Originally, the Ontario Government’s Infectious Disease Emergency Leave (IDEL) was slated to end January 2, 2021, which would have meant that businesses who still were experiencing low sales could transition employees over the temporary lay-off provisions under the Employment Standards Act (ESA).
That is no longer the case. Ontario has issued an extension.
Ontario announced that for employers with non-unionized employees, the government is extending the “COVID-19 period” and regulatory changes brought forward under the Employment Standards Act to July 3, 2021. For employers continuing to experience a long-term decline in sales, this means:
- You can keep non-unionized employees on IDEL up until July 3, 2021, if the lay-off is for a COVID-related reason, like a downturn in sales.
- On July 3, 2021, you can move the employee over to the ESA’s temporary leave provisions. Barring other changes or program extensions, this would mean constructive dismissal would occur:
- For employees without paid benefits – 13 weeks after IDEL ends. A July 3, 2021 temporary lay-off means constructive dismissal under the ESA after October 2, 2021.
- For employees with paid benefits – 35 weeks after IDEL ends. A July 3, 2021 temporary lay-off means constructive dismissal under the ESA after March 5, 2022
For further information, please connect with Sebastian Prins at [email protected].