Precarious Employee Claims, Workplace Politics, Tariffs, Inflation Indexing and ESA Amendments
Each quarter, Spraggs Law publishes a curated selection of articles about trending HR and employment-related topics. This quarter, we cover recent and precarious employee claims, rulings, and developments expected to shape similar cases in BC, as well as recent ESA amendments aimed at eliminating the need for sick notes. This is followed by an outline for employers on the ethical use of AI in the workplace. We also review a recent case involving a workplace whistleblower and offer ways BC employers can prevent political discourse from wreaking havoc on workplace morale. Finally, we conclude this quarter’s curated selection with potential implications and recently announced support surrounding U.S.-imposed tariffs affecting local businesses, as well as a review of whether or not employers should adopt inflation indexing.
Precarious Cases, Rulings and Developments Shaping BC Employment Law
Mental health ruling highlights employers’ need for vigilance
Earlier this month, Spraggs Law published an article about a recent BC Supreme Court ruling that has redefined employer responsibilities regarding mental stress claims under the Workers’ Compensation Act. The decision narrows the “Labour Relations Exclusion,” enabling employees to more easily file claims linked to unreasonable or discriminatory employer actions. As a result, employers must now practice extra vigilance when managing employment decisions and crafting workplace policies to ensure their decisions and policies consider employee mental health.
ESA amendments will eliminate the need for employees to provide sick notes
Recent amendments to British Columbia’s Employment Standards Act (Bill 11) aim to alleviate the administrative burden on healthcare providers by eliminating the need for sick notes from employees for short-term absences from work. This change, advocated by healthcare professionals, allows practitioners to focus more on patient care rather than paperwork. The regulations will be implemented by fall 2025, streamlining processes and enhancing the efficiency of the healthcare system, ultimately benefiting both patients and providers.
Be wary when crafting your remote work agreements
While this particular case took place in Ontario, it remains to be seen how the court’s ruling could affect similar cases in other provinces, including BC. An Ontario small claims court has ruled that an employer’s request for an employee to return to in-person work after a prolonged remote arrangement can constitute constructive dismissal. The remote employee in question, who worked remotely due to her spouse’s military posting, successfully claimed that her employer’s ultimatum breached the fundamental terms of her employment. This decision underscores the importance of clearly defined remote work agreements to mitigate legal risks for employers in similar situations.
Is your company’s use of AI inadvertently breaching the rights of your employees?
In case you missed it, in February, we addressed the intricate interplay between workplaces’ use of artificial intelligence and employee privacy laws in British Columbia. As AI increasingly shapes workplace practices, employers must navigate legal frameworks, including PIPA and PIPEDA, to safeguard employee data. Our article highlights best practices for ethical AI implementation, emphasizing transparency, compliance, and the importance of human oversight. By proactively addressing these challenges, businesses can leverage AI’s advantages while upholding their legal obligations and fostering employee trust.
Workplace Politics: Balancing Employers’ Best Interests and Employees’ Rights
Preventing political chaos in the workplace during elections and beyond
In an era of heightened political polarization, navigating workplace discourse is increasingly challenging for employers in British Columbia. Our recent article offers employers guidance on fostering respectful communication while balancing employees’ rights to personal expression. It highlights best practices for establishing clear policies, promoting inclusivity, and managing politically charged discussions, especially during federal elections.
Defining the line between a workplace whistleblower’s rights and their employer’s obligations
In politically charged workplaces, employers must tread carefully in wrongful dismissal cases, balancing their legal obligations with public scrutiny. In addition, employees need to understand the difference between their personal legal rights, public interest and their employer’s contractual obligations and limitations. A recent Financial Post article emphasizes the importance of understanding the distinction between wrongful dismissal claims and whistleblower protections. It advises employers to focus on contractual compliance while encouraging employees with concerns about misconduct to utilize appropriate reporting channels.
Workforce Implications and Potential Solutions Surrounding Tariffs
Avoiding mass layoffs and constructive dismissal claims following tariffs
There’s little doubt that the U.S.-imposed tariffs on Canadian exports (and Canada’s retaliatory tariffs on certain American imports) will affect Canadian businesses and force employers to pivot in ways that may have implications for their workforce. A recent article by Canadian HRReporter addresses the potential economic impact of U.S. tariffs on Canadian employers. It suggests revisiting and potentially revising employment contracts while emphasizing the necessity of adhering to employment laws to mitigate the risk of constructive dismissal claims. It also outlines strategies for managing workforce reductions, including registering for the federal Work-Share Program to mitigate temporary layoffs and terminations.
New support measures announced for Canadian businesses affected by U.S.-imposed tariffs
On April 15th, 2025, Canada’s Minister of Finance announced new support measures for Canadian businesses affected by U.S. tariffs. Key initiatives include a performance-based remission framework for automakers, temporary tariff relief for U.S. goods crucial to Canadian manufacturing and public health, and the launch of the Large Enterprise Tariff Loan Facility to aid struggling large businesses. These measures aim to strengthen Canada’s economy and reduce reliance on U.S. suppliers amidst ongoing trade tensions.
Inflation indexing pros and cons for BC employers
With inflation remaining a significant concern in Canada and globally, employers in British Columbia face important decisions about how to manage compensation for employees. One emerging question is whether employers should index employment contracts to reflect inflation rates. Our article this month examines what inflation indexing is, recent legislative changes in British Columbia, and the advantages and disadvantages for employers considering this approach.
Do You Have HR or Employment Law Related Questions?
If you have questions about human resources and employment law for our team at Spraggs Law, we’d love to hear from you. Give us a call at (604) 359 1613 or contact us online today.
Please note: This article does not contain legal advice. If you would like advice on your specific situation, please contact Spraggs Law.