Who is covered

From: Employment and Social Development Canada

Official title: Who is covered – Know the fact

Federal labour standards set employment conditions such as hours of work, payment of wages, overtimes rules, vacation and general holidays, leaves and rights on termination of employment for federally regulated workplaces*.

Federal labour standards only apply to employees in federally regulated businesses and industries. They do not apply to self-employed/independent workers.

A self-employed/independent worker:

• sets their own hours of work, prices and/or fees
• uses their own tools, equipment and/or work space
• can accept or reject work.
• may work for other clients
• may be incorporated. Note, this alone does not mean that you are considered a self-employed/independent contractor

An employee:

• reports to work when scheduled by their employer
• uses their employer’s tools, equipment and/or workspace
• completes work for the employer according to their employer’s instructions and standards
• follows workplace rules and directions and is subject to discipline

Federal labour standards that apply to employees:

• limits on hours of work
• regularly scheduled pay
• time off for vacation and general holidays
• guarantee of the minimum wage
• eligibility for overtime pay
• protected leaves—for example, personal leave, medical leave
• rights on termination of employment

*A list of federally regulated workplaces can be found at canada.ca/regulated-industries.

These are general guidelines. The Labour Program’s definition of an employee may differ from the definition used by the Canada Revenue Agency.

For more information on federal labour standards, visit:

Canada.ca/federal-labour-standards or contact the Labour Program

1-800-641-4049 Teletypewritter (TTY) 1-800-926-9105

#LabourStandards @Labour_ESDC