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BC Employment Law Update: Q4 2025

8 December 2025
53052

Employment law in British Columbia continues to evolve as the province responds to shifts in health, inflation, technology, and the labour market. To help employers understand what’s changing—and how it affects hiring and HR strategy—Goldbeck Recruiting spoke with Vancouver employment lawyer Michael Kilgallin at Roper Greyell LLP about three major developments:

  • Bill 30 and expanded job-protected leave for serious illness or injury
  • Minimum wage indexing tied directly to inflation
  • The increasing complexity of gig work, contractor status, and remote work

Plus: a brief look at rising labour unrest and strike activity

BC UNEMPLOYMENT: CONSTRUCTION

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BC Employment Law Update: Q4 2025

Bill 30: New Serious Illness or Injury Leave — Clarification Rather than Reinvention

The B.C. government has introduced and passed Bill 30 effective November 27, 2025, creating a new category of unpaid, job-protected leave under the Employment Standards Act (ESA) for workers experiencing a serious personal illness or injury.

“Not new protections—just clearer ones”

Michael notes that while the proposal may feel significant, it largely codifies what already exists under the B.C. Human Rights Code:

“It’s really not a departure from an employer’s existing obligations… Human rights law has created quite a comprehensive protection over decades.”

Employers already have a duty to accommodate employees with physical or mental disabilities, including extended medical absences. Bill 30 gives the ESA a more explicit framework around such leave, rather than creating new fundamental rights.

How the new leave works

Bill 30 provides:

  • Up to 27 weeks of unpaid leave within a 52-week period.
  • A requirement for a medical certificate confirming the employee is “unable to work due to medical reasons.”
  • No requirement for the employer to receive diagnoses or detailed medical information.
  • The ability for this leave to combine with other ESA leaves (e.g., maternity or parental leave).
  • Clarity that the leave is job-protected but unpaid.

The distinction around medical information is important. The certificate is minimal by design—Michael describes the test as more binary than human-rights-based accommodations. If a health provider confirms the employee cannot work, the ESA leave applies.

Income replacement still comes from other systems

During this leave, employees may receive support through:

  • EI sickness benefits
  • Short-term disability policies
  • WorkSafeBC, if applicable

Bill 30 governs job protection, not wage protection.

Don’t treat 27 weeks as a “safe cutoff”

Michael warns that once the ESA leave expires, employers cannot assume the employment relationship can be terminated:

“That may be true for employment standards, but it’s not true for human rights.”

Under the Human Rights Code, employees may still require accommodation beyond 27 weeks if their condition constitutes a disability. Employers must continue to evaluate undue hardship before any termination decision.

What employers should do next

  • Update medical leave policies once Bill 30 comes into force.
  • Clarify internal processes around requesting functional medical information (ability to work, not diagnosis).
  • Train managers on the distinction between ESA entitlements and human-rights accommodation.
  • Coordinate with HR and benefits providers so employees receive consistent information.

Minimum Wage Indexing: Annual Adjustments Now Built Into the System

B.C.’s minimum wage is now directly tied to the B.C. all-items Consumer Price Index (CPI), creating a more predictable annual adjustment process.

Michael explains the mechanism clearly:

  • Once a year, the province reviews the B.C. CPI.
  • Minimum wage increases by the same percentage.
  • The amount is rounded to the nearest five cents.
  • The wage cannot decrease, even if CPI drops.

As of the most recent increase discussed during the interview:

  • The minimum wage is $17.85.
  • . The next scheduled potential increase is June 1, 2026. 

Is it a “living wage”?

Michael is careful to separate political language from legal requirements:

“In collective bargaining, we’re told often by Unions that this is not a living wage… “living wage” is a concept mainly created and advocated by NGO’s and unions.”

For employers, the key takeaway is not whether minimum wage meets a living wage threshold—it’s the predictability of annual CPI increases, which improves budgeting but also raises labour-cost pressure.

Why this matters even if employers pay above minimum

  • Wage compression: As entry-level wages rise, the spread between job levels shrinks unless mid-level pay is also reviewed.
  • Recruitment competitiveness: Some roles close to the wage floor may become harder to hire for without adjustments.
  • Bargaining expectations: CPI increases often influence union negotiations.

Employer actions

  • Build annual CPI assumptions into financial planning.
  • Review wage bands regularly to avoid compression.
  • Communicate how compensation decisions are made (market benchmarks, CPI, performance, etc.).

Gig Workers, Contractors, and Remote Work: Navigating the New Grey Zones

As work becomes more flexible and distributed, employers increasingly rely on non-traditional models: gig workers, contractors, and fully remote staff. Michael highlights how the legal landscape is adapting.

Online platform workers now have defined ESA protections

App-based workers were long in a legal grey area. B.C. has now introduced rules that apply specifically to “online platform workers,” including:

  • Delivery workers (food, goods, beverages)
  • Ride-hail drivers

Under these regulations:

  • These workers are treated as employees for ESA purposes.
  • They receive a sector-specific minimum hourly rate for “engaged time” and a distance expense allowance.
  • In exchange, they are excluded from certain ESA protections, such as vacation pay and statutory holidays.

Michael describes this shift as B.C.’s effort to bring structure to what was effectively “wild west” employment for a decade.

Independent contractors: same legal tests, higher scrutiny

Many employers increasingly use contractors—especially for remote or project-based work—but Michael stresses that the label isn’t enough.

What matters is the substance of the relationship, including:

  • Degree of control and supervision
  • Worker’s opportunity for profit or risk of loss
  • Who supplies tools and equipment
  • Whether the worker serves multiple clients
  • Duration and consistency of work

This aligns with how the Employment Standards Act views employment status. The province’s Interpretation Guidelines Manual notes that an individual may still be considered an employee even when the parties label the relationship as contractual—a reminder that substance overrides form in ESA enforcement.2

The risks of misclassification include:

  • Liability for unpaid ESA entitlements
  • Claims for common-law reasonable notice upon termination
  • CRA reassessment and back-payments for source deductions

Michael’s advice:

“Even if the worker wants to be a contractor, ask whether it truly meets the test.”

Regardless of classification, employers should ensure contracts include enforceable confidentiality, non-solicit, and non-compete terms where appropriate.

Remote work doesn’t change classification

Some employers assume remote workers feel more like contractors. Legally, that is not the case.

If a worker:

  • Works exclusively for the company
  • Follows direction
  • Is paid in a structured, employee-like way

…then they will likely be treated as an employee. Remote work does not alter ESA or common-law protections.

A More Active Season for Labour Unrest

Finally, we asked Michael about the noticeable rise in strikes and bargaining disputes. His conclusion is clear:

“There’s a different energy behind some of the labour action.”

Contributing factors include:

  • Post-pandemic workplace restructuring
  • High inflation eroding real wages
  • A belief among some unions that this is a moment of strong leverage

Michael expects:

  • Continued strikes and tough negotiations
  • Greater use of mediators
  • Court activity around the constitutionality of back-to-work measures

Recent high-profile disruptions—such as B.C. port strikes, which halted billions in trade—illustrate how labour unrest can affect even non-union employers through supply chain impacts.1

Key Takeaways for Employers and HR Leaders

  1. Prepare for Bill 30. Update policies and educate managers on the intersection of ESA leave and human-rights accommodation.
  2. Plan for annual wage shifts. CPI-indexed minimum wage will continue creating upward pressure.
  3. Review non-traditional work arrangements. Gig workers, contractors, and remote employees each bring distinctive compliance risks.
  4. Monitor labour-market climate. Even non-union employers may feel the ripple effects of a more assertive bargaining environment.

Goldbeck Recruiting will continue monitoring these developments and partnering with legal experts to help employers stay informed and compliant.

BC Employment Law Update: Q4 2025
8 December 2025
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References

  1. “B.C. Port Strike Cost Economy $5 Billion, Think Tank Says,” CBC News, July 19, 2023.
  2. British Columbia Government, “Interpretation Guidelines Manual: ESA Part 1, Section 3.1, Definitions — Employee,” Government of British Columbia, accessed February 2025.
  3. Interview with Michael Kilgallin, Employment Lawyer, Vancouver BC

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