BC is the first jurisdiction in Canada to provide basic protections for gig workers

On November 30, 2023, Bill-48 Labour Statutes Amendment Act, 2023 received royal assent. The effect of Bill-48 is to amend the Employment Standards Act and the Workers Compensation Act in BC.  On September 3, 2024, new regulations for app-based gig workers, such as ride-hailing companies (e.g., Uber and Lyft) and those in delivery services (e.g., Uber Eats, SkiptheDishes, and DoorDash) came into effect.

Effective September 3, 2024, Bill-48 amends the Employment Standards Act and Workers Compensation Act by adding a definition of “online platform workers” which includes all workers who accept and perform prescribed work through an online platform.  These workers are now protected by some parts of the Employment Standards Act and Workers Compensation Act.  They will now have better working conditions with some new protections, including basic employment standards.

British Columbia now requires employers to provide minimum standards for these workers, which include:

Minimum Wage: An hourly minimum wage that is 120% of the general minimum wage.
-Minimum wage for gig workers is $20.88 versus BC’s general minimum wage of $17.40.
-Pay is for “engaged time” which is the time between accepting and completing a work assignment.

Expense Allowances: Ride-hail workers will receive $0.45 per km for using a personal vehicle and delivery service workers will receive $0.35 per km, which applies to all vehicles, e-bikes or scooters.

WorkSafe BC: Gig workers will receive worker’s compensation coverage from WorkSafe BC, and occupational health and safety protections.

Tip Protection: Platform companies will be prohibited from withholding tips and making deductions from tips.

Pay Transparency: Gig workers will be able to see estimated earnings when work is offered and receive wage statements for every pay period.

Destination Transparency: Gig workers will be provided delivery locations before a work assignment is accepted.

Suspension and Terminations: Gig workers will be provided fair processes for suspensions and terminations.  This includes notice of termination or payment in lieu of notice. 

However, gig workers are not protected by all parts of the Employment Standards Act.  For example, they are not protected by the overtime, statutory holiday, paid leaves, and annual vacation provisions.     

Key Takeaway:
Up until now, app-based gig workers have not been protected by employment legislation such as the Employment Standards Act and Workers Compensation Act because they did not fall within the definitions of such legislation. British Columbia is now the first province in Canada to establish minimum standards for these workers. 

For more information on this and other similar topics, please contact Scott Marcinkow at [email protected] or anyone else from our team listed on the Authors page.