Employment Update
By Barry W. Kwasniewski and Martin U. Wissmath June 2025 Charity & NFP Law Update
Published on June 26, 2025
Rights for Gig Workers: Ontario’s Digital Platform Workers’ Rights Act in Force July 1Digital platform workers in Ontario will soon benefit from a new, stand-alone statute that establishes minimum rights tailored to the gig economy. The Digital Platform Workers’ Rights Act, 2022 (“DPWRA” or the “Act”), enacted by the Working for Workers Act, 2022, was proclaimed on September 5, 2024 and is set to come into force on July 1, 2025. We previously discussed the Act in the “Legislation Update” of our September 2024 Charity & NFP Law Update. DPWRA applies to individuals who perform “digital platform work”, such as ride-share, courier, and delivery services accessed through apps or websites. Although charities and not-for-profits may not directly engage such workers, they use digital platforms to support operations, including delivering outreach materials, coordinating supplies, or arranging event logistics. Charities and not-for-profits may wish to review service relationships in light of new regulatory obligations and pricing structures introduced under DPWRA. Notably, under Section 15 of DPWRA, the provisions concerning the liability of directors for amounts owing to workers generally do not apply with respect to directors of corporations to which the Ontario Not-for-Profit Corporations Act, 2010 or the Co-operative Corporations Act applies. This non-application also extends to directors of foreign-incorporated corporations with similar not-for-profit objects that are carried on without the purpose of gain. This non-application is specific to the “directors' liability for amounts owing” section of the Act. Currently, many digital platform workers are treated as independent contractors, and as a result, do not benefit from protections under Ontario’s Employment Standards Act, 2000, which generally applies only to employees. DPWRA responds to this gap by establishing a separate set of rights that apply regardless of working relationship classification. Once in force, the DPWRA will entitle covered workers to:
The Act will be administered by the Ministry of Labour and supported by Ontario Regulation 344/24. Charities and not-for-profits that contract with digital platforms should consider reviewing procurement practices for compliance with the Act. More Expansion of Worker Protections: Introduction of Working for Workers Seven Act, 2025The Ontario government is preparing another round of workplace reforms aimed at expanding protections for employees, enhancing transparency in hiring practices, and modernizing enforcement across employment and health and safety laws. The proposed legislation, titled the Working for Workers Seven Act, 2025 (“Bill 30”), introduces new measures and continues the government’s now-annual effort to reshape Ontario’s employment landscape. Announced on May 28, 2025, Bill 30 proposes amendments to key statutes, including the Employment Standards Act, 2000 (ESA), the Occupational Health and Safety Act (OHSA), and the Workplace Safety and Insurance Act, 1997 (WSIA). If passed, the changes would affect a broad range of sectors and employment relationships, including some that intersect with the operations of charities and not-for-profits. For example, Bill 30 would allow employees affected by mass terminations (involving 50 or more employees) to take up to three unpaid days of job-search leave. The ESA would also be amended to require job-posting platforms to implement tools for reporting suspected fraud and to maintain written anti-fraud policies. Employers would be permitted to extend temporary layoffs to a full 52 weeks (within a 78-week window), subject to employee consent and Ministry approval. In the occupational health and safety context, the bill would introduce administrative monetary penalties for OHSA violations and require defibrillators (AEDs) on large construction sites. WSIB enforcement would be strengthened with new penalties for fraud and the spread of false information, with fines reaching up to $750,000 per conviction for multiple offences. Charities and not-for-profits should assess whether any of these changes could apply to them directly or through third-party relationships. This includes organizations involved in construction projects, those posting employment opportunities through online platforms, or those working with external service providers that may undergo significant staffing changes. Bill 30 is currently at Second Reading and may be subject to further amendments before passage. |