Ontario's Ministry of Labour can't force employers to pay worker wages, but why?

Dozens of people have contacted CTV News claiming they weren’t paid after working at, or providing services to, a Kitchener, Ont. grocer. Some allege they’re owed thousands of dollars from Dutchie’s Fresh Food Market. In some cases, they’ve been waiting years for a resolution.

CTV News spoke to employment lawyer to find out why Ontario’s Ministry of Labour has limited tools to force businesses to pay, even though they’re the ones tasked with responding to complaints.

Waiting for wages

Jacob Ketros worked for Dutchie’s from 2021 to 2022. He took his wage complaint to the Ministry of Labour in 2022 – and won. But Ketros still hasn’t been paid.

“I was owed $14,600, give or take,” he explained. “And have, at this point, received nothing.”

Ketros isn’t optimistic about getting those wages from Dutchie’s.

“I don’t think I’ll be getting any money back,” he said. “I’m not exactly sure as to why that would be allowed.”

More on Jacob's case

The Ministry of Labour said they received Ketros’ complaint against Dutchie’s in August 2022.

On Oct. 17, the Employment Standards Officer issued an Order to Pay for Ketros’ missing wages, overtime pay and public holiday pay.

Then, on Feb. 10, the Employment Standards Officer issued a Director’s Order to Pay.

Both orders were then forwarded to the Ministry of Finance for collections.

How does this happen?

Joanna Mullen, an employment lawyer with Waterloo Region Community Legal Services, has personal experience with Dutchie’s. She looked into similar cases in 2019.

“Over the years we’ve had several former [Dutchie’s] employees come to us and seek some assistance,” she told CTV News Wednesday.

Mullen said Ketros made the right decision by going directly to the Ministry of Labour.

“[Employees] need to be keeping detailed records about the shifts that they worked [and] the wages they’re owed,” she explained. “[They also need] to keep any paystubs or checks that have bounced because all of that could be important evidence.”

The Ministry of Labour, she added, has the ability to punish businesses.

“They can face fines up to $50,000, or even face jail time of up to 12 months. And so when you have a really bad offender, ideally that’s what the Ministry of Labour should be doing.”

What the Ministry of Labour can’t do is put that money into the pocket of people like Ketros.

“To get their actual money that they’re owed, we have to look at what the Ministry of Finance does,” Mullen explained.

“If the employer does not pay, or fails to honour the agreed upon payment schedule, the Ministry of Finance may take additional actions to collect monies owing,” said Scott Blodgett, senior media relations advisor for the communications services branch of the Ministry of Finance.

They have several methods to get the money from an employer, including:

• Wage garnishment
• Third-party demand to banks
• Writs of seizure and sale

The Ministry of Finance said they could not provide any further information due to confidentiality concerns.

According to Mullen, the province has shown an unwillingness to hold offenders accountable.

“There’s a sense that they’re not doing the more heavy-handed work of ensuring that bad employers are brought to task for what’s going on.”

Mullen said that more action is needed to help claimants.

“We’re still seeing workers coming forward who haven’t been paid their wages,” she explained. “I think it’s very fair for those workers to be asking why this has been allowed to continue.”

Both the Ministry of Labour and Ministry of Finance told CTV News their case loads are extensive.

“The ministry takes the enforcement of employment standards very seriously and uses every avenue available to pursue the recovery wages that workers are owed,” the MOL said in a statement to CTV News. “That is why our ministry has recovered more than $100 million in wages and other money owed to workers over the last five years.”

How to file a complaint

The Ministry of Labour advises any worker, who believes their employer isn’t following the Employment Standards Act, to file a claim. When this happens, both the claimant and employer are asked to provide evidence to support or dispute the claim. Filing must happen within two years of the alleged violation.

Aidan Grossi, another former Dutchie’s employee who filed a complaint with the Ministry of Labour, told CTV News that his investigator initially sided with the grocer. Grossi then appealed that decision. Before the scheduled hearing, however, Dutchie’s offered to pay what he was owed and the hearing never happened.