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Questions about the Order to Pay Direct Provisions

What exactly does this provision do?

The Fair Workplaces, Better Job Act adds a new provision to Part XXII (Enforcement by Employment Standards Officers (ESOs) of the Employment Standards Act, 2000) under section 103 (1) (a.1) of the Ordering Provision. It also adds the same provisions under Complaints and Enforcement in the Employment Protection for Foreign Nationals Act. It provides an ESO with the power to order an employer to pay an employee directly.

Why is this significant?

The previous provisions in the Employment Standards Act, 2000 (ESA) and Employment Protection for Foreign Nationals Act, 2009 provided an officer the power to arrange to have the employer pay the employee directly, with an aim to have them receive their monies sooner rather than having the payment be processed and administered by the Employment Practices Brance of the Ministry of Labour. The new provision will enable the ESO to order the employer to pay the employee directly, whereas previously, an ESO was only able to order an employer to pay the Ministry of Labour’s Director of Employment Standards.

How is the new provision different from the existing provisions in the ESA?

The new provisions give the ESO the ability to have an employer pay an employee directly instead of paying the Director of Employment Standards. The new order will not have an administrative cost and the intent is that claimants will receive their outstanding wages within the 30 days after an officer issues this order. Both parties still have the right to apply for a review of this order, but it must be done within 30 days of the serving of this order.

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