For businesses in Canada (or anywhere), operating within the bounds of the law is essential. A Canadian business needs to comply with many laws and regulations. There are rules in place regarding transactions, labour practices and security procedures. If you are an entrepreneur, you must educate yourself about the regulations that apply to your industry.
Compliance requirements for a company are of two types: internal and external. Internal measures are formulated and enforced by the company’s upper staff. External requirements are enforced by the state in which the company is incorporated. Let’s focus on some of the external measures.
Payroll Compliance
It’s mandatory for a company to keep a record of their employees. You need to maintain a record of information on each employee’s timesheets, pay and other accrual calculations. You also need to ensure that minimum employment standards are met. The Employment Standards Code of Alberta recognises that “legislation is an appropriate means of establishing minimum standards for terms and conditions of employment.”
Alberta’s Code states that employees must be paid at least once a month. It is up to you as an employer to set up one or more times during the month when you will hand out wages. Some amount can be legally deducted from the employees’ salaries for Income Tax, Canada Pension Plan and Employment Insurance.
The Employment Standards Code of Alberta also gives details regarding hours of work and rest. Employees can only work a maximum of 12 hours a day. In shifts of more than 5 hours, they are entitled to at least 30 minutes of rest. There should be a rest day – an off – at least once a week.
Canada’s Anti-Spam Legislation (CASL)
A new anti-spam legislation came into effect on July 1, which will apply to Canadian companies and organisations worldwide. All commercial communication, e.g. e-mails, texts and tweets, by all kinds of businesses comes under this law. In order to sell or promote your products and services through electronic messages, you will need to prove that you have consent from existing and prospective customers.
Canada’s Anti-Spam Legislation, also known as Bill C-28, covers businesses that send commercial electronic messages, alter transmission data and produce / install computer programs. Penalties for each violation are as high as $ 1 million for individuals and $ 10 million for companies.
Privacy Compliance
The quandary regarding privacy compliance is how to ensure that mandates are followed without taking resources away from core business activities. The thing is, there is no away around it; it has to be done. But it also has a benefit; if you take extensive measures to protect your clients’ information, they will develop greater trust and loyalty towards your brand.
The Personal Information Protection and Electronic Documents Act (PIPEDA), 2000 is the one you have to comply with. You have to get your customers’ consent to collect and use their personal information. Unless any information is essential to the business transaction, you have to provide your products and services to customers even if they refuse to share their information. Also, your personal information policies should be clear and understandable.
Alberta is a part of the competitive global market economy. Complying with all the laws and regulations that hold sway in Canada is vital for the prosperity of your business.