Federally or Provincially Regulated? 

September 3, 2021

Federally or Provincially Regulated? 

September 3, 2021

Know which laws govern your workplace.

Some trucking companies are regulated by the federal government. Others by provincial legislation. And while many of the basic workplace rules are similar, there are some significant differences you should be aware of, particularly when it comes to severance, benefits, statutory holidays, and other employment entitlements. 

In most cases, a workplace will be governed by provincial legislation as only about 6% of employees in Canada are federally regulated. However, when it comes to trucking, that percentage goes up.  

So how do you know?  

Well, one rule of thumb is whether the road transportation services you provide, including trucks and buses, cross provincial, or international borders.  If so- you are likely federally regulated, and that means there can be a difference in the workplace and employments laws that regulate your company compared to your provincial counterparts. 

In general, the following industries and workplaces are federally regulated:

  • Air transport
  • Broadcasting
  • Chartered banks
  • Federal Crown corporations
  • Federal government employees
  • Feed and feed mills
  • Grain elevators
  • Interprovincial pipelines
  • Interprovincial trucking
  • Rail and water transport
  • Work directly for or on behalf of First Nations

Federally regulated employees are governed by the Canada Labour Code, while provincially regulated employees are governed by the Employment Standards legislation in the province in which they are employed. If in doubt, seek legal counsel.

This is a timely discussion to have, as the federal government recently passed legislation to make September 30th a federal statutory holiday called the “National Day for Truth and Reconciliation”. 

If you are a federally regulated business- you must honour this statutory holiday by closing and paying general stat pay, or staying open and paying overtime wages, where applicable.  If you are provincially regulated, then you are not required to observe this stat at this time. 

Unionized employers are advised to consult legal counsel to determine the applicability of this stat as it relates to their collective agreement.

Pamela Bragg

Sarkany Management Inc. | Women’s Trucking Federation of Canada Speakers Bureau 

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