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BILL NO. 40

(as introduced)

2nd Session, 63rd General Assembly
Nova Scotia
67 Elizabeth II, 2018

 

Private Member's Bill

 

Protection Against Wage Theft Act

 

Tammy Martin
Cape Breton Centre



First Reading: September 18, 2018

(Explanatory Notes)

Second Reading:

Third Reading:

Explanatory Notes

Clause 1 sets out the short title of the Act.

Clause 2 allows the Governor in Council to make regulations respecting

(a) reports published by the Office of Wage Theft Prevention; and

(b) the Employee Compensation Fund,

both of which are established by this Act.

Clause 3 establishes an Office of Wage Theft Prevention.

Clause 4

(a) protects individuals making complaints under the Labour Standards Code by requiring the Director of Labour Standards to not disclose the identity of a complainant without the complainant's consent;

(b) provides that the Director is not required to inform any person whether an inquiry is in response to a complaint; and

(c) provides that the burden of proof to show that wages have been fully and appropriately paid is on an employer.

Clause 5 establishes an Employee Compensation Fund to pay employee claims approved by the Director or the Labour Board where an employer does not or is unable to comply with an order.

An Act to Amend Chapter 246
of the Revised Statutes, 1989,
the Labour Standards Code,
to Protect Against Wage Theft

Be it enacted by the Governor and Assembly as follows:

1 This Act may be cited as the Protection Against Wage Theft Act.

2 Section 7 of Chapter 246 of the Revised Statutes, 1989, the Labour Standards Code, as amended by Chapter 14 of the Acts of 1991, Chapter 4 of the Acts of 2003 (Second Session), Chapters 10 and 13 of the Acts of 2006, Chapter 18 of the Acts of 2009, Chapter 37 of the Acts of 2010, Chapter 19 of the Acts of 2011, Chapter 11 of the Acts of 2013, Chapter 11 of the Acts of 2016 and Chapter 13 of the Acts of 2018, is further amended by adding immediately after clause (a) the following clauses:

    (aa) respecting matters to be included in reports published by the Office of Wage Theft Prevention established under Section 20A;

    (ab) prescribing the manner in which employees may apply to the Director for a payment from the Employee Compensation Fund established by Section 89AB;

    (ac) prescribing the criteria an application must meet for the Director to make a payment from the Employee Compensation Fund;

3 Chapter 246 is further amended by adding immediately after Section 20 the following heading and Sections:

OFFICE OF WAGE THEFT PREVENTION

    20A (1) The Minister shall establish an Office of Wage Theft Prevention.

    (2) Staff in the Office of Wage Theft Prevention are under the supervision and management of the Director.

    (3) Staff in the Office of Wage Theft Prevention may exercise any power assigned to the Director under this Act.

    20B The Office of Wage Theft Prevention shall publish a report of the Office's activities at least once per year in accordance with the regulations.

    20C The money required for the purpose of Sections 20A and 20B must be paid out of money appropriated for that purpose by the Legislature.

4 (1) Section 21 of Chapter 246, as amended by Chapter 7 of the Acts of 2003 (Second Session), Chapter 37 of the Acts of 2010 and Chapter 19 of the Acts of 2011, is further amended by adding immediately after subsection (1) the following subsection:

    (1A) Where the Director receives a complaint and makes an inquiry under subsection (1), the Director

    (a) is not required to disclose the identity of the complainant; and

    (b) may not disclose the identity of the complainant without the consent of the complainant.

(2) Section 21 of Chapter 246, as amended by Chapter 7 of the Acts of 2003 (Second Session), Chapter 37 of the Acts of 2010 and Chapter 19 of the Acts of 2011, is further amended by adding immediately after subsection (2) the following subsection:

    (2A) The Director, when making an inquiry under subsection (1) or (2), is not required to inform any person of

    (a) whether the inquiry is in response to a complaint; or

    (b) the specifics of any complaint received.

(3) Section 21 of Chapter 246 , as amended by Chapter 7 of the Acts of 2003 (Second Session), Chapter 37 of the Acts of 2010 and Chapter 19 of the Acts of 2011, is further amended by adding immediately after subsection (3D) the following subsection:

    (3E) Where a matter is disputed or inquired into under this Section respecting wages owed or purported to be owed by an employer to an employee, the burden of proof is on the employer to show that the wages were fully and appropriately paid.

5 Chapter 246 is further amended by adding immediately after Section 89A the following heading and Sections:

EMPLOYEE COMPENSATION FUND

    89AA In Sections 89AB to 89AD, "Fund" means the Employee Compensation Fund established by Section 89AB.

    89AB (1) The Employee Compensation Fund is hereby established as a special purpose fund within the meaning of the Finance Act.

    (2) The Minister shall supervise the administration and management of the Fund.

    (3) The money required for the purpose of the Fund must be paid out of money appropriated for that purpose by the Legislature.

    89AC The purpose of the fund is to pay claims approved by the Director where an employer is unwilling or unable to comply with the terms of an order made under this Act.

    89AD (1) Where the Director or the Board has issued an order under this Act and an employer who is subject to the order is unwilling or unable to comply with the terms of the order, the Director may authorize a payment from the fund to an employee of the employer to fulfil the terms of the order in accordance with this Section.

    (2) An employee may apply to the Director for a payment under subsection (1) in the prescribed manner.

    (3) Subject to subsection (5), the Director shall evaluate an application made under subsection (1) and, where the application meets the prescribed criteria, the Director shall make a payment from the fund to the employee.

    (4) Where the Director makes a payment under subsection (3),

    (a) the employee is not entitled to any further compensation from the employer to the extent of the payment; and

    (b) the amount paid is a debt owed by the employer to Her Majesty in Right of the Province and may be recovered in any court of competent jurisdiction.

    (5) The maximum amount that may be paid from the fund to an employee in respect of a single employer is ten thousand dollars.

 


This page and its contents published by the Office of the Legislative Counsel, Nova Scotia House of Assembly, and © 2018 Crown in right of Nova Scotia. Created September 18, 2018. Send comments to legc.office@novascotia.ca.