{"id":55934,"date":"2026-09-28T14:17:00","date_gmt":"2026-09-28T18:17:00","guid":{"rendered":"https:\/\/www.millerthomson.com\/?p=55934"},"modified":"2026-09-29T15:11:18","modified_gmt":"2026-09-29T19:11:18","slug":"employment-in-canada-what-every-foreign-employer-must-know-before-hiring","status":"publish","type":"post","link":"https:\/\/www.millerthomson.com\/en\/insights\/publications\/doing-business-in-canada\/employment-in-canada-what-every-foreign-employer-must-know-before-hiring\/","title":{"rendered":"Employment in Canada: What every foreign employer must know before hiring\u00a0"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\"><strong>Who this is for: <\/strong>HR directors, GCs, CFOs, and operations leads at foreign companies hiring Canadian employees, establishing Canadian operations, or managing a Canadian workforce.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>The assumption that creates the most expensive employment disputes<\/strong>: Foreign companies, particularly U.S.-based ones, enter Canada assuming that employment practices that are legal and standard at home will work in Canada. They frequently do not. At-will termination does not exist in Canada. Random drug testing is generally prohibited. Non-compete clauses are largely unenforceable in most provinces. Termination provisions that are standard in U.S. offer letters routinely fail Canadian legal scrutiny and expose employers to common law reasonable notice claims that can reach two years of compensation for a senior employee. And the federal and provincial divide means that a single Canadian workforce may be subject to two entirely different regulatory regimes depending on the industry the employer operates in. The cost of discovering these differences after the first Canadian termination dispute, or after the first human rights complaint, is substantially higher than the cost of building the right framework before the first Canadian hire.\u00a0<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Employment relationships in Canada are affected by various sources, including:\u202f&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Legislation:<\/strong>\u202fProvincial and federal statutes regulate all aspects of employment, including minimum employment standards, human rights and accessibility, occupational health and safety, workers\u2019 compensation, and benefits\/pensions. Labour law legislation in each jurisdiction also regulates workplace relations and collective bargaining between employers and unions.\u202f\u202f<\/li>\n\n\n\n<li><strong>Contracts:<\/strong>\u202fEmployers and employees are free to negotiate the contractual terms and conditions of the employment relationship, as long as these terms do not fall below the minimum standards established by employment-related legislation.\u202f\u202f&nbsp;<\/li>\n\n\n\n<li><strong>Common Law:<\/strong>\u202fIn all Canadian jurisdictions except Quebec (where employment is governed by the rules set out in the Civil Code), the common law (i.e., judge-made law) incorporates implied rights and obligations into employment relationships, such as the obligation to provide employees with \u201creasonable notice\u201d of termination of employment absent a limiting provision in their employment contract, unless there is just cause for summary dismissal. A similar right to reasonable notice is required in Quebec, as set out in the Civil Code.\u202f&nbsp;<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>In this article<\/strong>:<\/p>\n\n\n\n<div class=\"wp-block-columns is-layout-flex wp-container-core-columns-is-layout-8d39b2df wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\">\n<ul class=\"wp-block-list\">\n<li><a href=\"#jurisdiction\">Jurisdiction of employment<\/a><\/li>\n\n\n\n<li><a href=\"#employment-standards\">Employment standards legislation<\/a><\/li>\n\n\n\n<li><a href=\"#human-rights\">Human rights and accessibility<\/a><\/li>\n\n\n\n<li><a href=\"#termination\">Termination of employment<\/a><\/li>\n\n\n\n<li><a href=\"#ohs\">Occupational health and safety<\/a><\/li>\n\n\n\n<li><a href=\"#workers-compensation\">Workers\u2019 compensation legislation&nbsp;<\/a><\/li>\n<\/ul>\n<\/div>\n\n\n\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\">\n<ul class=\"wp-block-list\">\n<li><a href=\"#unionization\">Unionization<\/a><\/li>\n\n\n\n<li><a href=\"#privacy\">Privacy\u202f<\/a><\/li>\n\n\n\n<li><a href=\"#benefits\">Employment benefits<\/a><\/li>\n\n\n\n<li><a href=\"#quebec\">Language requirements in the workplace (Quebec only)<\/a><\/li>\n\n\n\n<li><a href=\"#takeaways\">Key takeaways<\/a><\/li>\n<\/ul>\n<\/div>\n<\/div>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link wp-element-button\" href=\"https:\/\/www.millerthomson.com\/en\/insights\/publications\/doing-business-in-canada\/\">Read more on Doing Business in Canada<\/a><\/div>\n<\/div>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\" id=\"jurisdiction\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" style=\"padding-top:var(--wp--preset--spacing--medium)\">1. Jurisdiction of employment&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\" id=\"employment-standards\">The default rule is that provincial governments have exclusive authority to regulate labour and employment law within their borders. However, due to the way in which Canada\u2019s constitution divides powers between the provincial and federal governments, employment in certain industries (such as banking, interprovincial transportation, and telecommunications) is regulated solely by the federal government. Employers who are provincially regulated for employment law purposes will be subject to provincial employment standards, health and safety, labour relations, and human rights legislation, while federally regulated employers will be subject to federal legislation, such as the <a href=\"https:\/\/laws-lois.justice.gc.ca\/eng\/acts\/l-2\/\" target=\"_blank\" rel=\"noreferrer noopener\"><em>Canada Labour Code<\/em><\/a>.\u202fConfirming your jurisdictional status before your first Canadian hire is essential.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">2. Employment standards legislation&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Legislation in each jurisdiction (i.e., each province and territory, and the federal sector) establishes the minimum employment standards that apply to work performed in that jurisdiction. These statutes cover subjects such as minimum wage, overtime pay, hours of work, holidays, vacation and various paid and unpaid leaves of absence (e.g., sick leave, parental leave, bereavement leave, compassionate care leave, organ donor leave, etc.). Employers cannot contract out of these minimum entitlements.\u202f\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Overtime:<\/strong> The manner in which an employee is paid (i.e., whether on a salaried or hourly basis) does not affect an employee\u2019s entitlement to statutory overtime pay in Canada. Rather, exemptions from statutory overtime pay are generally tied to the employee\u2019s job functions; for example, many jurisdictions exempt professionals (lawyers, information technology professionals, etc.) and managerial and supervisory employees from entitlement to statutory overtime pay.\u202fForeign employers who apply U.S.-style salaried-exempt classifications to Canadian employees may be misclassifying those employees and exposing themselves to retroactive overtime claims.\u00a0<\/p>\n\n\n\n<p class=\"wp-block-paragraph\" id=\"human-rights\"><strong>Minimum wage: <\/strong>Minimum wage rates vary by province and territory and are adjusted periodically. Foreign employers should confirm the current minimum wage in each province where Canadian employees work. For instance, federal minimum wage applies to federally regulated employees, and provincial minimums apply to all others.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">3. Human rights and accessibility&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The\u202f<a href=\"https:\/\/www.justice.gc.ca\/eng\/csj-sjc\/rfc-dlc\/ccrf-ccdl\/\" target=\"_blank\" rel=\"noreferrer noopener\"><em>Canadian Charter of Rights and Freedoms<\/em><\/a> establishes equality rights which constrain the actions that the government may take. It does not apply to private businesses.\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Each jurisdiction has human rights legislation which prohibits employers from discriminating against an individual in employment on the basis of protected grounds.\u202f Protected grounds differ between jurisdictions, but include characteristics such as race, ancestry, place of origin, colour, ethnic origin, citizenship, creed\/religion, sex, gender expression, gender identity, sexual orientation, age, record of offences, marital status, family status, and disability (which includes mental health disorders, addiction, etc.). The law prohibits direct discrimination of individuals on these grounds, as well as \u201cconstructive\u201d or adverse effect discrimination, where a seemingly neutral rule has the effect of subjecting a group to unequal treatment.\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Employers have a duty to accommodate employees\u2019 needs in relation to their protected personal characteristics, up to the point of undue hardship. Accommodations most commonly relate to the protected grounds of disability, sex (pregnancy), family status, and creed\/religion. Examples of workplace accommodations include changing an employee\u2019s work schedule, modifying their job duties, and\/or permitting a leave of absence.\u202f\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Each province, and the federal government, has established human rights commissions or tribunals to process human rights complaints. Individuals who believe that they have experienced unlawful discrimination may file a complaint with the applicable body. Alternatively, individuals may sometimes be able to allege contraventions of human rights legislation in court proceedings (for example, as part of a wrongful dismissal lawsuit).\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\" id=\"termination\">Several Canadian jurisdictions have implemented, or are in the process of implementing, accessibility standards with the goal of making it easier for individuals with disabilities to access goods, services, and employment. Currently, accessibility legislation in Ontario, Manitoba and Canada requires employers to, among other things, provide employees with training on the accessibility standards (e.g., on providing accessible customer service) and to share employment-related information in accessible formats. Larger employers must also submit accessibility compliance reports to the provincial government at regular intervals.\u202f\u202f&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">4. Termination of employment&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">This is the area of Canadian employment law that most consistently surprises and most expensively catches foreign employers unprepared.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Generally, non-union employee may be terminated by the employer \u201cfor cause\u201d or without cause providing they are provided with proper advance notice.\u202f Employees in Quebec and federally-regulated businesses have certain just cause protections, similar to unionized employees.\u202f\u202f\u202f&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Termination without cause \u202f&nbsp;<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">When employment is terminated without cause, employees will be entitled to, at minimum:&nbsp;&nbsp;<\/p>\n\n\n\n<ol start=\"1\" style=\"list-style-type:lower-roman\" class=\"wp-block-list\">\n<li>any contracted-for entitlements set out in their employment agreement, and&nbsp;&nbsp;<\/li>\n\n\n\n<li>statutory notice of termination or payment in lieu thereof, along with other entitlements such as statutory severance pay, benefits continuation, etc., as may be required by the applicable employment standards legislation.\u202f\u202f&nbsp;<\/li>\n<\/ol>\n\n\n\n<p class=\"wp-block-paragraph\">In large group terminations, the minimum statutory notice entitlements are higher. In addition, notice of large group terminations must be provided to the government.\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Common law reasonable notice:<\/strong> In Canada, the common law (i.e., judge-made law) implies an obligation for an employer to provide employees with \u201creasonable notice\u201d of the termination of employment, absent an express term in an employment agreement that limits an employee\u2019s entitlement to same.\u202f&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The calculation of reasonable notice depends on such factors as the employee\u2019s age, position, salary, years of service, likelihood of securing alternative employment. Reasonable notice is inclusive of the minimums, and generally maxes out at two years\u2019 notice for long service management employees.\u202f If less notice is provided, courts on a wrongful dismissal action will generally award damages to put the employee in the same position they would have been in if actively working during that time, minus any amounts the employee earned from new employment during that period.\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Termination provisions:<\/strong> An employee\u2019s entitlement to reasonable notice of termination at common law can be limited via a termination provision in their employment agreement. Care is needed when drafting such provisions, as Canadian courts subject termination provisions in employment agreements to heavy scrutiny. If any part of a termination provision contravenes applicable employment standards legislation, even inadvertently, the entire provision will be declared void and unenforceable and the employee will be entitled to reasonable notice of termination at common law.\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Quebec<\/strong>: In Quebec and unlike the common law jurisdictions, employees cannot contract out of their right to reasonable notice under the Civil Code of Quebec upon signing the employment agreement. In Quebec and Nova Scotia, employees who believe that their employments have been unlawfully terminated may file a claim and seek reinstatement as a remedy under employment standards legislation. Reinstatement is also an available remedy under the <em>Canada Labour Code<\/em>.\u202f&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Termination for cause\u202f&nbsp;<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Alternatively, an employee who has engaged in severe misconduct (i.e., conduct that fundamentally breaches the essential terms of the employment relationship, or otherwise renders continued employment impossible) may be terminated on a summary basis for \u201cjust cause\u201d. Just cause for termination is a high threshold. In most jurisdictions, the employment standards legislation contains a similar exemption for conduct amounting to \u201cjust cause\u201d, \u201cwillful misconduct\u201d or \u201cserious reason\u201d for termination.\u202f\u202fThe bar for summary dismissal in Canada is significantly higher than in most U.S. jurisdictions. Progressive discipline, documentation, and proportionality of response are all relevant factors. Employers should obtain legal advice before proceeding with any termination for cause, as a failed just cause termination typically results in an award of reasonable notice damages plus potential punitive damages for the manner of dismissal.\u00a0<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In Quebec, employees with two or more years of service may challenge their termination for performance related reasons under a government tribunal which provides a free lawyer, and may have a right to reinstatement.\u202f Federally-regulated non-management employees with more than one year of service have a similar right.\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\" id=\"ohs\">Due to the nuances in this area, employers should obtain legal advice before proceeding with a termination for cause.\u202f&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">5. Occupational health and safety&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Each jurisdiction has established occupational health and safety legislation to keep workers and the public safe. This legislation imposes rights and duties upon employers, supervisors, owners, and employees, including:\u202f&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>an obligation to take every precaution reasonable in the circumstances to protect the health and safety of workers;\u202f&nbsp;<\/li>\n\n\n\n<li>the right for workers to refuse unsafe work;\u202f&nbsp;<\/li>\n\n\n\n<li>the requirement to establish workplace health and safety committees;\u202f&nbsp;<\/li>\n\n\n\n<li>prohibitions on reprisal against an employee for raising a workplace health and safety complaint;\u202f\u202f&nbsp;<\/li>\n\n\n\n<li>the requirement to provide adequate training to workers and supervisors;\u202f&nbsp;<\/li>\n\n\n\n<li>the requirement to report workplace accidents to the appropriate government body; and\u202f&nbsp;<\/li>\n\n\n\n<li>the requirement to establish policies and procedures to prevent and investigate incidents of workplace violence and harassment.\u202f&nbsp;<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\" id=\"workers-compensation\">An employer\u2019s breach of workplace safety requirements can result in substantial fines and\/or imprisonment (including, in some jurisdictions, against directors and officers personally).\u202f\u202f&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">6. Workers\u2019 compensation legislation&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Each jurisdiction has established a no-fault worker\u2019s compensation system to compensate employees who are injured in the course of their employment. These programs are funded by employer-paid premiums, with applicable rates generally being determined on the basis of factors like the employer\u2019s payroll, industry sector, and the employer\u2019s history of injuries or accidents in their workplace.\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\" id=\"unionization\">Employers must register with the workers&#8217; compensation board in each province where their employees work. Foreign employers who fail to register before their first Canadian employee begins work are exposed to uninsured employer penalties and personal liability in the event of a workplace injury.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">7. Unionization&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Each province, and the federal jurisdiction, has its own labour relations legislation regulating workplace relations and collective bargaining between employers and unions.\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Typically, the process by which a workplace becomes unionized begins with a union conducting an organizing campaign in which it attempts to obtain sufficient support among workers in a proposed group of employees in a workplace (a \u201cbargaining unit\u201d). Support for the union is evidenced by the signing of union membership cards. If sufficient support is obtained, the union will file a certification application before the applicable labour relations board or tribunal. The labour relations board will determine which employees fall within the bargaining unit. At that point, depending on the jurisdiction, the union may become certified immediately if it submits union membership cards from a majority of employees in the bargaining unit (card-based certification) or, if the union has sufficient membership evidence, a secret ballot will be conducted to determine whether the union is to be certified.\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">When a certification application is successful, the union becomes the sole bargaining agent of the employees in the bargaining unit, with authority to negotiate the terms and conditions of employment on their behalf.\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\" id=\"privacy\">The timelines in which employers must respond to a certification application before a labour relations board or tribunal is generally very short. Employer conduct during the certification process will be scrutinized heavily, as labour relations legislation prohibits employers from interfering with the formation of a trade union. Employers who are alerted to a union organizing campaign or a certification application should consult legal counsel immediately.\u202f&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">8. Privacy\u202f&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Privacy-related rights and obligations in the employment context do not apply uniformly across Canada but instead are subject to the specific jurisdiction of the employment relationship.\u202f\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\" id=\"benefits\">The federal government, and certain provinces including British Columbia, Alberta, and Quebec, have passed legislation regulating how employers handle employees\u2019 personal information. In these jurisdictions, consent is typically required to collect, use, or disclose personal information. These statutes also create obligations as to how employers store and retain employees\u2019 personal information.\u202f&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">9. Employment benefits\u202f&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Canada Pension Plan (CPP) and Employment Insurance (EI):<\/strong>\u202fEmployers in Canada are required to pay Canada Pension Plan contributions and Employment Insurance premiums to the Canada Revenue Agency (CRA), calculated as a percentage of payroll, subject to yearly maximums.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Employees are also required to pay Canada Pension Plan contributions and Employment Insurance premiums; employers must withhold these employee contributions from the employee\u2019s salary and remit these to the CRA together with the employer contributions\/premiums.\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Moreover, since January 1, 2024, Canada introduced a second tier of CPP contributions, the CPP2, applying to earnings above the first earnings ceiling (the Year&#8217;s Maximum Pensionable Earnings) up to a second, higher ceiling (the Year&#8217;s Additional Maximum Pensionable Earnings). For 2026, the second earnings ceiling is $85,000, and employers and employees each contribute 4% on earnings between the two ceilings, with a maximum CPP2 contribution of $416 per employee, matched dollar for dollar by the employer. Foreign employers setting up Canadian payroll for the first time must account for both CPP and CPP2 in their payroll systems, calculated separately and tracked separately on T4 slips and CRA remittances.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Health care<\/strong>: Government-funded medical care is available to all citizens in Canada. However, government health insurance does not cover everything (e.g., vision and dental care), and so many employers provide group extended health insurance, intended to pick up where the government plan ends. In order to be competitive, an employer might wish to provide such extended coverage.\u202f\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Other private insurance:<\/strong>\u202fMany employers also choose to provide employees with long term disability insurance and life insurance as an additional employment benefit, in addition to other types of non-mandatory coverage.\u202f Short term disability coverage is less common, particularly for smaller employers.\u202f Although some government-funded disability benefits are available (currently for up to 17 weeks), and some minimal life insurance is available through the Canada Pension Plan, most employers offer some type of additional coverage to their employees.\u202f\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Retirement savings benefits:<\/strong>\u202fCanada has government provided pension benefits, but many employers will supplement these by offering a Group Registered Retirement Savings Plan (RRSP), similar to a 401K Plan in the U.S.\u202f This allows employees the opportunity to establish personal savings accounts for tax-deferred retirement savings. Under this system, employees can establish individual, personal accounts on their own with a bank or other provider, and an employer can optionally choose to make its own contributions to the employee\u2019s individual account in whatever amount it elects.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\" id=\"quebec\">Larger employers may have a Registered Pension Plan, although defined benefit pension plans in the public sector are becoming less common due to high administrative costs and potential funding deficits for defined benefits plans.\u202f&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">10. Language requirements in the workplace (Quebec only)&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The province of Quebec\u2019s sole official language is French. <a href=\"https:\/\/www.assnat.qc.ca\/en\/travaux-parlementaires\/projets-loi\/projet-loi-96-42-1.html\" target=\"_blank\" rel=\"noreferrer noopener\">Bill 96,<em> An Act respecting French<\/em><\/a>, the official and common language of Quebec, came into force on June 1, 2022, amending the Charter of the French Language to introduce new measures ensuring the predominance of French in the workplace.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Accordingly, workers have a right to carry on all activities in the workplace in French. As a corollary to this right, an employer must use French in all written communication to its employees or exclusively in a language other than French, if so expressly requested by the employee.\u202f\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Under the\u202f<em>Charter of the French Language<\/em>,\u202femployers must also:\u202f&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>use French in any employment contract the employer enters into (or in a language other than French at the express wish of the parties);\u202f&nbsp;<\/li>\n\n\n\n<li>draft employment-related documents in French and, if available in another language, ensure that the French documents are available on equally or more favourable terms;\u202f&nbsp;<\/li>\n\n\n\n<li>if a job posting is posted by the employer or a recruiter in a language other than French, the employer must ensure the postings in English and French are posted simultaneously, using transmission means of the same nature and that reach a target audience of a comparable size; and,\u202f&nbsp;<\/li>\n\n\n\n<li>not require the knowledge of a language other than French to obtain or maintain a position, unless the nature of the duties require such knowledge and the employer first took reasonable means to avoid imposing such a requirement.\u202f&nbsp;<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">As of June 1, 2025, all businesses employing more than 25 persons in Quebec for at least 6 months must register with the <em>Office qu\u00e9becois de la langue fran\u00e7aise<\/em> and comply with various francization obligations (as previously discussed in Section B above).\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Businesses with 100 or more employees in Quebec must form a francization committee. This committee must analyze the linguistic situation and develop, implement and supervise the francization program. This measure does not have to be met from day one. It can be implemented gradually, over a certain period of time.\u202f&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\" id=\"takeaways\" style=\"padding-bottom:var(--wp--preset--spacing--medium)\">Bill 96 has doubled the minimum fine for any misrepresentation to the <em>Office qu\u00e9becois de la langue fran\u00e7aise<\/em> or any contravention of an order of the <em>Office qu\u00e9becois de la langue fran\u00e7aise<\/em>, as well as when an offence is committed by a director or officer of a legal person. It also provides that, unless they have exercised due diligence, directors of a legal person will be presumed to have committed an offence by that legal person.\u202f&nbsp;<\/p>\n\n\n\n<div class=\"wp-block-group has-base-2-background-color has-background is-layout-constrained wp-container-core-group-is-layout-03cab32d wp-block-group-is-layout-constrained\" style=\"padding-top:var(--wp--preset--spacing--medium);padding-right:var(--wp--preset--spacing--medium);padding-bottom:var(--wp--preset--spacing--medium);padding-left:var(--wp--preset--spacing--medium)\">\n<h2 class=\"wp-block-heading\">Key takeaways&nbsp;&nbsp;<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>At-will termination does not exist in Canada. Employees are entitled to reasonable notice at common law, which can reach two years for senior employees. This entitlement can only be limited by a carefully drafted termination provision, and most U.S.-form offer letters do not meet Canadian standards.\u00a0\u00a0<\/li>\n\n\n\n<li>Termination provisions are void if any part contravenes employment standards legislation, even inadvertently. The entire provision fails, not just the offending clause. Have every Canadian employment agreement reviewed by Canadian employment counsel before use.&nbsp;&nbsp;<\/li>\n\n\n\n<li>The federal\/provincial divide is a threshold question. Employers in banking, interprovincial transportation, and telecommunications are federally regulated under the Canada Labour Code, with different termination rights, unionization rules, and just cause protections than provincial employers.&nbsp;&nbsp;<\/li>\n\n\n\n<li>The duty to accommodate is an active, documented obligation. Employers must engage in a genuine accommodation process before concluding undue hardship. Build an accommodation framework before your first Canadian hire.&nbsp;&nbsp;<\/li>\n\n\n\n<li>CPP2 is in force since January 2024. Employers must contribute 4% on employee earnings above the first CPP ceiling up to the second ceiling, matched dollar for dollar. Ensure your Canadian payroll system accounts for both CPP and CPP2 before the first payroll run.&nbsp;&nbsp;<\/li>\n\n\n\n<li>Union certification timelines are short and employer conduct is heavily scrutinized. Contact legal counsel immediately upon learning of a union organizing campaign, response time is days, not weeks.&nbsp;&nbsp;<\/li>\n\n\n\n<li>Workers&#8217; compensation registration is mandatory in every province where employees work. Register before the first employee begins work, uninsured employer penalties and personal liability apply from day one of non-registration.&nbsp;&nbsp;<\/li>\n\n\n\n<li>Quebec employment operates under a distinct legal framework: civil law reasonable notice that cannot be contracted out of at the time of hiring, francization obligations from 25 employees, Bill 96 language requirements in all employment documents, and reinstatement as an available remedy for wrongful dismissal.&nbsp;&nbsp;<\/li>\n\n\n\n<li>Just cause termination in Canada requires a high threshold. Progressive discipline, documentation, and proportionality all matter. Obtain legal advice before proceeding with any termination for cause.&nbsp;&nbsp;<\/li>\n<\/ul>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\" style=\"padding-top:var(--wp--preset--spacing--medium)\">How Miller Thomson can help&nbsp;&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Canadian employment law is not a single framework, but ten provincial regimes, a federal regime, and a Quebec civil law system, each with different termination rules, human rights obligations, occupational health and safety requirements, and labour relations legislation.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The cost of getting it wrong is disproportionately high. Miller Thomson&#8217;s employment and labour team advises foreign companies on the full spectrum of Canadian employment compliance, from employment agreement drafting and termination provision review through human rights accommodation, occupational health and safety, workers&#8217; compensation registration, union response strategy, and Quebec-specific civil law and language obligations.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Speak with a Miller Thomson <a href=\"https:\/\/www.millerthomson.com\/en\/expertise\/labour-employment\/\" target=\"_blank\" rel=\"noreferrer noopener\">Labour and Employment lawyer<\/a> about your Canadian workforce strategy.&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Who this is for: HR directors, GCs, CFOs, and operations leads at foreign companies hiring Canadian employees, establishing Canadian operations, or managing a Canadian workforce.&nbsp;&nbsp; The assumption that creates the most expensive employment disputes: Foreign companies, particularly U.S.-based ones, enter Canada assuming that employment practices that are legal and standard at home will work in [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":56131,"parent":53629,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[632],"insight-format":[742],"class_list":["post-55934","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-publications"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Employment in Canada: What every foreign employer must know before hiring\u00a0 | Miller Thomson<\/title>\n<meta name=\"description\" content=\"Learn about employment law requirements when entering the Canadian market, including contracts, termination, payroll and workplace policies.\" \/>\n<meta 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