New Canadian law affecting federal workers has now kicked in

Jun 20 2025, 1:45 pm

A new law that impacts federal workers in Canada takes effect today.

Last year, the federal government passed Bill C-58, a law designed to protect unionized workers during strikes or lockouts.

Starting on Friday, June 20, federal employers will no longer be able to use replacement workers, also known as “scabs,” to do the jobs of unionized employees during legal strikes or lockouts.

Federally regulated employers, such as banks, telecom companies, postal services, and transportation companies, could be fined up to $100,000 per day if they violate the new “anti-scab” law in Canada.

“No employer in this country should be able to undermine negotiations with scab labour,” said Unifor National President Lana Payne in a statement on Friday. “With this new law coming into force, the right to free and fair collective bargaining is stronger today than it was before.”

There are exceptions to this new law, such as the need to use a replacement worker to prevent threats to life, health, or safety of the public, and to prevent serious damage or destruction to their property. However, bargaining unit members must be offered the opportunity first.

This new law comes amid a slew of strikes across Canada, including recent job action from Canada Post and DHL.

Canada Post strike

Canada Post strike in December (Daniel Chai/Daily Hive)

Unifor says that, although this is a major win for worker rights, there are still ongoing efforts by employer coalitions to weaken Bill C-58.

“The fact is, employers are already probing for loopholes in this anti-scab law,” said Payne. “We have to stay vigilant to defend our right to strike, protect our gains, and extend these protections to all workers in every jurisdiction.”

The union is also calling on all provinces to follow the federal government’s lead to create anti-scab laws.

It notes that British Columbia and Quebec already have “anti-scab” legislation, but there are still loopholes that need to be eliminated.

The union, which represents over 320,000 workers across the country, is calling on provinces and territories to enact “anti-scab” laws in Canada that:

  • Prohibits employers from using replacement workers for the duration of any legal strike or lockout, specifically banning the use of any employee or contracted workers to perform the duties of a bargaining unit employee
  • Prohibits employers from using both external scabs (those hired specifically to replace striking or locked out bargaining unit members), as well as internal scabs (new hires, members of the bargaining unit who might otherwise cross the picket line, or any other employees at any of the employer’s establishments, including managers)
  • Includes significant financial penalties for employers who defy the “anti-scab” legislation, to be calculated on a per-day basis for the duration of the period of non-compliance
  • Allow for the very limited use of temporary workers, only to undertake essential maintenance work to protect the integrity and safety of the workplace, but not to contribute to the ongoing, normal operation of the workplace.

This article was originally published on June 15, 2025. It has since been updated.

ADVERTISEMENT