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Regarding legislation, a business is eithersubject to federal or provincial labour andemployment jurisdiction. The vast majorityof businesses are subject to provincialjurisdiction – meaning they are subject tothe labour and employment legislation of theprovince (or provinces) in which theyemploy their employees. Each Atlanticprovince has its own legislation that appliesto unionized and non-unionized workplaces;however, the legislation generally regulatesthe same matters and is similar, althoughnot identical. Each province has its ownrules and particularities. Labour andemployment legislation in the Atlanticprovinces generally regulates minimumemployment standards (including wages,vacation, overtime, etc.), occupationalhealth and safety, workers’ compensation,human rights, and labour relations (coveringthe process by which a union obtainsbargaining rights, the collective bargainingprocess and the rights and responsibilitiesof unions and employers). In Newfoundlandand Labrador and Nova Scotia, there arealso special rules and legislation that governemployment in the offshore oil and gasindustries.Federal jurisdiction over labour andemployment matters extends only to thoseworks or undertakings that fall within theclasses of subjects expressly exempt fromthe provincial heads of power and to thoseenterprises deemed vital, essential orintegral to a core federal work orundertaking. Examples of federallyregulated businesses include mostnavigation and shipping, inter-provincialtransport, air transportation,communications, broadcasting and banking.Federal statutes include the Canada LabourCode, whose three parts governemployment standards, health and safety,and unionization, and the Canadian HumanRights Act.While there are differences betweenlegislation in Nova Scotia, New Brunswick,Newfoundland and Labrador, PrinceEdward Island and the federal legislation,there are sufficient commonalities that weare able to provide a general overview (asset out below) of legislated employmentrequirements.In addition to the legislation of the differentjurisdictions, businesses are subject to thecommon law, which is the law as developedby judges or other decision makers. Thecommon law interprets legislation andestablishes other law, and governsemployment relationships in all jurisdictions.This body of law also creates severalimportant presumptions about employmentrelationships.For example, the common law presumesthat employees are hired for an indefiniteterm, unless a valid written contract ofemployment states otherwise. Theconsequence of this presumption, inconjunction with the laws set out inemployment standards legislation, is thatemployees who are terminated withoutcause must be provided notice oftermination or pay-in-lieu thereof. Unlike inthe United States, there is no “at-will”employment in Canada. Employeesterminated for “cause” are not entitled tonotice or pay in lieu, but the burden ofestablishing “cause” rests with the employerand can be difficult to establish.Practically, in order to manage liabilities, aswell as establish clear expectations for allEmployment and Labour Law 91

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