Did you know that as of June 20, 2025, it’s now illegal for federally regulated employers to use replacement workers (“scabs”) during strikes or lockouts?
This major change comes under Bill C-58, which amended the Canada Labour Code to promote fairer collective bargaining and reduce conflict during labour disputes.
Who’s Affected:
These new rules apply to federally regulated employers, including organizations in:
- Banking and finance
- Telecommunications and broadcasting
- Air, rail, marine, and interprovincial trucking
- Postal and courier services
What’s Changed:
- Employers can no longer bring in replacement workers (new hires, contractors, volunteers, or transferred staff) during a legal strike or lockout.
- Only limited exceptions apply — for example, to address imminent threats to life, health, safety, or serious property/environmental damage.
- Employers and unions must now file a “maintenance of activities” agreement within 15 days of notice to bargain. If they can’t agree, the Canada Industrial Relations Board (CIRB) steps in to decide.
- Violations can lead to fines of up to $100,000 per day.
Why It Matters:
This is one of the most significant updates to federal labour law in decades. Employers under federal jurisdiction should review their labour relations strategies and ensure policies are compliant with the new Code provisions.
Learn More:
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