Wage fixing and no-poaching: Federal government releases enforcement guidelines

The federal government has published its enforcement guidelines for the wage-fixing and no-poaching agreements which will become illegal on June 23, 2023.

As of June 23, 2023, it is a criminal offense for employers to agree:

• To fix, maintain, decrease or control wages or other terms of employment; or
• To refrain from hiring or trying to hire one another’s employees.

In addition, all fines for offenses under the conspiracy provision — including agreements to fix prices, allocate markets, restrict supply, fix wages, or refrain from hiring — will be determined at the court’s discretion. Under the previous provision, fines were capped at a maximum of $25 million.