The BC government has amended the Employment Standards Regulation to restore the exemption of construction companies from liability for severance pay to construction workers in all circumstances. The amendment follows a decision of the Supreme court of BC upholding earlier decisions of the Employment Standards Tribunal awarding severance pay to John Tyler. Tyler’s claim for severance pay under the Employment Standards Act had originally been rejected by the Director of Employment Standards because Tyler had been employed as a plumber on a construction site by a construction contractor. Section 65(1)(e) of the Employment Standards Act exempts employees who are employed at a construction site by a construction contractor from the severance and group severance provisions of sections 63 and 64 of the Act.On appeal, the Employment Standards Tribunal adjudicator, David Stevenson, held that the exemption did not apply because Tyler was employed by a contractor at a succession of construction sites. The Tribunal confirmed this decision as did the Supreme Court of BC. The amendment states that sections 63 and 64 of the Act do not apply to an employee employed at “construction sites” by a contractor.
(Click here for Decision)
(Click here for Appeal Decision)
(Click here for Employment Standards Regulation Amendment)