What new rules in B.C. mean for gig worker rights in Canada
British Columbia recently introduced labour standards for app-based workers. What’s changed? And will other provinces and territories follow suit?
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British Columbia recently introduced labour standards for app-based workers. What’s changed? And will other provinces and territories follow suit?
British Columbia recently became the first province or territory to set minimum labour standards for app-based gig workers, such as rideshare drivers and food delivery workers.
Regulations that came into effect on Sept. 3 introduced protections for gig workers in the province, including: a minimum wage, mileage compensation, upfront fare transparency, and rules for account deactivation and dispute resolution. The regulations also give workers access to workers’ compensation through WorkSafeBC, a provincial agency that supports injured workers.
If you’re a gig worker or considering working through an app, here’s what you need to know about the rights you have across the country.
The regulations come after years of efforts by unions and gig workers themselves to have gig work covered by provincial employment standards. In provincial labour law, app-based workers are considered independent contractors rather than employees, which means they haven’t been eligible for traditional employment protections, such as a minimum wage and rules around termination and severance pay. Gig work platforms also don’t have to make employment insurance (EI) or Canada Pension Plan (CPP) contributions on behalf of gig workers.
The workforce for ride-hailing and delivery platforms, including Uber, DoorDash, SkipTheDishes and Lyft, grew 46% in 2023, according to Statistics Canada’s December 2023 labour force survey. That brought the total number of workers aged 16 to 69 to 365,000, up from 250,000 in 2022. Landed immigrants accounted for almost six in 10 of those workers.
B.C.’s rules are a “step in the right direction,” says Jim Stanford, an economist and the director of the Centre for Future Work, a progressive research institute. But gig work is still largely the “wild west of employment,” he says, and there are few avenues for workers to assert their rights.
B.C. is the first province or territory to implement a minimum wage for gig workers. At $20.88 per hour, the rate is 120% of the regular provincial minimum wage of $17.40 per hour. It only applies to “engaged time,” meaning the time drivers and couriers actually spend on assignments—hence the wage premium. Workers whose engaged time over a select pay period falls below the gig worker minimum wage are topped up by the platform at the time they’re paid. (Tips are not included in the minimum wage calculation.)
“The equation is difficult and it’s not perfect, but it aims to start to address idle time, when someone is waiting to pick up a person or package,” says Pablo Godoy, director of emerging sectors for the United Food and Commercial Workers Canada (UFCW), a private sector union. The UFCW Canada signed an agreement with Uber Canada in 2022 that made the union the official representative for Uber drivers and delivery workers across the country.
As part of the new legislation, B.C. has mandated that platforms pay workers 100% of their tips. It has also introduced a vehicle allowance to compensate workers for the cost of maintaining their vehicles. Drivers receive 45 cents per kilometre for personal vehicles and 35 cents per kilometre for other forms of transportation, including motorized e-bikes and bicycles. (Those who travel by foot aren’t eligible for the allowance.)
B.C. is currently the only province or territory with such rules in place. In January 2022, Ontario introduced the Digital Platform Workers’ Rights Act, which would give platform workers the right to the provincial minimum wage for engaged time, and the right to tips and other gratuities earned through apps. However, the act will only come into force on July 1, 2025. Gig workers in other parts of the country receive only the fares they accept, plus any tips. Most platforms say on their websites that they pay workers 100% of their tips.
Godoy says one longstanding point of contention for gig workers was that apps didn’t always disclose fare and distance estimates when offering an assignment. The B.C. regulations have introduced transparency requirements so that workers can better understand what they’re signing up for before they accept a job. Platforms have also started to head in that direction: Uber Canada said in January that drivers in Ontario and B.C. would soon see the estimated fare and expected destination before accepting a trip, and Lyft Canada also provides this to its drivers in Ontario.
Health and safety has been one of the biggest concerns for workers, says Godoy, and it’s something UFCW Canada regularly meets with Uber Canada about as part of its agreement.
The B.C. regulations are the first in the country to require platforms to register workers for compensation coverage with WorkSafeBC, which entitles them to wage loss and vocational rehabilitation benefits if they suffer an injury on the job.
Drivers and delivery workers in other provinces and territories have no wage-loss protections during their recovery.
Gig workers have long struggled with a lack of transparency into account deactivations, Godoy says. Platforms have often not provided detailed reasoning for suspending a worker’s account, and disputes aren’t usually addressed in a timely manner.
B.C.’s regulations now require platforms to explain to workers why they’re being suspended or terminated from the app. They must also give notice or compensation when terminating workers without cause.
Under the new regulations, platforms can suspend accounts for a maximum of 14 days, with a few exceptions—for example, if the platform determines a longer suspension is necessary to comply with a law enforcement order.
When faced with account deactivation or other account-related disputes, Uber Canada drivers and delivery workers can be represented by UFCW Canada, as part of the union’s agreement with the tech company. UFCW Canada has been able to get thousands of workers’ accounts reinstated, according to Godoy.
Gig workers contesting unfair practices or attempting to be recognized as employees have largely needed to raise their issues with the platforms, or they could attempt a court challenge or union drives, Stanford says. But court challenges are costly and time-consuming, and there are significant hurdles to unionizing gig workers, he notes.
Before going forward with a union vote, provincial labour laws require unions to have cards signed by a certain percentage of the workforce. Then, at least 50% plus one of the voters must agree to unionizing. This has been a barrier to unionizing rideshare drivers and delivery workers, because it’s difficult to determine the number of workers in a given area, and there’s significant churn in workers using the apps.
While gig workers have tried to submit claims through their provincial employment standards act, labour boards haven’t been able to address them because of their lack of status, Godoy says. That’s now changing for B.C. workers. “The important thing is it allows for you to complain somewhere other than to the platform you work for,” Godoy says.
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