Hours-of-Work Exemptions for Air, Rail, Banking

Summary#

This final regulation, the Regulations Amending the Exemptions from and Modifications to Hours of Work Provisions Regulations and the Administrative Monetary Penalties (Canada Labour Code) Regulations, changes how parts of the Canada Labour Code’s new hours-of-work rules apply to certain jobs. It creates targeted exemptions and adjustments for workers in the air and rail transportation, banking, and telecommunications and broadcasting sectors. The rules were registered on August 4, 2023 and come into force on a phased schedule (see What it does).

What it does#

• Adds or updates sector-specific rules that exempt or modify how four new Code entitlements apply:
  • 96 hours’ notice of a work schedule (section 173.01 of the Code).
  • 24 hours’ notice of a shift change or addition (section 173.1).
  • A 30-minute unpaid break during every period of 5 consecutive hours (section 169.1).
  • An 8-hour consecutive rest period between work periods or shifts (section 169.2).
• Key sector changes (high-level):
  • Air transportation: exemptions or modifications for pilots, flight crew, air traffic controllers, technologists in air navigation, airport emergency/operations staff, and others. Some groups (e.g., pilots) are exempt from the 30-minute break; others have modified break or rest rules.
  • Rail transportation: exemptions/modifications for locomotive engineers, conductors, yard staff, maintenance crews, rail traffic controllers, railway police and passenger-train service staff. Breaks may be split into shorter periods with compensating time.
  • Banking: commission-paid salespeople in banks are exempt from the four hours-of-work rules listed above.
  • Telecommunications and broadcasting: exemptions for commission-paid salespeople; modifications or exemptions for technicians, producers, journalists and live-broadcast crews.
• Changes to enforcement rules:
  • The regulation repeals a part of the Administrative Monetary Penalties (Canada Labour Code) Regulations that had separately listed modifications for penalty purposes, so penalties refer back to the core Code provisions instead.
• Coming into force (timing):
  • Most sector provisions (rail, banking, telecommunications and broadcasting) come into force after five months from registration.
  • Air transportation provisions come into force after ten months from registration.
  • The repeal to the AMPs schedule takes effect immediately on registration.

Who's affected#

• Employees in federally regulated workplaces in:
  • air and rail transportation,
  • banking,
  • telecommunications and broadcasting.
• Employers in those same sectors.
• The rules cover specific job classes (pilots, flight attendants, air traffic controllers, locomotive engineers, yard staff, technicians, producers, commission-paid salespeople, etc.).
• The regulatory impact statement estimates about 513,000 federally regulated employees are affected — roughly 2.8% of the Canadian workforce.
• If it’s unclear whether a particular job title is covered, the regulation groups workers by common occupational titles and employers or employees can seek clarification from the Labour Program.

Why it matters#

• For workers: some people in these sectors will keep more flexible, on-demand schedules, but that can mean less predictability about when breaks, rest and schedule changes happen. The regulation preserves certain operational practices that employers say are necessary for safety and continuous service.
• For employers: it reduces the risk that the new Code rules would be impossible to apply in 24/7 or highly unpredictable operations (for example, airports, rail yards, live TV broadcasts and emergency repairs).
• For the public: the changes are intended to help keep flights, trains, banking services, telecommunications and live broadcasts running smoothly when schedules change because of weather, mechanical problems, breaking news or urgent repairs.
• Enforcement: employers can still be penalized for violating the core Code provisions. The amendment to the administrative-penalty rules is meant to simplify how penalties are applied (penalties target breaches of the Code itself, not the regulatory adjustments).