‘These consultations will go deeper on important issues and validate earlier feedback’
Federally regulated employers will be affected by a new round of consultations that could alter collective bargaining rules, grievance timelines and leave entitlements.
This comes after Employment and Social Development Canada (ESDC) announced that it will hold additional talks this summer to build on spring 2026 consultations to modernize the federal labour relations framework.
The Honourable Patty Hajdu, Minister of Jobs and Families and Minister responsible for the Federal Economic Development Agency for Northern Ontario, and the Honourable John Zerucelli, Secretary of State (Labour), made the announcement jointly. ESDC said the government "will always protect the rights of Canadian workers, including the right to strike," and framed the new phase as an effort to strengthen collective bargaining and bolster worker supports.
In April, ESDC issued a consultation document outlining measures that could alter bargaining timelines, create a new mediation tool, strengthen protections against misclassification and wage theft, and modernise occupational health and safety standards.
The second phase will revisit spring-round topics needing further discussion and introduce new issues raised by stakeholders. These include section 107 of the Canada Labour Code (CLC), expedited grievance arbitration, bad faith bargaining, strike or lockout mandate length, first collective agreements, paid medical leave, and wage theft enforcement, according to ESDC.
Engagement will include written submissions from any interested party and targeted roundtables with employers, unions, employee groups and Indigenous partners. Feedback from both consultation rounds will be published in a "What We Heard" report to inform potential policy, regulatory or legislative changes, ESDC said.
Participation and scope
Written submissions on the consultation paper will be accepted until Aug. 2, 2026. Roundtables are limited to targeted participants, but any individual or organization in the federally regulated sector may submit written feedback, per the release.
The federally regulated private sector includes more than 22,000 employers and over 1 million employees, spanning industries such as air, rail, road and marine transportation, banking, and postal and courier services.
Minister Hajdu said, "We heard strong interest and thoughtful input during the first round of consultation. These consultations will go deeper on important issues and validate earlier feedback so that our labour relations framework reflects workers' and employers' needs and supports fairness for workers and employers alike."
Secretary of State Zerucelli said, "Our goal is simple: give workers the tools and support they need to succeed. This extended consultation continues that conversation on the issues shaping Canada's workplaces.
The federal government’s sweeping review of the CLC put long‑criticized ministerial powers over disruptive strikes and lockouts squarely in the spotlight, according to one employment lawyer.
“The review of Section 107 of the Code is the elephant in the room in this whole consultation,” Christopher Pigott, partner at Fasken in Toronto, previously said.
