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This guide is provided for your information and convenience only. It is not a legal document. For complete information, refer to the Employment Standards Act, 2000 and its regulations.
As well as the continuity of employment provisions already discussed, additional provisions of the Employment Standards Act, 2000 (ESA) apply only to employers and employees in the building services provider sector.
A building services provider is a person or company that provides cleaning, security, or food services for a premise. A provider can also offer property management, parking garage, parking lot and concession stand services related only to a building, its occupants and visitors.
The owner or manager of a building is considered a building services provider if that owner or manager provides these services to the building that they own or manage.
If a building services provider is replaced by a new provider, the new provider may choose not to hire the employees of the former provider. However, the new provider must then, in most cases, comply with the Termination and Severance of Employment sections (Part XV) of the ESA as if these employees had been terminated and/or severed by the new provider.
For Example
Jan has worked for ABC Foods for 10 years as a cook in a cafeteria. The company has a contract to provide food services in an office building. When the contract expires, ABC ends their employment relationship with Jan. DEF Foods is contracted to provide the food services, but because DEF Foods has its own staff it does not hire Jan.
DEF Foods is responsible for paying Jan's termination pay and her severance pay (if applicable), even though she was never employed by DEF Foods. Jan is entitled to eight weeks' pay in lieu of notice and, if she is entitled to severance pay, 10 weeks of severance pay. These payments are based on the length of time she was employed with ABC Foods.
A new building services provider does not have to provide termination or severance pay to an employee:
If exemptions 2, 3, 4 or 5 apply, the employee is still entitled to termination and/or severance pay from the previous provider.
When a building services provider is considering becoming a new provider of services at a building, it can ask the building's owner or manager for certain information about the employees who are working for the current services provider. This information can help the potential new provider decide whether, and on what terms, to make a bid to take over the provision of the services, and the number of employees, if any, it will retain if it wins the contract.
A potential new provider can ask for information on:
Once a building services provider is awarded the contract and becomes the new provider of the services at a building, it has the right to ask for the name, residential address, and telephone number of each employee.
If a building owner or manager receives a request for information from a new or potential new services provider, it has the right to get the necessary information from the current or former services provider.
Anyone who receives information about employees under this provision must use it only for the purposes outlined here, and must ensure that the information remains confidential.