O. Reg. 182/24: LICENSING - TEMPORARY HELP AGENCIES AND RECRUITERS
filed April 29, 2024 under Employment Standards Act, 2000, S.O. 2000, c. 41
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made under the
Employment Standards Act, 2000
Made: April 25, 2024
Filed: April 29, 2024
Published on e-Laws: April 29, 2024
Published in The Ontario Gazette: May 18, 2024
Amending O. Reg. 99/23
(LICENSING - TEMPORARY HELP AGENCIES AND RECRUITERS)
1. Ontario Regulation 99/23 is amended by adding the following section:
Definition
0.1 In this Regulation,
“median hourly wage” means, as of the date of an application for a licence or renewal, the median hourly wage for Ontario published in respect of that date on a Government of Canada website.
2. (1) Paragraphs 5 and 6 of section 2 of the Regulation are revoked and the following substituted:
5. Whether the applicant, or any officer, director or partner of the applicant,
i. has been refused a licence to operate as a temporary help agency or similar agency in another Canadian jurisdiction or has had such a licence revoked or suspended in another Canadian jurisdiction, or
ii. has been refused a licence to act as a recruiter or in a similar capacity in another Canadian jurisdiction or has had such a licence revoked or suspended in another Canadian jurisdiction.
6. Whether any officer, director or partner of the applicant,
i. was the officer, director or partner of an applicant that has been refused a licence to operate as a temporary help agency or similar agency in another Canadian jurisdiction or was the officer, director or partner of a licensee that has had such a licence revoked or suspended in another Canadian jurisdiction, or
ii. was the officer, director or partner of an applicant that has been refused a licence to act as a recruiter or in a similar capacity in another Canadian jurisdiction or was the officer, director or partner of a licensee that has had such a licence revoked or suspended in another Canadian jurisdiction.
(2) Section 2 of the Regulation is amended by adding the following paragraph:
14. Whether the applicant will act as a recruiter in respect of foreign nationals during the term of the licence and if so, whether only in respect of positions with wages at or above the median hourly wage.
3. Subsection 3 (2) of the Regulation is revoked.
4. The Regulation is amended by adding the following section:
Exemption re fees
3.1 (1) The requirement in clause 74.1.3 (1) (b) of the Act to pay an application fee does not apply to an applicant if,
(a) the applicant has paid a fee in respect of another application for a licence or renewal and,
(i) holds a licence that was issued less than a year before the date of the application, or
(ii) a decision is pending about the other application; and
(b) the paid fee described in clause (a) was in respect of an application for a licence or renewal to act as a recruiter and the subsequent application is in respect of a licence or renewal to operate as a temporary help agency or vice versa.
(2) The exemption in subsection (1) cannot apply to two consecutive applications made by an applicant.
5. (1) Subsections 4 (1) and (2) of the Regulation are revoked and the following substituted:
Security
4. (1) For the purposes of clause 74.1.3 (1) (c) of the Act, security that meets the following requirements is prescribed:
1. The security must be in the form of,
i. an electronic irrevocable letter of credit that,
A. contains a provision providing for the automatic renewal of the irrevocable letter of credit following the expiry date,
B. permits partial drawing without any conditions, and
C. is issued by a bank that is listed in Schedule I, II or III of the Bank Act (Canada), or a credit union within the meaning of the Credit Unions and Caisses Populaires Act, 2020, or
ii. a bond of an insurer licensed under the Insurance Act to write surety and fidelity insurance that,
A. contains a provision providing for the automatic renewal of the bond following the expiry date, and
B. permits partial drawing without any conditions.
2. The security must be in an amount so that the total security held by the Director in respect of the applicant is $25,000.
(2) Subsection 4 (6) of the Regulation is amended by striking out “in respect of the person’s licence” and substituting “in respect of the licensee”.
(3) Subsection 4 (7) of the Regulation is amended by striking out the portion before clause (a) and substituting the following:
(7) If a licence issued under section 74.1.4 of the Act expires and the licensee fails to apply for a renewal or the Director refuses to renew the licence, or a licence is cancelled, revoked or suspended, or the terms and conditions of a licensee’s licence change pursuant to subsection 4.2 (2) of this Regulation, the Director may hold the security previously provided in respect of the licence,
. . . . .
(4) Clauses 4 (7) (a) and (b) of the Regulation are amended by striking out “or suspension” wherever it appears and substituting in each case “suspension or change of licence terms and conditions”.
6. The Regulation is amended by adding the following sections:
Exemption re security requirements
4.1 (1) The requirement in clause 74.1.3 (1) (c) of the Act to provide security with an application does not apply to an applicant in respect of an application for a licence or renewal to act as a recruiter if,
(a) the applicant will not act as a recruiter in respect of foreign nationals during the term of the licence; or
(b) the applicant will act as a recruiter in respect of foreign nationals during the term of the licence but only in respect of positions with wages at or above the median hourly wage.
(2) It is a term and condition of a licence to act as a recruiter issued to an applicant who is exempt under subsection (1) that, during the term of the licence, if the applicant acts as a recruiter in respect of foreign nationals, the applicant may do so only in respect of positions with wages at or above the median hourly wage.
(3) If a licensee provides the Director with security that meets the requirements set out in subsection 4 (1), the licensee’s license is no longer subject to the term and condition described in subsection (2) of this section.
(4) For the purposes of subsection (3), the term and condition described in subsection (2) continues to apply until the Director gives written notice to the licensee that it no longer applies.
Change in status — certain recruiter licences
4.2 (1) During the term of a licence, a licensee may provide the Director with written notice that,
(a) the licensee will not act as a recruiter in respect of foreign nationals during the remainder of the term of the licence; or
(b) the licensee will act as a recruiter in respect of foreign nationals during the remainder of the term of the licence but only in respect of positions with wages at or above the median hourly wage.
(2) If a licensee provides written notice as described in subsection (1), it is a term and condition of the licensee’s licence to act as a recruiter that, during the remainder of the term of the licence, if the licensee acts as a recruiter in respect of foreign nationals, the licensee may do so only in respect of positions with wages at or above the median hourly wage.
(3) The term and condition described in subsection (2) applies when the Director gives written notice to the licensee that it applies.
(4) The Director may continue to hold the security previously provided in respect of the licence in accordance with subsection 4 (7).
(5) A licensee’s licence is no longer subject to the term and condition described in subsection (2) if the licensee provides the Director with,
(a) security that meets the requirements set out in subsection 4 (1); or
(b) if the Director is holding security that meets the requirements set out in subsection 4 (1) that was previously provided in respect of the licence, written notice that the licensee intends to act as a recruiter in respect of foreign nationals in respect of positions with wages below the median hourly wage during the remainder of the term of the licence.
(6) For the purposes of subsection (5), the term and condition described in subsection (2) continues to apply until the Director gives written notice to the licensee that it no longer applies.
Issuance of licence
4.3 In determining whether a circumstance described in clause 74.1.4 (b) of the Act exists, the Director shall not consider an order or notice of contravention that is pending review by the Board.
7. (1) Subsection 6 (1) of the Regulation is amended by,
(a) adding “Subject to subsection (3)” at the beginning; and
(b) striking out “subsection 74.1.5 (1)” and substituting “section 74.1.5”.
(2) Section 6 of the Regulation is amended by adding the following subsection:
(3) Subsection (1) does not apply if the Director intends to refuse to issue or renew a licence under subsection 74.1.5 (1) of the Act because a circumstance described in paragraph 2 of subsection 5 (1) of this Regulation exists.
8. (1) Subsection 7 (1) of the Regulation is amended by adding “Subject to subsection (4)” at the beginning.
(2) Section 7 of the Regulation is amended by adding the following subsection:
(4) Subsection (1) does not apply if the Director intends to revoke or suspend a licence under subsection 74.1.6 (1) of the Act because a circumstance described in paragraph 2 of subsection 5 (1) of this Regulation exists.
9. Section 8 of the Regulation is amended by adding the following paragraph:
6. Whether the licence is subject to any terms and conditions.
10. Subsection 9 (1) of the Regulation is amended by striking out “subsection 74.1.5 (1)” and substituting “section 74.1.5”.
11. Subsection 10 (1) of the Regulation is amended by striking out “subsection 74.1.5 (1)” and substituting “section 74.1.5”.
12. Subsection 14 (1) of the Regulation is amended by striking out “operate as a recruiter” wherever it appears and substituting “act as a recruiter”.
Commencement
13. This Regulation comes into force on the day it is filed.