Paper light employment files
Grant Machum and Guy-Etienne Richard
Maintaining employment files requires physical space and can be costly. Nowadays many employers are moving away from keeping paper files to electronic storage. This brings up two issues:
- Are employers required to keep a paper file if it is in electronic format?
- How long do employers need to retain employment files?
Are employers required to keep a paper files?
If employers decide to keep the records electronically, they must ensure they have a process that protects the integrity and the security of the information, and a written procedure outlining that process. For example, digital copies should be exact copies of the original and kept in a non-changeable form. This will help ensure the electronic copies are admissible in court.
Alberta is the only Canadian province which does not allow employment files to be stored solely in electronic format. The Electronic Transactions Act General Regulation specifically excludes employment records, suggesting that a paper copy should be kept on site.
All other provinces allow electronic files to be kept without the need for a paper copy. Legislation applicable in the various provinces varies slightly and employers are advised to consult the specific legislation in their province to ensure compliance.
How long do employers need to retain employment files?
The minimum period that employee records must be kept for varies across the provinces, as well as the various legislation. For example, provincial employers in Nova Scotia should keep the following legislation in mind:
- The Nova Scotia Labour Standards Code requires that records be maintained for three years.
- The Limitation of Actions Act generally requires that a claim be brought within two years of the date the claim is “discovered”.
- The Occupational Health and Safety Act and the First Aid Regulations both require that documents relating to incidents or orders be kept for five years.
- The Workers’ Compensation Act does not specify a retention period, but allows claims for injury or disease up to five years after a workplace accident.
- The Income Tax Act allows Revenue Canada to perform an audit within six years from the end of the tax year.
Accordingly, retention period can vary greatly depending on the nature of the document and province. The table below provides a general overview of the relevant periods (in years) for various employment matters for each province.
Legislation |
NL |
NS |
PEI |
NB |
QC |
ON |
MB |
SK |
AB |
BC |
Employment Standards |
4 |
3 |
3 |
3 |
3 |
3 |
3 |
5 |
3 |
2 |
Workers Compensation |
6 |
5 |
3 |
1 |
— |
2 |
4 |
3 |
2 |
3 |
Occupational Health & Safety |
2 |
5 |
3 |
3 |
5 |
1 |
5 |
5 |
2 |
3 |
Limitation of Actions |
6 |
2 |
6 |
2 |
3 |
2 |
7 |
2 |
2 |
2 |
Human Rights |
1 |
1 |
1 |
1 |
2 |
1 |
2 |
1 |
1 |
2 |
Income Tax |
6 |
6 |
6 |
6 |
— |
6 |
6 |
6 |
6 |
6 |
Revenue Administration |
7 |
— |
— |
— |
6 |
— |
— |
— |
— |
— |
Depending on the nature of the documents (e.g. records of accidents, payroll, personal information, criminal records, etc) the retention period may vary.
Limitation legislation generally allows claims to be brought up to an absolute maximum of 15 to 30 years from the date of incident. However, there are some exceptions: where a physical altercation has occurred at work, such as assault, battery, or sexual abuse (or you suspect such an altercation may have occurred), records should be kept indefinitely. Such a claim, in particular the injury it causes, may not be “discovered” by the employee until years after the fact.
As retention periods can vary greatly, we would be pleased to advise on the specific legislative requirements for your documents.
This update is intended for general information only. If you have questions about the above information, and how it applies to your specific situation, please contact a member of our Labour & Employment group.
Click here to subscribe to Stewart McKelvey Thought Leadership.
Archive
By Tauna Staniland, K.C., ICD.D, Joe Thorne, and Nadine Otten What can you do when your corporation wants to complete a complex transaction requiring significant corporate restructuring that cannot be easily completed under the corporation’s…
Read MoreStewart McKelvey is pleased to present Energy Watch – a review of key legislative and policy advancements in the renewable energy sector in 2023 in each of Newfoundland and Labrador, Nova Scotia and New Brunswick…
Read MoreWe are pleased to present Beyond the border: A year end immigration wrap-up. Compiled by Lawyers from our Immigration team, this 2023 update covers topics including the Government of Canada’s ambitious immigration plans for the future;…
Read MoreBy Perlene Morrison, K.C., Hilary Newman & Curtis Doyle Once again, the time has come to review the year that was and to chart the course for the year ahead. For municipalities and planning professionals…
Read MoreBy Dave Randell, John Samms & Jayna Green A recent Government of Newfoundland and Labrador (“GNL”) announcement affirms the Province’s swift and ambitious approach to offshore wind development. While it may come as a shock…
Read MoreBy Sadira Jan, Dave Randell, Graham Haynes & Tyler Callahan On November 30, 2023, the Federal Government tabled Bill C-59, entitled An Act to implement certain provisions of the fall economic statement tabled in Parliament…
Read MoreBy Brendan Sheridan The Government of Canada has continued their whirlwind year of immigration program announcements by revealing their plan to modernize and improve the country’s immigration system. This plan, known as “An Immigration System…
Read MoreBy Christine Pound, ICD.D, Rebecca Saturley, & Daniel Roth Canada’s anti-modern slavery legislation comes into force on January 1, 2024. To prepare for the first reporting deadline on May 31, 2024, organizations need to determine…
Read MoreBy Brian Johnston, K.C. and Richard Jordan On November 9, 2023, Minister of Labour, Seamus O’Regan, introduced Bill C-58 in the House of Commons to amend the Canada Labour Code to prohibit the use of…
Read MoreBy Kevin Landry & Eryka Gregory The Retail Payment Activities Regulations (“Regulations”) under the Retail Payment Activities Act (“RPAA”) were finalized and published in the Canada Gazette Part II on November 23, 2023. The RPAA was…
Read More