Employees Are Not Volunteers: Ontario Superior Court Sets New Precedent

Employees Are Not Volunteers: Ontario Superior Court Sets New Precedent

On June 27, 2022, the Ontario Superior Court approved a settlement in a class action lawsuit against the student travel group S-Trip for classifying trip leaders as volunteers, who were actually doing the work of employees. 

The settlement is a first of its kind ruling in Canada and is an important step towards decent work for both volunteers and employees.  

In 2017, CBC News reported that S-Trip told college-age students and recent graduates to expect 14-hour workdays, yet signed a contract that designated them a volunteer. S-Trip’s Toronto-based parent company — I Love Travel — has now agreed to a $450,000 settlement and to reclassify staff on future trips as employees rather than volunteers and 1,170 trip leaders will be eligible to file a claim for compensation based on the misclassification. 

Source: CBC News — Ontario class action settlement reclassifies volunteers as employees, setting new precedent 

Sector organizations, like the Ontario Nonprofit Network (ONN), have expressed support for the ruling as an advocate for Decent Work. Volunteer Toronto’s leadership and staff team also welcome the decision.  

“This ruling sets an example of the consequences when you take advantage of the concept of volunteerism in order to exploit people,” says Joanne McKiernan, Volunteer Toronto’s Executive Director. “We know there are varied circumstances within the non-profit sector that lead to blurred lines, such as when a grassroots group with no budget recruits a volunteer for a role, but a non-profit with revenue pays staff for the same position. There are layers to interpreting what is decent work for volunteers in the non-profit sector, but in this case related to a for-profit company, the line is clear. The ruling is incredibly justified.”

In January 2022, the ONN released a publication on “Volunteers and Decent Work – What’s the Connection? outlining the complex perceptions and misclassifications of volunteers compared to employees and interns. The paper outlines key steps towards decent work for the non-profit sector, including the following recommendations:

  • Non-profits should adopt the Canadian Code for Volunteer Involvement
  • Non-profits must acknowledge that volunteers have rights
  • Non-profits need to ensure effective volunteer involvement and a safe supportive environment
  • Funders should provide better funding for volunteer-only non-profits
  • Government regulators must prohibit for-profit organizations from using volunteers for profit-making activities
  • Government regulators must name and define volunteers in the Employment Standards Act, providing clear guidance on the distinction between employees and volunteers. 
Bradley George
Author: Bradley George

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