In September 2024, the BC government amended the Employment Standards Act (the “ESA”) and the Employment Standards Regulation (the “ESR”) to provide certain entitlements to online platform workers, including delivery service workers and ride-hail service workers. We summarize the highlights of these amendments below.
Employee and Employer
Online platform workers are deemed to be employees under the ESA. The operator of the online platform through which an online platform worker accepts work is considered the employer of the online platform worker for ESA purposes.
Minimum Wage for “Engaged Time”
Online platform workers are now entitled to a minimum wage for ‘engaged time’. Engaged time is defined as the period beginning when a delivery services worker or ride-hail services worker accepts a platform work offer, and ends when either the platform work assignment is completed or the platform work assignment is cancelled. Employers of online platform workers must also top up online platform workers’ earnings if they fall below the established minimum wage for engaged time worked in a certain pay period.
A special minimum wage rate applies to delivery service workers and ride-hail services workers. As of the date of this article, the minimum hourly wage for those workers is set at $20.88, which is slightly higher than the province-wide minimum hourly wage of $17.40.
Distance Expense Allowance
If a delivery services worker uses any form of transportation, other than travelling on foot, to carry out a platform work assignment, the employer of the worker must pay the worker a distance expense allowance of at least $0.35 for each kilometre travelled during engaged time.
If a ride-hail services worker operates a “motor vehicle” (as defined in the Motor Vehicle Act) to carry out a work assignment, the employer must pay the worker a distance expense allowance of at least $0.45 for each kilometre travelled during engaged time. This allowance is required to be paid at least semi-monthly and within 8 days of the end of each pay period.
Greater Transparency in Platform Work Offers
Employers must ensure that work offers specify the anticipated location at which a passenger or order is to be picked up and dropped off, and an estimate of the amount payable if the platform work offer is accepted and completed.
Termination and Suspension
Employers of online platform workers have strict requirements with respect to the suspension and removal of online platform workers from work platforms. This is intended to encourage communication and ensure workers understand the reason for the suspension or removal.
Unless certain circumstances apply, employers are required to give written notice 72 hours prior to removing a worker’s ability to accept platform work offers. The notice must specify the reasons for the removal and inform the worker of any process regarding responding to the notice or asking the employer to reconsider. In most cases, temporary suspension can last up to 14 days.
To permanently remove or terminate online platform workers, employers must provide written reasons at the same time as written notice of termination, or as soon as practicable. This requirement applies whether the relationship terminates with or without just cause.
Some Exclusions Apply
Although certain statutory protections have been extended to gig workers, not all entitlements contained in the ESA apply. Online platform workers are not entitled to overtime, statutory holiday pay, vacation time, or vacation pay under the ESA.
If you have any questions about this article, please contact your Harris lawyer.