Government Contract Wages Act, 2018, S.O. 2018, c. 9 - Bill 53

JurisdictionOntario
Bill Number53
Date08 May 2018

EXPLANATORY NOTE

This Explanatory Note was written as a reader’s aid to Bill 53 and does not form part of the law. Bill 53 has been enacted as Chapter 9 of the Statutes of Ontario, 2018.

The Government Contract Wages Act, 2018 is enacted. The Act provides for the establishment of minimum government contract wages that shall be paid for building cleaning work and security services work provided for buildings owned and occupied by or, where prescribed, leased by, government entities, and for construction work provided under contracts with government entities.

At least the applicable minimum government contract wages shall be paid for building cleaning work and security services work if an order is made establishing such wages before the relevant contract was entered into or renewed. For construction work, at least the applicable minimum government contract wages shall be paid if the order is made before the procurement process for the contract commences or, if there is no procurement process, before the contract is entered into. The wages that shall be paid are at least the applicable minimum government contract wages at the time the employee performs the work.

The Act provides that a Director of Government Contract Wages may be appointed. The Director may establish different minimum government contract wages for various situations and may amend the wages. Employers may not contract out of the Act and may not treat an employee as if they were not an employee under the Act. Prohibitions against reprisal are set out.

Employers are required to record the specified information about wages to which the Act applies, including information about subcontracting, and to provide the prescribed information to the Director of Government Contract Wages and to subcontractors.

Provision is made for the enforcement of these rights and duties by means of complaints to the Ministry of Labour. The process is analogous to the enforcement process under the Employment Standards Act, 2000, and several provisions of that Act are incorporated by reference into the Act. Employment standards officers are authorized to make orders and to issue notices of contravention, among other powers. Those orders and notices can be reviewed by the Ontario Labour Relations Board.

The powers and duties of the Director of Employment Standards and of employment standards officers under the Act are specified. Employment standards officers are permitted to undertake inspections and investigations, and can require employers to post notices. Provision is made for the collection of amounts owing under the Act.

It is an offence to contravene the Act or to fail to comply with an order issued under the Act. Provision is made for penalties for these contraventions. Provision is also made for additional consequences to be imposed in connection with particular classes of contraventions.

Related regulation-making powers and other miscellaneous provisions are included.

chapter 9

An Act respecting the establishment of minimum government contract wages

Assented to May 8, 2018

contents

Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:

General

Interpretation

1 (1) In this Act,

“agent” has the same meaning as in subsection 1 (1) of the Employment Standards Act, 2000; (“mandataire”)

“Board” means the Ontario Labour Relations Board; (“Commission”)

“building cleaning work” means all cleaning work related to the interior of a building and exterior window cleaning, but otherwise does not include cleaning work that relates to the exterior of a building; (“travail de nettoyage de bâtiment”)

“construction project” means a project in the construction industry where the businesses are engaged in constructing, altering, decorating, repairing or demolishing buildings, structures, roads, sewers, water or gas mains, tunnels, bridges, canals or other works at the site, and where the project falls within one of more of the following sectors referred to in the definition of “sector” in subsection 126 (1) of the Labour Relations Act, 1995:

1. The industrial, commercial and institutional sector.

2. The sewers and watermains sector.

3. The roads sector.

4. The heavy engineering sector; (“projet de construction”)

“director” means a director of a corporation and includes a shareholder who is a party to a unanimous shareholder agreement; (“administrateur”)

“Director of Employment Standards” means the Director of Employment Standards appointed under the Employment Standards Act, 2000; (“directeur des normes d’emploi”)

“Director of Government Contract Wages” means the Director of Government Contract Wages referred to in subsection 26 (1); (“directeur des salaires pour les marchés publics”)

“employee” has the same meaning as in subsection 1 (1) of the Employment Standards Act, 2000; (“employé”)

“employer” has the same meaning as in subsection 1 (1) of the Employment Standards Act, 2000; (“employeur”)

“employment contract” has the same meaning as in subsection 1 (1) of the Employment Standards Act, 2000; (“contrat de travail”)

“employment standards officer” has the same meaning as in the Employment Standards Act, 2000; (“agent des normes d’emploi”)

“government entity” means,

(a) the Crown in right of Ontario, including any ministry of the Government of Ontario,

(b) any public body prescribed under the Public Service of Ontario Act, 2006, and

(c) any prescribed body or class of bodies that directly or indirectly receives public funds. (“entité gouvernementale”)

“minimum government contract wages” means the minimum government contract wages established under section 4; (“salaire minimum pour les marchés publics”)

“Minister” means the member of the Executive Council to whom responsibility for the administration of this Act is assigned under the Executive Council Act; (“ministre”)

“Ministry” means the ministry of the Minister; (“ministère”)

“person” includes a trade union; (“personne”)

“prescribed” means prescribed by the regulations; (“prescrit”)

“regulations” means the regulations made under this Act; (“règlements”)

“trade union” has the same meaning as in subsection 1 (1) of the Employment Standards Act, 2000; (“syndicat”)

“wages” has the same meaning as in subsection 1 (1) of the Employment Standards Act, 2000 and includes minimum government contract wages. (“salaire”)

No derogation from Employment Standards Act, 2000

(2) Nothing in this Act derogates from any rights or protections an employee may have or obligations or responsibilities an employer may have under the Employment Standards Act, 2000.

Proceedings under the Employment Standards Act, 2000

(3) Minimum government contract wages shall be considered wages under an employment contract for the purposes of any proceedings, orders, notices or offences under the Employment Standards Act, 2000.

Minister responsible

2 The Minister is responsible for the administration of this Act.

Minimum Government Contract Wages

Obligation to pay minimum government contract wages

3 (1) An employer who pays wages to which this Act applies shall pay at least the applicable minimum government contract wages in accordance with this Act.

Application of Act

(2) This Act applies with respect to wages paid by an employer to an employee,

(a) for work in relation to a construction project provided under a contract with a government entity, including work provided under any subcontract to that contract; or

(b) for building cleaning work or security services work provided under a contract with any person,

(i) for a building owned and occupied by a government entity, or

(ii) for all or the part of a prescribed building leased to a government entity.

Limit re construction work

(3) This Act applies to wages for work described in clause (2) (a) only if an order has been made and published under section 4 establishing applicable minimum government contract wages before the date the procurement process for the contract with the government entity commences or, if there is no procurement process, before the date the contract with the government entity is entered into, and any order made after that date does not apply to work provided under the contract or any subcontract to that contract.

Examples, procurement process

(4) For the purposes of subsection (3), examples of the commencement of a procurement process include the making of a request for qualifications, a request for proposals or a call for tenders.

Limit re cleaning, security work

(5) This Act applies to wages for work described in clause (2) (b) only if an order has been made and published under section 4 establishing applicable minimum government contract wages before the date the contract for the work is entered into, or if the contract is renewed, the date it is renewed, and any order made after that date does not apply to work provided under the contract.

Most recent wage applicable

(6) If this Act applies to wages for work pursuant to subsection (3) or (5), the wages that shall be paid are at least the applicable minimum government contract wages established in the order under section 4 that was most recently made and published at the time the employee performed the work.

Order revoked

(7) If an order under section 4 establishing applicable minimum government contract wages with respect to work described in subsection (2) is revoked, then no minimum government contract wages apply in respect of any such work performed by an employee on or after the date the order is revoked.

Exception, only work in Ontario

(8) For greater certainty, this Act does not apply with respect to wages for work done outside Ontario.

Establishment of minimum government contract wages

4 (1) The Director of Government Contract Wages may make orders establishing minimum government contract wages.

Different types of work, different parts of province

(2) The...

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