In a recent blog post, we discussed key considerations for
employers in the face of new tariffs, including reviewing
employment contracts, layoff requirements, changes to employment
terms, and alternatives to dismissal.
In this blog post, we provide information specific to
Saskatchewan employers who are considering downsizing their
workforce.
What is considered a layoff in Saskatchewan?
In Saskatchewan, a layoff is defined as a temporary interruption
of an employee’s services for more than six consecutive
workdays. If the layoff extends beyond six days without the
employee being recalled, employers are required to provide notice
of layoff or termination, or pay in lieu of notice, depending on
the duration of employment and the number of employees
affected.
What are the individual notice requirements in
Saskatchewan?
The minimum amount of notice or pay in lieu of notice depends on
the length of employment with the organization. The notice
requirements are as follows:
Employees may be entitled to additional notice or pay in lieu of
notice based on an employment contract, employer policy or
collective bargaining agreement.
What are the group notice requirements in Saskatchewan?
In addition to individual notice periods, employers are required
to provide greater notice or pay in lieu of notice when terminating
the employment of 10 or more employees within any four-week period.
The minimum notice for a group termination is as follows:
Individual notice of layoff and group notice periods can be
provided concurrently.
Where a group termination occurs, employers are required to
provide written notice to the Minister of Labour Relations and
Workplace Safety that specifies the number of employees whose
employment will be terminated, the date(s) of their terminations
and the reason for the terminations. This notice must also be
provided to each impacted employee and any applicable union.
There are potential exclusions that can apply to group
termination requirements, including if the layoff is for 26 weeks
or less or if the layoff results from unforeseeable circumstances
preventing the performance of the contract. Each case will be
assessed on its own facts.
As noted in our previous blog, Bill 5, The
Saskatchewan Employment Amendment Act 2024 includes proposed
amendments to increase the minimum number from 10 to 25 employees
before an employer is required to comply with group termination
provisions. The proposed changes are not yet law. MLT Aikins will
continue to provide updates on the progress of the legislation and
when it comes into force.
Are layoffs different for unionized workplaces?
Employers should consult their collective agreement to review
obligations in the event of a layoff.
Employers may also have additional legislative obligations if it
moves work between its locations. There may be successorship or
organizational change provisions to address.
Employers may also have notification obligations to the union if
a decision has been made to temporarily lay off employees in the
future, especially if collective bargaining is ongoing.
Could employees claim their employment is terminated?
Employers should be aware the employees who are laid off may try
to claim that the layoff is really a termination. These employees
may seek to recover contractual or common law notice entitlements.
Each potential claim will be dealt with on a case-by-case
basis.
Are there additional considerations required for foreign
workers?
When facing a group termination, these rules apply to Canadian
citizens and permanent residents of Canada. When an employer has a
group termination and there are temporary foreign workers involved,
there may be additional regulatory and reporting items to
consider.
If you’re an employer with questions about terminations
involving temporary foreign workers, please reach out to our immigration team.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
