Is an employer required to continue pension contributions to employee who has been temporary laid-off due to COVID-19?

Yes, in May 2020, the government of Ontario introduced the Infectious Disease Emergency Leave regulation, providing job protection for employees impacted by COVID-19.  Similar to other emergency leaves, employers are required to continue providing benefits, including pension contributions, unless the employee elects in writing not to do so.  The leave entitlements are retroactive to January 25, 2020 and provide the following:

During the COVID-19 period, March 1, 2020 to January 21, 2021:

  • A non-unionized employee whose employer has temporarily reduced or eliminated their hours of work for reasons related to COVID-19 is deemed to be on a job-protected infectious disease emergency leave.
  • A non-unionized employee is not considered to be laid off if their employer temporarily reduces or eliminates their hours of work or wages for reasons related to COVID-19.
  • A non-unionized employee is not considered to be constructively dismissed under the Employment Standards Act if their employer temporarily reduces or eliminates their hours of work or wages for reasons related to COVID-19.

On September 3, 2020, the government of Ontario extended the Infectious Disease Emergency Leave regulation to January 2, 2021.