Federal - Employers have more time to recall employees laid off due to COVID-19

The federal government has announced changes to extend time periods for temporary layoffs to allow employers more time to recall laid-off employees. 

Prior to these changes, employers could temporarily lay off their employees for up to three months if no notice with a recall date was provided, or for a period of up to six months if they provided a notice with an expected recall date, before the lay-off became a termination. The amendments, which are set out in the Canada Labour Standards Regulations, temporarily extend these time periods by up to six months:

• For employees laid off prior to March 31, 2020, the time period is extended by six months or to December 30, 2020, whichever occurs first. 
• For employees laid off between March 31, 2020, and September 30, 2020, the time period is extended until December 30, 2020, unless a later recall date was provided in a written notice at the time of the layoff.

These changes, which came into effect on June 22, 2020, do not apply to employees who are covered by a collective agreement that contains recall rights. They also do not apply to employees whose employment had already been terminated prior to the coming into force of the amendments. The previous rules will apply to layoffs occurring after September 30, 2020.