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5 things your employer can’t legally do in Canada, according to an employment lawyer

My employment law firm often hears from Canadians who have experienced changes to their job or issues in their workplace that raise serious questions.

In many cases, the employer is doing something that is either immoral or completely against the laws set forth by provincial legislation, our common law court system or both.

Here are just some of the things that your employer legally can’t do in Canada — but may try to do anyway.

1. Force you to retire or quit your job

You are the only one who can decide if you want to resign or retire from your job. Both steps are considered voluntary, unilateral decisions, and it’s illegal for your employer to make that decision. Unless you have personally told the company that you are walking away from your job, they can’t push you out.

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A forced resignation or retirement can be viewed as a termination of your employment, at which point your employer must give you a full severance package.

Depending on the reason why you were forced out, the company may also owe you human rights damages. That is because it is illegal for an employer to let someone go for discriminatory reasons, like their age, gender or ethnicity.

READ MORE: What happens if your employer forces you to quit your job?

2. Refuse to pay you for overtime you have already worked

It is always good practice to seek permission from your employer to work overtime to complete a task or project.

What you (and many companies) may not realize, however, is that you must be paid for any legitimate overtime hours you have worked — even if that extra time wasn’t originally approved by your manager or supervisor. Your employer can’t refuse to pay because they weren’t aware of the additional hours.

Breaking news from Canada and around the world sent to your email, as it happens.

If your employer refuses to compensate you for overtime you already worked, you may be able to treat their behaviour as a constructive dismissal and resign from your job with severance pay.

READ MORE: Working longer hours this year? What to know about overtime pay in Ontario and B.C.

3. Create a toxic work environment

It is illegal for your employer to expose you to a toxic work environment or to fail to take proper steps to eliminate problems in the workplace.

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If you make the company aware of harassment or abuse by a manager or coworker, they have a legal obligation to fix the issue. An employer can’t ignore the problem or trivialize its impact on staff; the matter should be investigated and remedied.

Any company that chooses to avoid their moral and legal obligation to provide a healthy work environment could find themselves on the receiving end of a constructive dismissal claim and a potential human rights complaint.

READ MORE: Can you make a long-term disability claim to get out of a toxic work environment?

4. Treat you like a contractor when you are actually an employee

Are you referred to as a contractor or independent contractor by the company you work for? You may have been misclassified and could actually be an employee of that company.

There are key indicators, such as who sets your hours of work and who owns the tools you use to conduct your job, that determine if you are technically employed.

My firm developed the free, confidential Pocket Employment Lawyer tool to help make the distinction between employee and contractor clearer. Our legal system makes this determination; it is not up to your employer or their employment contract to decide if you are an employee or not.

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Some employers label workers as contractors to avoid responsibility for vacation and holiday pay, overtime and minimum wage.

I have also seen many companies use the designation to try to avoid paying severance when they let employees go. If you lose your job after working as a contractor, you could still be entitled to full severance if it turns out you were legally viewed as an employee.

READ MORE: What the Uber class-action decision means for independent contractors

5. Give you less severance than what the law says you are entitled to

Our laws are quite clear when it comes to severance and what somebody should receive when they lose their job.

A severance package isn’t simply one week’s pay, two weeks’ pay or a week for every year you worked. A person’s full compensation, involving both provincial and common law considerations, is tallied using a variety of factors, like their age, length of service with their employer, position, salary, benefits and their ability to secure a new job. Some employees are entitled to as much as 24 months’ pay in severance.


Is your employer doing something you don’t agree with? Not sure if they can legally make a change to your job?

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Contact the firm or call 1-855-821-5900 to secure assistance from an employment lawyer in Ontario, Alberta or British Columbia. Get the advice you need — and the compensation you deserve.

Lior Samfiru is an employment lawyer and partner at Samfiru Tumarkin LLP, Canada’s most positively reviewed law firm specializing in employment law and long-term disability claims. He provides free advice as the host of Canada’s only Employment Law Show on TV and radio.

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