Changes To Federal Employment Standards Take Effect In July

Federally regulated employers will soon have new statutory obligations for reimbursing employment expenses and providing employment information to employees when amendments to the Canada Labour Code (“CLC”) take effect on July 9, 2023.

Reimbursement of reasonable work-related expenses

The amendments will require federally regulated employers to reimburse employees for reasonable work-related expenses.

Amendments to the Canada Labour Standards Regulations (the "Regulations") provide guidance on what expenses will be considered "work-related" and whether or not they are reasonable in the circumstances. Some of the factors include whether the expense enables the employee to perform their work, whether the employee incurred the expense in good faith and whether the expense was incurred for a legitimate business purpose and not for personal use or enjoyment.