOMMODEMENTS RAISONNABLES : UN GUIDE POUR LES EMPLOYEURS Présenté par Tania da Silva et Melissa Gaul Conférence en droit de l’emploi et du travail de Montréal Mercredi 6 mai 2015 Caron c. Commission des lésions professionnelles, 2014 QCCS 2580 (CanLII) L’article 49 de la Charte des droit et libertés de la personnne « confère un vaste pouvoir de redressement à la CLP lorsqu'une violation de la charte est constatée, notamment à l'égard des normes appliquées par l'employeur pour déterminer s'il existe un emploi convenable et même pour annuler le congédiement, le cas échéant. » DLA Piper Les principes de base (Canada) S.E.N.C.R.L. 2 Hydro-Québec c. Syndicat des employé-e-s de techniques professionnelles et de bureau d'Hydro-Québec, section locale 2000 (SCFP-FTQ) [2008] 2 RCS 561, 2008 CSC 43 (CanLII) McGill University Health Centre c. Syndicat des employés de l'Hôpital général de Montréal, 2007 SCC 4 (CanLII) La situation doit être évaluée de manière globale; L’employé a un rôle à jouer dans le processus d’accommodement; Le devoir d’accommodement n’est ni absolu, ni sans limite; L’employeur doit démontrer qu’il ne peut accommoder le plaignant sans subir une « contrainte excessive »; et Le standard est celui de la « contrainte excessive » et non celui de « l’impossibilité ». DLA Piper (Canada) S.E.N.C.R.L. 4 Le test développé dans l’arrêt Meiorin est clarifié par la Cour Suprême : La norme a été adoptée dans un but rationnellement lié à l’exécution du travail en cause; L’employeur a adopté la norme en croyant sincèrement qu’elle était nécessaire pour réaliser un but légitime lié au travail; et La norme est raisonnablement nécessaire pour réaliser ce but légitime lié au travail. L’employé ne peut pas être accommodé sans que l’employeur ne subisse une contrainte excessive. DLA Piper (Canada) S.E.N.C.R.L. 5 McGill University Health Centre c. Syndicat des employés de l'Hôpital général de Montréal, 2007 SCC 4 (CanLII) « Le caractère individualisé du processus d’accommodement ne saurait être minimisé. En effet, l’obligation d’accommodement varie selon les caractéristiques de chaque entreprise, les besoins particuliers de chaque employé et les circonstances spécifiques dans lesquelles la décision doit être prise. » « […] lorsque l’employeur fait une proposition qui est raisonnable, il incombe à l’employé d’en faciliter la mise en œuvre. Si l’absence de coopération de l’employé est à l’origine de l’échec du processus d’accommodement, sa plainte pourra être rejetée. » « […] l’obligation d’accommodement incombe toutefois à l’employeur qui doit faire la preuve qu’il a évalué les mesures possibles d’accommodement et s’il en vient à la conclusion qu’il ne peut l’accommoder sans en subir une contrainte excessive, il doit en faire la preuve. » DLA Piper (Canada) S.E.N.C.R.L. 6 « CONTRAINTE EXCESSIVE » Plastiques TPI inc. et Syndicat des travailleurs du plastique de Coaticook (CSD), (Lucie Roy-Girard), D.T.E. 2005T-165 « Ne reste plus qu’à cerner la notion de « contrainte excessive » qui vient poser une limite à l’exercice du droit à l’égalité en matière d’emploi. Cette limite cherche à éviter que le droit fondamental de gestion de l’employeur en matière d’organisation du travail ne soit sérieusement compromis. » « L’obligation d’accommodement sans contrainte raisonnable n’oblige l’employeur à adapter son pouvoir discrétionnaire de gestion que dans la seule mesure où il lui est raisonnablement possible de le faire à l’intérieur de contraintes normales, par opposition à des contraintes excessives. » - Arbitre François Hamelin DLA Piper (Canada) S.E.N.C.R.L. 7 La portée de l’expertise médicale Syndicat des employés des installations portuaires (TCA, section locale 1946) c. Rio Tinto Alcan inc., 2012 CanLII 51074 (QC SAT) Requête du syndicat visant à faire reconnaître l’expertise d’un psychologue pour poser un diagnostic de jeu pathologique. Le plaignant a été suspendu puis congédié pour avoir fraudé ou détourné des fonds du syndicat et des employés. À l'occasion d'une conférence préparatoire, le syndicat s'est engagé à produire un rapport d'expertise psychiatrique à l'appui de sa défense de jeu pathologique. Il a alors présenté une expertise préparée par un docteur en psychologie. L'employeur s’y est opposé. DLA Piper (Canada) S.E.N.C.R.L. 9 Syndicat des employés des installations portuaires (TCA, section locale 1946) c. Rio Tinto Alcan inc., 2012 CanLII 51074 (QC SAT) « Le jeu pathologique est une maladie ou une pathologie qui doit être démontrée par l’administration d’une preuve médicale pertinente. » Poser un diagnostic médicale est un acte réservé aux médecins, conformément à l’article 31 de la Loi médicale (LRQ c M-9) et aux articles 31 à 34 du Code des professions (LRQ c C-26). Un psychologue peut établir un diagnostic psychologique. DLA Piper (Canada) S.E.N.C.R.L. 10 Loi médicale, LRQ c M-9, article 31 31. L'exercice de la médecine consiste à évaluer et à diagnostiquer toute déficience de la santé, à prévenir et à traiter les maladies dans le but de maintenir la santé ou de la rétablir chez l'être humain en interaction avec son environnement. Dans le cadre de l'exercice de la médecine, les activités réservées au médecin sont les suivantes: 1° ° diagnostiquer les maladies; 2° ° prescrire les examens diagnostiques; 3° ° utiliser les techniques diagnostiques invasives ou présentant des risques de préjudice […] Code des professions, LRQ c C-26, articles 31 à 34 La médecine est une profession d’exercice exclusif et seul les membres de cet ordre professionnel peuvent exercer une activité professionnelle réservée. DLA Piper (Canada) S.E.N.C.R.L. 11 Interior Health Authority and HEU (P. (R.)), Re (2013), 231 L.A.C. (4th) 119, 2013 Carswell BC 988 (B.C. Arb.) Un préposé en soins de santé à Keremeos en Colombie-Britannique a été congédié après avoir regardé et téléchargé de la pornographie au travail. L’ordinateur en question appartenait à l’employeur. L’employeur avait des politiques concernant l’utilisation des ordinateurs et de l’Internet au travail. Les politiques ont été clairement communiquées à l’employé. L’employé a prétendu qu’il souffrait d’une maladie mentale et qu’il a eu un diagnostic positif de « comportement sexuel compulsif concernant la consommation de pornographie » suite à un test de dépistage. DLA Piper (Canada) S.E.N.C.R.L. 12 Interior Health Authority and HEU (P. (R.)), Re (2013), 231 L.A.C. (4th) 119, 2013 Carswell BC 988 (B.C. Arb.) La compulsion sexuelle n’est pas un diagnostic énoncé dans le DSM-IV. Les «tests de dépistage» qui ont été administrés ne sont pas des outils de diagnostic. Il n'y avait pas de preuve convaincante que l'employé a été atteint d'une invalidité au moment de son congédiement. Le congédiement était justifié selon les facteurs suivants, entre autres: Il a été chargé de soins des personnes âgées et vulnérables; et Il n'a pas démontré qu'une sanction moins sévère aurait un effet correctif. DLA Piper (Canada) S.E.N.C.R.L. 13 Syndicat du personnel de soins et de soutien du centre de santé et de services sociaux de Memphrémagog c. CSSS de Memphrémagog, 2014 CanLII 52199 (QC SAT) La plaignante est auxiliaire en services de santé et services sociaux. À compter du mois d'août 2008, elle s'est absentée du travail pour cause d'invalidité en raison de problèmes de santé liés à un accident vasculaire cérébral. En juillet 2010, son médecin traitant a recommandé un retour progressif au travail précisant les tâches qu'elle pouvait effectuer et celles qui lui étaient proscrites. Sur la base d’une évaluation complétée par un neurologue, l’employeur a avisé le syndicat qu'il considérait avoir respecté son obligation d'accommodement à l'égard de la plaignante et qu’il estimait que celle-ci ne pouvait occuper un poste dans son établissement. DLA Piper (Canada) S.E.N.C.R.L. 14 Syndicat du personnel de soins et de soutien du centre de santé et de services sociaux de Memphrémagog c. CSSS de Memphrémagog, 2014 CanLII 52199 (QC SAT) « Il n’appartient pas au médecin d’évaluer les capacités d’accommodement de l’Employeur. Il s’agit d’une responsabilité qui incombe à l’Employeur. » Pour respecter son obligation d'accommodement, l’employeur devait démontrer qu'il avait entrepris des efforts sérieux et réels en vue de permettre le retour au travail. DLA Piper (Canada) S.E.N.C.R.L. 15 Certaines limites à l’obligation selon la jurisprudence récente Les souhaits de l’employé en matière d’accommodement ne lient pas l’employeur Québec (Gouvernement du) (Service aérien gouvernemental) et Syndicat de la fonction publique et parapublique du Québec, 2014 TA 745 Plaignante est technicienne en entretien d’aéronefs et devient incapable d’accomplir ses tâches en raison de limitations fonctionnelles permanentes. L’employeur attends que les limitations fonctionnelles énoncées au certificat médical soient précisées par expertises avant de permettre le retour au travail. Entre temps, deux postes que la plaignante estime pouvoir occuper devient disponibles, mais ne lui sont pas accordés. Plaignante intente des griefs reprochant à l’employeur d’avoir: discriminé en raison de son handicap, refusé son retour au travail et son accommodement, refusé de lui attribué le poste de son choix, abusé de son droit, d’harcèlement et de rétrogradation. DLA Piper (Canada) S.E.N.C.R.L. 17 Québec (Gouvernement du) (Service aérien gouvernemental) et Syndicat de la fonction publique et parapublique du Québec, 2014 TA 745 La décision de l’employeur n’est pas abusive, discriminatoire et ne constitue pas du harcèlement. La motivation de l’employeur était d’assurer la sécurité de son employé et éviter une récidive. Les délais à réintégrer la plaignante ne découlent pas uniquement de la conduite de l’employeur. DLA Piper (Canada) S.E.N.C.R.L. 18 Québec (Gouvernement du) (Service aérien gouvernemental) et Syndicat de la fonction publique et parapublique du Québec, 2014 TA 745 L’employeur n’avait pas l’obligation d’accommoder la plaignante en créant une fonction répondant à ses souhaits et respectant ses limitations. L’employeur n’avait pas l’obligation de renoncer à ses droit de gestion quant à la manière de remplir ses postes vacants, surtout vu que l’attribution de ces postes à la plaignante de façon privilégiée aurait été inéquitable envers les autres employés. La rétrogradation de l’employée était permise par la convention collective, et en créant un poste « rétrogradé » pour la plaignante, l’employeur s’est acquitté de son devoir d’accommodement. Voir aussi Syndicat des travailleuses et travailleurs du Centre de la santé et des services sociaux du Nord de Lanaudière et Centre de santé et des services sociaux du Nord de Lanaudière, D.T.E. 2013T-88 - L’accommodement d’un employé qui brime les droits des autres employés peut constituer une contrainte excessive. DLA Piper (Canada) S.E.N.C.R.L. 19 L’employeur n’est pas tenu de modifier l’horaire de travail pour accommoder la conciliation travailfamille Bouchard c. 9180-6166 Québec inc. Honda de la Capitale, 2015 QCCRT 31 Plaignante était directrice des services financiers pour un concessionnaire d’automobiles et est partie en congé de maternité. À son retour, elle a avise l’employeur qu’elle n’est plus disponible pour travailler le soir pendant une période indéterminée. Avant son congé, elle travaillait quatre soir par semaine. Elle demande une modification de son horaire, mais la direction refuse. Elle quitte quand même le travail à 16h00 dès son premier jour de retour. L’employeur lui impose des sanctions, mais elle quitte encore à 16h00 de façon répétée. DLA Piper (Canada) S.E.N.C.R.L. 20 L’employeur n’est pas tenu de modifier l’horaire de travail pour accommoder la conciliation travailfamille Bouchard c. 9180-6166 Québec inc. Honda de la Capitale, 2015 QCCRT 31 Face à cette situation, l’employeur congédie l’employée. La Plaignante dépose deux plaintes devant la CNT, l’une pour pratique interdite et l’autre pour congédiement sans cause juste et suffisante; Elle allègue que la situation de parentalité est comprise dans le motif de discrimination « état civil » énoncé à la Charte, et que l’employeur devait donc modifier son horaire afin de lui permettre une conciliation travail-famille. DLA Piper (Canada) S.E.N.C.R.L. 21 Bouchard c. 9180-6166 Québec inc. Honda de la Capitale, 2015 QCCRT 31 Le tribunal arrive à la conclusion que la plaignante n’a pas démontré qu’elle satisfait aux conditions lui donnant droit de s’absenter au maximum 10 jours par année pour remplir des obligations liées à la garde de son enfant selon la LNT. Il n’est pas question de congé pour obligations familiales mais d’un nouvel aménagement des heures de travail revendiqué par la plaignante. La situation de parentalité n’est pas comprise dans le motif « état civil » énoncé à l’article 10 de la Charte et elle ne pouvait donc pas exiger de l’employeur qu’il modifie son horaire afin de lui permettre de concilier travail et famille. Le congédiement imposé pour insubordination est justifié. DLA Piper (Canada) S.E.N.C.R.L. 22 RECOMMANDATIONS Vérifiez que le besoin d’accommodement est clair et qu’il ne s’agit pas plutôt d’un « souhait » ou d’une « préférence » de l’employé. Ayez une politique concernant les certificats médicaux et les examens médicaux indépendants. Informez vos employés de ces politiques (et de vos autres politiques) périodiquement et appliquez les politiques de manière uniforme et constante. Entreprenez des efforts réels et sérieux pour permettre le retour au travail. C’est votre responsabilité. Assurez-vous d’obtenir une opinion médicale adéquate et valide. Assurez-vous que vos accommodements ne briment pas les droits de vos autres employés. DLA Piper (Canada) S.E.N.C.R.L. 23 HOW TO BE REASONABLE IN YOUR ACCOMMODATIONS: A GUIDE FOR EMPLOYERS Presented by Tania da Silva and Melissa Gaul Montréal Employment and Labour Law Conference Wednesday, May 6, 2015 Caron v. Commission des lésions professionnelles, 2014 QCCS 2580 (CanLII) Article 49 of the Charter of Human Rights and Freedoms « confère un vaste pouvoir de redressement à la CLP lorsqu'une violation de la charte est constatée, notamment à l'égard des normes appliquées par l'employeur pour déterminer s'il existe un emploi convenable et même pour annuler le congédiement, le cas échéant. » DLA Piper The Basics (Canada) LLP 2 Hydro-Québec v. Syndicat des employé-e-s de techniques professionnelles et de bureau d'Hydro-Québec, section locale 2000 (SCFP-FTQ) [2008] 2 SCR 561, 2008 SCC 43 (CanLII) McGill University Health Centre v. Syndicat des employés de l'Hôpital général de Montréal, 2007 SCC 4 (CanLII) The situation should be assessed globally; The duty to accommodate is neither absolute nor unlimited; The employer must demonstrate that it cannot accommodate the complainant without suffering “undue hardship”; and The standard is “undue hardship”, not “impossiblity”. DLA Piper (Canada) LLP 4 The test set out in Meiorin is clarified by the Supreme Court of Canada: The standard has been adopted for a purpose rationally connected to the performance of the job; The employer adopted the standard in an honest and good faith belief that it was necessary to the fulfillment of a legitimate workrelated purpose; and The standard is reasonably necessary to accomplish a legitimate work-related purpose. The employee cannot be accommodated without undue hardship. DLA Piper (Canada) LLP 5 McGill University Health Centre v. Syndicat des employés de l'Hôpital général de Montréal, 2007 SCC 4 (CanLII) “The importance of the individualized nature of the accommodation process cannot be minimized. The scope of the duty to accommodate varies according to the characteristics of each enterprise, the specific needs of each employee and the specific circumstances in which the decision is to be made.” “[…] when an employer makes a proposal that is reasonable, it is incumbent on the employee to facilitate its implementation. If the accommodation process fails because the employee does not cooperate, his or her complaint may be dismissed.” “[…] the obligation of accommodation always rests with the employer who must demonstrate that he has evaluated the possible measures of accommodation and if he arrives at the conclusion that he cannot accommodate without suffering undue hardship, he must prove it.” DLA Piper (Canada) LLP 6 UNDUE HARDSHIP Plastiques TPI inc. et Syndicat des travailleurs du plastique de Coaticook (CSD), (Lucie Roy-Girard), D.T.E. 2005T-165 « Ne reste plus qu’à cerner la notion de « contrainte excessive » qui vient poser une limite à l’exercice du droit à l’égalité en matière d’emploi. Cette limite cherche à éviter que le droit fondamental de gestion de l’employeur en matière d’organisation du travail ne soit sérieusement compromis. » « L’obligation d’accommodement sans contrainte raisonnable n’oblige l’employeur à adapter son pouvoir discrétionnaire de gestion que dans la seule mesure où il lui est raisonnablement possible de le faire à l’intérieur de contraintes normales, par opposition à des contraintes excessives. » - Arbitre François Hamelin DLA Piper (Canada) LLP 7 The Scope of Medical Expertise Syndicat des employés des installations portuaires (TCA, section locale 1946) v. Rio Tinto Alcan inc, 2012 CanLII 51074 (QC SAT) Union’s motion to recognize a psychologist’s expertise in diagnosing compulsive gambling. The claimant was suspended and subsequently dismissed for having committed fraud or misappropriation of union and employee funds. During the pre-hearing conference, the union undertook to produce a psychiatric report in support of its compulsive gambling defense. The union then presented an expert report prepared by an individual with a doctorate in psychology. The employer objected. DLA Piper (Canada) LLP 9 Syndicat des employés des installations portuaires (TCA, section locale 1946) v. Rio Tinto Alcan inc, 2012 CanLII 51074 (QC SAT) « Le jeu pathologique est une maladie ou une pathologie qui doit être démontrée par l’administration d’une preuve médicale pertinente. » Making a medical diagnosis is an act reserved for physicians, pursuant to article 31 of the Medical Act (LRQ c M-9) and articles 31 to 34 of the Professional Code (LRQ c C-26). A psychologist may make a psychological diagnosis. DLA Piper (Canada) LLP 10 Medical Act, LRQ c M-9, article 31 31. The practice of medicine consists in assessing and diagnosing any deficiency in health and in preventing and treating illness to maintain or restore the health of a person in interaction with his environment. The following activities in the practice of medicine are reserved to physicians: (1) diagnosing illnesses; (2) prescribing diagnostic examinations; (3) using diagnostic techniques that are invasive or entail risks of injury […] Professional Code, LRQ c C-26, articles 31 to 34 Medicine is an exclusive profession and only members of this professional order may engage in a professional act reserved for said order. DLA Piper (Canada) LLP 11 Interior Health Authority and HEU (P. (R.)), Re (2013), 231 L.A.C. (4th) 119, 2013 Carswell BC 988 (B.C. Arb.) A care aide in Keremeos, British Columbia was dismissed after having viewed and downloaded pornography while at work. The computer in question belonged to the employer. The employer had policies regarding the use of computers and the Internet at work. The policies had been clearly communicated to the employee. The employee claimed to be suffering from a mental illness and that he had been diagnosed with “sexually compulsive behaviour regarding viewing pornography” following a screening test. DLA Piper (Canada) LLP 12 Interior Health Authority and HEU (P. (R.)), Re (2013), 231 L.A.C. (4th) 119, 2013 Carswell BC 988 (B.C. Arb.) “Sexual compulsivity” is not a diagnosis listed in the DSM-IV. The “screening tests” that were administered are not diagnostic tools. There was not convincing evidence that the employee was suffering from a disability at the time of his dismissal. The dismissal was justified according to the following factors, among others: He was entrusted with the care of elderly and vulnerable individuals; and, He failed to demonstrate that a less severe form of discipline would have had a corrective effect. DLA Piper (Canada) LLP 13 Syndicat du personnel de soins et de soutien du centre de santé et de services sociaux de Memphrémagog v. CSSS de Memphrémagog, 2014 CanLII 52199 (QC SAT) The complainant was a health and social services assistant. Beginning in August 2008, she was absent from work due to a disability caused by health problems related to a stroke. In July 2010, her physician recommended a gradual return to work, specifying the tasks which she could perform and those which she could not. Based on an assessment by a neurologist, the employer advised the union that it considered its duty to accommodate the complainant to have been met and that the employer believed that the complainant was not able to hold a position in its workplace. DLA Piper (Canada) LLP 14 Syndicat du personnel de soins et de soutien du centre de santé et de services sociaux de Memphrémagog v. CSSS de Memphrémagog, 2014 CanLII 52199 (QC SAT) « Il n’appartient pas au médecin d’évaluer les capacités d’accommodement de l’Employeur. Il s’agit d’une responsabilité qui incombe à l’Employeur. » In order to meet its duty to accommodate, the employer must demonstrate that it has undertaken serious and real efforts to allow for the return to work. DLA Piper (Canada) LLP 15 Certain Limits to the Obligation According to Recent Case Law The employer is not required to accommodate the employee’s preferences Québec (Gouvernement du) (Service aérien gouvernemental) et Syndicat de la fonction publique et parapublique du Québec, 2014 TA 745 The claimant was an aircraft maintenance technician and became incapable of performing her work tasks due to permanent functional limitations. The employer waited for the functional limitations identified in the employee’s medical certificate to be clarified by a medical expert’s report before allowing the employee to return to work. In the mean time, two positions that the claimant believed she could occupy became available, but were not grated to her. The claimant filed a grievance alleging that the employer: discriminated against her due to her handicap, refused her return to work and to accommodate her, refused to offer her the job of her choice, abused of its rights, harassed her and demoted her. DLA Piper (Canada) LLP 17 Québec (Gouvernement du) (Service aérien gouvernemental) et Syndicat de la fonction publique et parapublique du Québec, 2014 TA 745 The employer’s decision was not abusive or discriminatory, nor did it constitute harassment. The employer was motivated by its desire to ensure the security of its employee and to avoid a relapse. The delays in reinstating the employee were not solely due to the conduct of the employer. DLA Piper (Canada) LLP 18 Québec (Gouvernement du) (Service aérien gouvernemental) et Syndicat de la fonction publique et parapublique du Québec, 2014 TA 745 The employer was not obligated to accommodate the claimant by creating a position that responded to her preferences and respected her limitations. The employer did not have an obligation to renounce its management rights with respect to the way it filled its vacant positions, especially given that granting the positions to the claimant by preference would have been unfair to its other employees. The demotion of the employee was permitted under the collective agreement, and by creating a “downgraded” job for the claimant, the employer fulfilled its duty to accommodate. See also Syndicat des travailleuses et travailleurs du Centre de la santé et des services sociaux du Nord de Lanaudière et Centre de santé et des services sociaux du Nord de Lanaudière, D.T.E. 2013T-88 - The accommodation of an employee that infringes upon the rights of other employees can constitute undue hardship. DLA Piper (Canada) LLP 19 The employer is not obligated to modify its work schedules to accommodate a work-life balance Bouchard v. 9180-6166 Québec inc. Honda de la Capitale, 2015 QCCRT 31 The claimant was the Director of financial services for an automobile dealership and left on maternity leave. Upon her return, she informed her employer that she was no longer available to work during the evening for an indeterminate period of time. Before her leave, she worked 4 nights a week. She requested a modification to her schedule, which was refused by management. Nonetheless, she left work at 4pm on her first day back from leave. The employer imposed disciplinary sanctions, but she repeatedly continued to leave at 4pm. DLA Piper (Canada) LLP 20 The employer is not obligated to modify its work schedules to accommodate a work-life balance Bouchard v. 9180-6166 Québec inc. Honda de la Capitale, 2015 QCCRT 31 Faced with this situation, the employer dismissed the employee. The claimant filed two complaints with the CNT: one for prohibited practices and the other for dismissal without good and sufficient cause; She argued that being a parent was included under the “civil status” grounds of discrimination under the Charter, and that the employer should therefore modify her work schedule to allow a work-life balance. DLA Piper (Canada) LLP 21 Bouchard v. 9180-6166 Québec inc. Honda de la Capitale, 2015 QCCRT 31 The court held that the claimant failed to demonstrate that she satisfied the conditions granting her the right to be absent for up to 10 days per year due to family obligations related to the care of her child in accordance with the LNT. This was not a question of leave for family obligations, but rather a new work schedule arrangement sought by the claimant. Parental status is not included in the “civil status” grounds under Article 10 of the Charter, and cannot be used to obligate the employer to modify work schedules in order to allow a work-life balance. The dismissal for insubordination was justified. DLA Piper (Canada) LLP 22 RECOMMENDATIONS Confirm that there is truly a need to accommodate, rather than simply an employees “desire” or “preference”. Have a policy regarding medical certificates and independent medical examinations. Inform your employees of these policies (and of your other policies) periodically and apply them in a uniform and consistent manner. Make serious and real efforts to allow for the return to work. It is your responsibility. Make sure that you obtain medical opinions that are adequate and valid. Make sure that your accommodations do not infringe upon the rights of your other employees. DLA Piper (Canada) LLP 23 LA CONTINUITÉ DE L’APPLICATION DES NORMES DU TRAVAIL : Les articles 96 et 97 de la Loi sur les normes du travail Me Anne Des Roches Direction générale des affaires juridiques Commission des normes du travail Me Jessica Laforest RIVEST, TELLIER, PARADIS La Loi sur les normes du travail: son application Le but principal de la LNT est de déterminer les conditions de travail minimales qui se retrouvent automatiquement à l’intérieur d’un contrat de travail. Ces conditions de travail minimales sont des normes du travail (articles 39.1 à 92.1 LNT) et elles visent notamment: • Paiement du salaire • Durée du travail • Jour fériés, chômés, payés • Congés annuels • Période de repos • Absence maladie • Absence pour raisons familiales ou parentales • Prévention du harcèlement psychologique • Protection contre un congédiement sans cause juste et suffisante (art.124 LNT) La Loi sur les normes du travail: ses effets Toutes les conditions de travail qui dérogent à une norme du travail sont nulles de nullité absolue, même si elle sont prévues dans un contrat écrit auquel le salarié a adhéré de façon libre et volontaire (article 93 LNT). Un employeur qui passe un contrat avec un sous-entrepreneur ou un sous-traitant est responsable solidairement des obligations pécuniaires découlant de ce contrat (article 95 LNT). La Loi sur les normes du travail: ses effets (suite) Article 96 LNT: «L’aliénation ou la concession totale ou partielle d’une entreprise n’invalide aucune réclamation civile qui découle de l’application de la présente loi ou d’un règlement et qui n’est pas payée au moment de cette aliénation ou concession. L’ancien employeur et le nouveau sont liés solidairement à l’égard d’une telle réclamation.» La Loi sur les normes du travail : ses effets (suite) Article 97 LNT: L'aliénation ou la concession totale ou partielle de l'entreprise, la modification de sa structure juridique, notamment, par fusion, division ou autrement n'affecte pas la continuité de l'application des normes du travail. Entreprise ou employeur ? La LNT ne définit pas une ENTREPRISE, mais la jurisprudence nous fournit la définition suivante: «L'entreprise consiste en un ensemble organisé suffisant des moyens qui permettent substantiellement la poursuite en tout ou en partie d'activités précises. » (U.E.S., local 298 c. Bibeault, [1988] 2 R.C.S. 1048) Définition d’EMPLOYEUR : « Quiconque fait effectuer un travail par un salarié. » (art. 1(7) LNT) L’ENTREPRISE est donc exploitée par un EMPLOYEUR qui peut être une compagnie, une coopérative, une personne individuelle, etc. Le test de la continuité d’entreprise L’arrêt U.E.S., local 298 c. Bibeault, [1988] 2 R.C.S. 1048 a déterminé les 2 conditions fondamentales qui sont requises pour conclure à une continuité d’entreprise : 1. L'identification des éléments essentiels d'une entreprise lesquels doivent se retrouver, de façon suffisamment importante, chez le nouvel employeur; 2. Démontrer l’existence d’un lien de droit. Les éléments essentiels de l’entreprise Les éléments pris en considération doivent être orientés vers une certaine activité chez le premier employeur et se retrouver chez le second qui s'en sert, de façon identifiable, même si sa finalité commerciale ou industrielle est différente Contrairement à d’autres articles de loi semblable, la LNT exige le transfert de salariés. Chaque élément doit être pondéré selon son importance respective dans l’entreprise. Les éléments essentiels de l’entreprise (suite) Exemples d’éléments pris en considération par les tribunaux: - La clientèle - Les équipements - Le savoir-faire - Les biens en inventaire - Le lieu d’établissement (adresse, numéro de téléphone) - La raison sociale - Les brevets utilisés - Les fournisseurs - Le nom de domaine Internet - La publicité (brochures, etc) Le lien de droit Le lien de droit entre l’ancien et le nouvel employeur repose sur la transmission volontaire d’un droit de l’entreprise. Le lien de droit peut prendre différentes formes: - vente directe ou par l’intermédiaire d’une vente en justice - donation - legs - échange - etc. Quelques illustrations •Un restaurant ou un bar; •Une entreprise en faillite; •Deux sous-traitants successifs; •Une institution financière qui prend possession des actifs de l’entreprise dans le but de protéger ses droits et intérêts; 2015 Employment & Labour Law Conference - Montréal Wednesday, May 6, 2015 FEEDBACK FORM Thank you for attending our event today. Our goal is to make our conference as informative and relevant to participants as possible. Please take a few minutes to complete the following survey. Please note that this survey is anonymous and we appreciate your honesty. All comments will be used to assist in the planning of future events. About You What industry are you in? Please state: __________ Rating the Presentation Topics Topic: Breaking Up is Hard to Do: The Reality of Post-Employment Obligations in 2015 - Karen Bock Presentation Content: Relevancy of Topic: Excellent Very Good Good Fair Poor Comments: Topic: Employee or Independent Contractor: the Tax Dilemma - Héloise Renucci and Mark Potechin Presentation Content: Relevancy of Topic: Excellent Very Good Good Fair Poor Excellent Very Good Good Fair Poor Comments: Topic: How to Bullyproof your Workplace - Michael Richards Presentation Content: Relevancy of Topic: Comments: DLA Piper (Canada) LLP 1 Topic: Voulez-vous coucher avec moi? ♪ ♫ ♪ ♫ (Sexual Harassment in the Workplace) - Pablo Guzman and Lucy-Maude Lachance Presentation Content: Relevancy of Topic: Excellent Very Good Good Fair Poor Comments: Topic: Ontario Update: Recent Developments From the Centre of the Universe - Karen Bock Presentation Content: Relevancy of Topic: Excellent Very Good Good Fair Poor Comments: Topic: British Columbia Update: Recent Developments on the West Coast - Michael Richards Presentation Content: Relevancy of Topic: Excellent Very Good Good Fair Poor Comments: Topic: Alberta Update: Recent Developments - Wendy-Anne Berkenbosch Presentation Content: Relevancy of Topic: Excellent Very Good Good Fair Poor Comments: Topic: Québec Update: Recent Developments From La Belle Province - Melissa Gaul Presentation Content: Relevancy of Topic: Excellent Very Good Good Fair Poor Comments: DLA Piper (Canada) LLP 2 Topic: Ouch, That Hurts! Increasing Damages Awards - Wendy-Anne Berkenbosch Presentation Content: Relevancy of Topic: Excellent Very Good Good Fair Poor Comments: Topic: What's up doc? Amendments to the Canada Labour Code - André Giroux Presentation Content: Relevancy of Topic: Excellent Very Good Good Fair Poor Comments: Topic: Navigating the Waters of the New Temporary Foreign Worker Program - Julio Mena Excellent Very Good Good Fair Poor Presentation Content: Relevancy of Topic: Comments: Topic: How to be Reasonable in your Accommodations: A Guide for Employers - Tania Da Silva and Melissa Gaul Excellent Very Good Good Fair Poor Presentation Content: Relevancy of Topic: Excellent Very Good Good Fair Poor Presentation Content: Relevancy of Topic: Comments: Topic: The Continuity of a Company - Jessica Laforest Comments: DLA Piper (Canada) LLP 3 Rating the Conference Strongly Agree Somewhat Agree Neutral Somewhat Disagree Strongly Disagree The online invitation process was easy to follow: The reminder email provided helpful information: The Sheraton Centre Hotel was a convenient location with easy access: The materials provided are a good resource: The conference room set-up was comfortable: I would still attend if the conference was extended to a full day: Overall Perception Did your overall experience at today’s conference: Exceed your expectations Meet your expectations Fall below your expectations Yes No Is it likely you will attend the event next year? Are you likely to refer this event to a business colleague: Comments / Suggestions: DLA Piper (Canada) LLP 4 Conférence sur le droit de l’emploi et du travail - Montréal mercredi, mai 6, 2015 SONDAGE Nous vous remercions d’avoir participé à notre événement aujourd'hui. Notre objectif est de rendre notre conférence aussi instructive et pertinente que possible pour nos participants. Veuillez s’il-vous-plaît prendre quelques minutes afin de compléter le sondage suivant. Veuillez noter que ce sondage est anonyme et nous apprécions votre honnêteté. Tous les commentaires serviront à aider à la planification d'événements futurs. Parlez-nous de vous Dans quelle industrie travaillez-vous? Précisez : _________________________________________________ Classification des conférences Sujet : Se séparer n’est pas une mince affaire : Les obligations post-emploi en 2015 - Karen Bock Excellent Très Bien Bien Acceptable Mauvais Contenu de la présentation : Pertinence du sujet : Commentaires : Sujet : Employé ou travailleur indépendant : le dilemme fiscal - Héloise Renucci et Mark Potechin Contenu de la présentation : Pertinence du sujet : Excellent Très Bien Bien Acceptable Mauvais Commentaires : Sujet : Comment protéger votre milieu de travail contre l’intimidation - Michael Richards Contenu de la présentation : Pertinence du sujet : Excellent Très Bien Bien Acceptable Mauvais Commentaires : DLA Piper (Canada) S.E.N.C.R.L. 1 Sujet : Voulez-vous coucher avec moi? ♪ ♫ ♪ ♫ (harcèlement sexuel en milieu de travail) - Pablo Guzman et Lucy-Maude Lachance Contenu de la présentation : Pertinence du sujet : Excellent Très Bien Bien Acceptable Mauvais Commentaires : Sujet : Mise à jour de l’Ontario : Développements récents au centre de l’univers - Karen Bock Contenu de la présentation : Pertinence du sujet : Excellent Très Bien Bien Acceptable Mauvais Commentaires : Sujet : Mise à jour de la Colombie Britannique : Développements récents sur la côte ouest - Michael Richards Contenu de la présentation : Pertinence du sujet : Excellent Très Bien Bien Acceptable Mauvais Commentaires : Sujet : Mise à jour de Alberta : Développements récents - Wendy-Anne Berkenbosch Contenu de la présentation : Pertinence du sujet : Excellent Très Bien Bien Acceptable Mauvais Commentaires : Sujet : Mise à jour du Québec : Développements récents dans la Belle Province - Melissa Gaul Contenu de la présentation : Pertinence du sujet : Excellent Très Bien Bien Acceptable Mauvais Commentaires : DLA Piper (Canada) S.E.N.C.R.L. 2 Sujet : Ouch ça fait mal! L’octroi des dommages est à la hausse - Wendy-Anne Berkenbosch Contenu de la présentation : Pertinence du sujet : Excellent Très Bien Bien Acceptable Mauvais Commentaires : Sujet : Quoi de neuf docteur? Amendements au Code canadien du travail - André Giroux Contenu de la présentation : Pertinence du sujet : Excellent Très Bien Bien Acceptable Mauvais Commentaires : Sujet : Naviguer les eaux du nouveau programme de travailleurs étrangers temporaires - Julio Mena Contenu de la présentation : Pertinence du sujet : Excellent Très Bien Bien Acceptable Mauvais Commentaires : Sujet : Comment gérer vos accommodements raisonnables : un guide pour les employeurs - Tania Da Silva et Melissa Gaul Contenu de la présentation : Pertinence du sujet : Excellent Très Bien Bien Acceptable Mauvais Excellent Très Bien Bien Acceptable Mauvais Commentaires : Sujet : La continuité d'une entreprise - Jessica Laforest Contenu de la présentation : Pertinence du sujet : Commentaires : DLA Piper (Canada) S.E.N.C.R.L. 3 Classification de la conférence Fortement d’accord D’accord Neutre Pas d’accord Vraiment pas d’accord Le processus d'invitation en ligne était facile à suivre : Le courriel de rappel a fourni des informations utiles : l’Hotel Le Centre Sheraton était un emplacement idéal et facile d’accès : Le matériel fourni est utile : L'installation de la salle de conférence était confortable : J' assisterais également si la conférence était prolongée pour la journée complète : Perception Globale Globalement , avez-vous aimé l’expérience, de la conférence d’aujourd'hui : Dépassée vos attentes Répondue à vos attentes En deçà de vos attentes Oui Non Est-il probable que vous assisteriez à l'événement l'an prochain? Recommanderiez-vous cet événement à un collègue : Commentaires / Suggestions : DLA Piper (Canada) S.E.N.C.R.L. 4