PLEASE NOTE: THIS INFORMATION IS OUTDATED (it is retained here for comparison purposes only)

See

http://www.labour.gov.bc.ca/esb/esaguide/

for current information

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A Guide to the Employment Standards Act


16. ENFORCEMENT MEASURES AND PENALTIES

The Branch may use a variety of measures to enforce compliance with the Act, Regulation, and decisions made by the Branch and the Employment Standards Tribunal.

Monetary Penalties

An employer who fails to maintain or produce required records or issue employee wage statements may face an automatic $500 penalty. An employer who repeatedly violates other requirements of the Act may face escalating penalties of up to $500 per employee. Where a corporation is responsible for the contravention, an employee, officer, director or agent of the corporation who permits the contravention may also be penalized. A detailed description of requirements and penalties is set out in the Regulation.

Lien for Unpaid Wages

Unpaid wages are a lien, or legal claim, against the property of the employer and take effect at the time the wages were earned. These liens take priority over all other claims, including a claim of the Provincial Government, except a prior-registered mortgage or debenture against land.

Paying Interest on Unpaid Wages

An employer may be required to pay interest on unpaid wages owing to an employee. Interest is calculated from the date of the employee's termination or the date the complaint was filed, whichever is earlier, to the date of payment. Interest is charged at the prime lending rate of the government's banker.

Demands on Third Parties

If a third party is or will be indebted to a person who owes money to the Branch because of a determination or order under the Act, the Branch may demand that the third party pay all or part of their indebtedness directly to the Branch. If the third party does not comply with the demand, the Branch may begin collection action directly against the third party.

Court Judgment

A determination of the Branch or an order of the Tribunal may be filed at any time in Supreme Court and enforced as a judgment of the Court.

Seizing Assets

The Branch may seize personal or business assets of a person required to pay under a determination or order to satisfy the amount owing and the costs of the seizure.

Corporate Officer Liability

An officer or director of a corporation is personally liable for up to 2 months' unpaid wages per employee if the officer or director held office when the wages were earned or were payable. An officer or director is not liable for:

Security to Ensure Compliance

An employer who at any time has contravened a requirement concerning the payment of wages may be required by the Branch to post a bond, or to provide an irrevocable letter of credit or other security, to ensure compliance with the Act.

Publishing Violators' Names

The Branch may compile and publish information about contraventions of the Act and Regulation, including information identifying persons who committed the contraventions.

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