Workers' Action Centre executive director Deena Ladd says wage theft is one of the biggest problems facing workers who contact the action centre.
Workers in Ontario are owed tens of millions of dollars in unpaid wages that the provincial government has yet to collect from employers, according to internal government records obtained by CBC Toronto.Workers' Action Centre executive director Deena Ladd says wage theft is one of the biggest problems facing workers who contact the action centre.
If the Ministry of Labour orders an employer to pay wages and they don't comply within 30 days, the case gets referred to the Ministry of Finance for collections. "I feel that the system is really broken right now," said Deena Ladd, executive director of the Workers' Action Centre in Toronto. Wage theft typically refers to when an employer withholds earnings that are owed, doesn't provide vacation and holiday pay, makes illegal wage deductions, misclassifies employees, and other violations, according to Ladd.Five years after being charged with not complying with Ontario's Ministry of Labour, Toronto businessman Anchuan Jiang is facing new claims of wage theft and orders to pay employees.
"The numbers are very staggering … in terms of the number of wage theft complaints that we're dealing with on an everyday basis," Ladd said. "It's really terrible."The number of orders to pay wages issued by the Ministry of Labour has gone down in general over the last six years, from just over 5,000 orders in 2018 and 2019 to around 2,100 in 2022 and 2,300 in 2023, according to the government records.
He says the ministry has adequate enforcement tools, but he questions the willingness to use the more punitive measures. Blodgett says if employers don't pay their orders letters are issued and follow up calls are made. If there is still non-compliance, the ministry can register and enforce warrants of seizure and sale, put liens on property and garnish bank accounts.
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