Employment standards legislation in Canada establishes minimum workplace protections for employees, including rules related to hours of work, overtime, vacation, public holidays, leaves of absence, and termination requirements.
Franchised small businesses support employment standards that protect workers while recognizing the operational realities of small business employers. Clear, consistent, and accessible employment standards legislation helps ensure businesses can comply with the law while continuing to create jobs and serve their communities.
Employment Standards and Small Businesses
Employment standards compliance can present challenges for small business owners when legislation becomes overly complex or difficult to interpret.
Most franchise locations are independently owned small businesses that do not have in-house legal teams or compliance departments. When employment standards legislation is highly technical or unclear, small business owners must spend significant time navigating regulatory requirements instead of focusing on serving customers, training employees, and growing their businesses.
The Canadian Franchise Association has consistently highlighted that overly complicated employment standards legislation creates unnecessary red tape for small businesses. Ambiguity in legislation can lead to unintentional non-compliance, even when employers are acting in good faith. Every hour spent interpreting complex regulatory requirements is time that small business owners cannot spend serving customers, supporting employees, or expanding their businesses.
Clear and predictable employment standards legislation helps both workers and employers by making compliance easier for small businesses and improving overall workplace outcomes.
Our Ask
The Canadian Franchise Association encourages governments to ensure employment standards legislation in Canada supports both workers and small business employers.
Governments should:
- Simplify employment standards legislation so it is easier for small business owners to understand and comply
- Provide plain language guidance and practical compliance tools for employers
- Coordinate employment standards changes across jurisdictions to avoid overlapping requirements
- Provide clear advance notice of regulatory changes so businesses have time to prepare and implement new requirements
Balanced and predictable employment standards legislation helps protect workers while allowing franchised small business owners to focus on creating jobs, serving customers, and growing their businesses in communities across Canada.