Today, the Ontario government released the Interim Report by the Special Advisors of the Ontario Changing Workplaces Review, which seeks reforms to the Employment Standards Act and Labour Relations Act. One of the changes being considered is deeming franchisors to be employers of their franchisees' employees (also called joint or common-employer status).
The Interim Report is a summary of feedback received by the Special Advisors from interested parties. The interim Report specifically references "Joint Employer" in a number of areas.
CFA is currently reviewing the Interim Report and will provide a more detailed analysis and update on next steps in our lobbying efforts.
You can access the Interim Report here or a PDF copy here.
If joint-employer status is introduced into employment or labour relations legislation, it could drastically and detrimentally change the operational and legal relationships between franchisors, franchisees, and their employees.
It is important to note that the impact of the joint-employer issue being considered right now in Ontario is arguably more urgent and wide-ranging than what is being faced in the United States. The joint-employer issue in the United States is based on National Labor Relations Board (NLRB) decisions that potentially set precedents for future NLRB and court decisions. In Ontario, the government is considering changing the law, thereby changing the rules by which franchising has always operated. This would have a significant impact on your franchise agreements, your business, and your franchisees.
CFA is laser-focused on the joint-employer issue
and combatting detrimental, unintended consequences to franchising. As the national trade association for franchising, we are the only organization whose efforts are concentrated on joint employer as its top concern. The scope of the Changing Workplaces Review is wide ranging and CFA is a founding member of the Keep Ontario Working Coalition, an advocacy body of employer organizations, through which we are addressing other issues of importance to our members. A media release from the Keep Ontario Working Coalition will follow.
For more information about CFA's advocacy work on the Ontario Changing Workplaces Review, please contact Samantha Sheppard, Government Relations Specialist, at
ssheppard@cfa.ca
or call 1-800-665-4232 ext. 230.
