Angola
Angola Ratifies the 2006 Maritime Labor Convention (MLC)
New Legislation Enacted
Authors: Elieser Corte Real, Partner, and Nuno Gouveia, Partner – Miranda Alliance - Fátima Freitas & Associados
Australia
Introduction of New "Skills in Demand" Visa
New Legislation Enacted
Authors: Michael Whitbread, Of Counsel, and Naomi Seddon, Shareholder – Littler
Effective December 7, 2024, the Australian Government replaced the Temporary Skills Shortage visa (subclass 482) with a new Skills in Demand visa. This new visa offers more opportunities for individuals to change employers and provides clear pathways to permanent residency. The regime introduces a tiered system with fast-track processing for highly skilled migrants, a "core skills" pathway, and a more restricted "essential skills" pathway. The two-year related work-experience requirement under subclass 482 has also been reduced to one year making it easier for students who study in Australia to transition to a permanent work visa.
Privacy Amendment Bill Passed
New Legislation Enacted
Authors: Michael Whitbread, Of Counsel, and Naomi Seddon, Shareholder – Littler
Australia's Federal Parliament passed the Privacy and Other Legislation Amendment Bill 2024 in November 2024. Our earlier update on the bill as first proposed appears here.
The Bill introduces, among other things, a penalty regime for corporations that fail to have a clearly expressed and up-to-date privacy policy. The Privacy Commissioner will be empowered to issue compliance notices, including civil penalties of up to AUD $66,000 when an organization fails to, among other things: have a compliant privacy policy, allow for anonymity (where practicable and not otherwise prevented by law), honor direct marketing opt-outs, or respond to a request to correct information within 30 days and include any requested correction notice. While most aspects of the new law will commence once the law receives Royal Assent over the next several weeks, transparency requirements regarding automated decision-making will begin 24 months after the new law takes effect.
Employers should take steps now to proactively review existing privacy policies to ensure compliance.
High Court of Australia Clarifies Scope of Vicarious Liability
Precedential Decision by Judiciary or Regulatory Agency
Authors: Michael Whitbread, Of Counsel, and Naomi Seddon, Shareholder – Littler
The High Court in Australia considered the issue of an employer's vicarious liability for the acts of employees in Bird v. DP (A Pseudonym) [2024] HCA 4. The case involved acts of a priest, which the High Court found could not result in vicarious liability of the Diocese as the priest was not an employee of the Diocese, holding that vicarious liability is confined to employment relationships only. The High Court also declined to consider a new contention that the Diocese owed a non-delegable duty of care, as the claimant had not raised this contention in earlier proceedings.
Gender Equality Targets in Proposed Amendment to the Workplace Gender Equality Act
Proposed Bill or Initiative
Authors: Michael Whitbread, Of Counsel, and Naomi Seddon, Shareholder – Littler
Federal Minister for Women, the Hon. Katy Gallagher, has proposed an amendment to the Workplace Gender Equality Act that would require employers with at least 500 employees to set, act upon, and achieve defined gender equality targets. Gender equality reporting has been in place for employers with 100 or more employees since 2012 but, to date, there have been no target requirements imposed on employers. If passed, this amendment would place additional obligations on certain employers to achieve set targets.
The proposal would require the Federal Minister to set the targets and applicable rules, covering classes of targets, numbers of targets of a specified class, and/or required levels of improvement against a specific target. The government would also be permitted to publicly name any employer that fails to meet its targets, potentially leading to reputational damage and affecting the company's ability to secure government contracts.
Criminal Wage Theft Provisions Began January 1, 2025
Legal Compliance
Authors: Michael Whitbread, Of Counsel, and Naomi Seddon, Shareholder – Littler
As previously reported, as of January 1, 2025, the criminalization of serious violations of wage theft laws went into effect. In addition to existing exposure to civil penalties, an employer that intentionally engages in conduct which results in a failure to pay an amount required under the Fair Work Act, such as accrued annual leave, may be subject to criminal liability. Individual executives, such as company directors or partners in a partnership, can be subject to a fine of up to AUD $1,650,000, or a term of imprisonment of up to 10 years for serious violations. Corporate employers can be fined up to AUD $8,250,000. These new criminal penalties will not apply if the conduct is accidental, unintentional, or based on a genuine mistake.
Austria
Federal Ministry of Labor and Economic Affairs Statement on Training and Education Costs to be Paid by the Employer
New Regulation or Official Guidance
Authors: Patricia Dasch, Associate, and Armin Popp, Attorney-at-Law – Littler Austria
In March 2024, a new provision of Section 11b AVRAG (Employment Contract Adjustment Act) went into effect requiring employers to pay the costs of employee training and education required for work under the employment contract due to statutory provisions or regulations, or the applicable collective bargaining agreement.
In a recently published statement, the Federal Ministry of Labor and Economic Affairs summarized its view on the interpretation of this provision. According to the statement, the new regulation is only applicable in cases where the training is essential for the performance of work under the employment contract and there are specific legal consequences for its omission, such as additional mandatory training requirements for chartered accountants. The new regulation excludes, in particular, training courses for the general expansion of knowledge, or to acquire professional training or additional qualifications for a future or any other potential job. Furthermore, the employer's obligation to pay for training does not preclude reimbursement of training costs by the employee upon termination of the employment relationship.
Calculation of the Notice Period in the Event of a Change in Seniority During the Termination Period
Legal Compliance
Authors: Patricia Dasch, Associate, and Armin Popp, Attorney-at-Law – Littler Austria
The notice periods to be observed are generally dependent on length of service and increase gradually with the completion of years of service in accordance with Section 20 of the Austrian Salaried Employees Act (AngG). The right to a longer notice period due to a longer period of service only applies if the employee has already completed the requisite years of service by the latest possible date to give notice of the intended termination date. This is not based on the date of the declaration of termination, but on the last possible date of termination. If the employee has already completed the relevant year of service, the longer notice period must be observed.
Belgium
Federal Learning Account Obligations Postponed
New Legislation Enacted
Author: Yne Machiels, Partner – Reliance | Littler
In the framework of the so-called Labor Deal, implemented at the end of 2022, new legislation required employers to register employee training in an online platform created by the Belgian government, the Federal Learning Account (FLA). For training after January 1, 2024, registration was initially scheduled to be due by the end of November 2024.
However, following the social elections and the changed political landscape, the political parties agreed to postpone the obligation to register training in the FLA until the end of March 2025. A total abolishment of this obligation is still possible, depending on the outcome of the ongoing negotiations between the political parties to form a new government.
Brazil
New Law Provides for the Inclusion of People with Autism in the Job Market
New Legislation Enacted
Authors: Marília Nascimento Minicucci, Shareholder, and Pâmela Almeida da Silva Gordo, Senior Associate – Chiode Minicucci Advogados
On October 4, 2024, Law No. 14,992/2024 went into effect, amending Law No. 13,667/2018 (the National Employment System (SINE) law) to establish measures regarding the inclusion of people with Autism Spectrum Disorder (ASD) in the job market. Among the measures, new provisions require the integration of the National Registration System for People with Autism Spectrum Disorder (referred to as SisTEA) database into the SINE to capture job vacancies and apprenticeship contracts. In addition, municipalities that join the SINE must promote initiatives for the inclusion of people with disabilities in the job market, including holding job fairs and raising awareness among employers about hiring people with disabilities.
List of Occupational Diseases Has Been Updated
New Regulation or Official Guidance
Authors: Marília Nascimento Minicucci, Shareholder, and Pâmela Almeida da Silva Gordo, Senior Associate – Chiode Minicucci Advogados
On November 5, 2024, the Ministry of Health enacted Ordinance No. 5674/2024, which updates the list of occupational diseases and serves as guidance for the implementation of monitoring and preventive measures by employers, aimed at promoting a safer work environment for employees. Among other things, the ordinance details the risks associated with factors such as exposure to toxic substances, high sound pressure, and work with ionizing radiation. It also adds diseases and details work-related risk factors.
Canada
Ontario Bill 190, Working for Workers Five Act, 2024 Receives Royal Assent
New Legislation Enacted
Authors: Rhonda B. Levy, Knowledge Management Counsel, and Monty Verlint, Partner – Littler LLP
On October 28, 2024, Ontario's Bill 190, Working for Workers Five Act, 2024 (Bill 190), received Royal Assent. Among other things, Bill 190 amends the Employment Standards Act, 2000, Occupational Health and Safety Act, and the Workplace Safety and Insurance Act, 1997. The amendments address sick leave, fines, advertised job postings, applicant interviews, telework performed in private residences, workplace harassment, joint health and safety committees, washroom facilities, postings of employee information, post-traumatic stress disorder (PTSD) benefits, among other areas.
For detailed information, visit Littler.com.
Ontario Appellate Court Provides Guidance to Employers on Drafting Employment Settlement Documents
Precedential Decision by Judiciary or Regulatory Agency
Authors: Rhonda B. Levy, Knowledge Management Counsel, and Monty Verlint, Partner – Littler LLP
In Preston v. Cervus Equipment Corporation, 2024 ONCA 804, the Court of Appeal for Ontario (OCA) found that Minutes of Settlement and a Release and Indemnity executed by an employee after he was terminated from his employment prevented him from suing for the value of his vested stock units. The case demonstrates how employers that settle wrongful dismissal claims can ensure that settlement documents release them from all possible claims arising from the employment relationship and its cessation.
For detailed information, visit Littler.com.
Ontario Court Upholds Provision Limiting Employee's Termination Rights to Minimums Under Employment Standards Legislation
Precedential Decision by Judiciary or Regulatory Agency
Authors: Rhonda B. Levy, Knowledge Management Counsel, and Monty Verlint, Partner – Littler LLP
In Bertsch v. Datastealth Inc., 2024 ONSC 5593, the Ontario Superior Court of Justice dismissed an employee's claim for common law reasonable notice of termination on a Rule 21 motion. The court held this was an appropriate case for a Rule 21 motion and that the termination provision, which excluded the employee's entitlement to common law notice and limited his entitlement to the minimums under the Ontario Employment Standards Act, 2000, was clear and enforceable.
For detailed information, visit Littler.com.
Ontario, Canada Government Introduces Bill 229 - Working for Workers Six Act, 2024
Proposed Bill or Initiative
Authors: Rhonda B. Levy, Knowledge Management Counsel, and Monty Verlint, Partner – Littler LLP
On November 27, 2024, Ontario introduced Bill 229, Working for Workers Six Act, 2024 (Bill 229) for First Reading. If enacted, Bill 229 would amend the following:
- The Employment Standards Act, 2000 to add an unpaid child placement leave and an unpaid long-term illness leave for eligible employees;
- The Occupational Health and Safety Act, including by setting a minimum fine of CAD $500,000 for corporations convicted of a second or subsequent offense that results in the death or serious injury of one or more workers in a two-year period; and
- The Workplace Safety and Insurance Act, 1997, including by adding specific cancers to the diseases presumed to be occupational diseases that occur due to the nature of a worker's employment as a firefighter or fire investigator.
For detailed information, visit Littler.com.
China
China Extends National Public Holidays by Two Days Starting 2025
New Regulation or Official Guidance
Authors: Xi (Grace) Yang, Of Counsel, and Jerry Zhang, Associate – Littler
Starting January 1, 2025, China will extend its public holidays by two days annually, following revisions to the National Holidays and Memorial Days Regulations. The Spring Festival holiday will increase to eight days, beginning from Lunar New Year's Eve, while Labor Day will expand to five days, including make-up working days. Other holidays, such as the Qingming Festival, Dragon Boat Festival, Mid-Autumn Festival, and New Year's Day, generally range from one to three days, depending on the calendar. When National Day overlaps with the Mid-Autumn Festival, the holiday will extend to eight days.
Colombia
New Pension Reform Decree Enacted
New Order or Decree
Author: Juan José Cataño, Attorney-at-Law – Godoy Córdoba | Littler
A pension reform decree, which will take effect on July 1, 2025, introduced a new comprehensive social protection system for old age, disability, and death of common origin. The system makes a number of changes to the pension system, including the creation of a complementary individual savings component that will allow individuals to directly manage their retirement contributions.
The regulation specifies that certain workers whose income exceeds 2.3 times the minimum monthly wages (SMLMV) will be required to contribute a portion of their pension to Colpensiones, and the remainder may be contributed to a private savings institution, which they must choose within six months of the enactment of the law. This step is mandatory to ensure workers can access the benefits of the new pension system. A random assignment of a pension selection may be made for those who do not make their selection within the established timeframe.
Constitutional Court Publishes Ruling Regarding Collective Agreements
Precedential Decision by Judiciary or Regulatory Agency
Author: Juan José Cataño, Attorney-at-Law – Godoy Córdoba | Littler
The Constitutional Court declared Article 481 of the Colombian Labor Code, which allows collective bargaining with non-union employees, constitutional. The plaintiffs in the case claimed Article 481 violated Article 4 of ILO Convention 98 and Articles 2 and 3 of ILO Convention 154 because it allows the signing of collective agreements with non-unionized workers, sometimes harming unions when they represent less than one-third of a company's workers. The high court clarified that collective bargaining is not exclusive to unions and stated that, according to its case law, collective agreements signed with representatives of non-unionized workers fall within the framework of the right to collective bargaining. The court reiterated that the signing of collective agreements, in itself, does not violate the right of union association.
Supreme Court Upholds Dismissal for Sexual Harassment, Rejects Disability Claim
Precedential Decision by Judiciary or Regulatory Agency
Author: Juan José Cataño, Attorney-at-Law – Godoy Córdoba | Littler
The Supreme Court of Justice denied the appeal of a worker who challenged his dismissal, with just cause, for sexual harassment of a co-worker, claiming he was protected by his disability status. Noting that sexual harassment is a serious offense that undermines dignity and the work environment, the Court held that the employer was not required to seek permission from the Ministry of Labor to terminate the employment contract. There was no proof of a causal relationship between the worker's disability and the employer's decision to dismiss him, which was not a discriminatory act. The Court relied on international and national standards that prohibit violence and harassment in the workplace and require employers to adopt measures to prevent, investigate, and sanction such conduct.
Labor Reform is Approved by the House of Representatives
Proposed Bill or Initiative
Author: Juan José Cataño, Attorney-at-Law – Godoy Córdoba | Littler
The plenary of the House of Representatives approved the labor reform bill promoted by the government, and the proposal will now move to the Senate for its final two debates. In addition to provisions related to the promotion of sustainable work and marriage leave, notable new articles that have been incorporated into the bill include the following provisions:
- Night work, which qualifies for overtime, starts from 7 p.m. rather than 9 p.m.;
- Maximum worktime is eight hours per day or 42 hours per week;
- Employees are entitled to time off for medical appointments, school visits, and funerals; and
- Overtime is required for work on an employee's day of rest.
Croatia
Increase of Minimum Wage for 2025
New Order or Decree
Authors: Marija Gregoric, Partner, and Matija Skender, Senior Associate – Babic & Partners Law Firm
As of January 1, 2025, the basic national full-time minimum wage in Croatia is EUR 970, as provided by the Croatian government's Decree on the Minimum Wage Amount for 2025. The new national minimum wage is 15% higher than the minimum wage for 2024. Wage increases for overtime work, night work, difficult working conditions, work on Sundays, and work on bank holidays are not included in the amount of the minimum wage and, when applicable, must be calculated in addition to the minimum wage.
Regulation on Determination of Quotas for Hiring of Disabled Persons
New Regulation or Official Guidance
Authors: Marija Gregoric, Partner, and Matija Skender, Senior Associate – Babic & Partners Law Firm
Under Croatian law, employers with at least 20 employees must comply with regulations concerning quotas for hiring persons with disabilities. Qualifying employers are required to fulfill this obligation through one of the following: (1) direct employment, i.e., employing a specified number of persons with disabilities, calculated as a percentage of the total workforce; (2) business cooperation agreements, i.e., entering into agreements with self-employed persons with disabilities or with protective or integrative workshops; or (3) compensation payment, i.e., paying a prescribed monetary amount for failure to meet the prescribed quota.
The Regulation on the Determination of Quotas for Hiring Persons with Disabilities, recently enacted by the Ministry of Labor, sets a uniform hiring quota of 3% of the total workforce, regardless of the employer's industry. Employers that opt not to meet the hiring quota through direct employment, may either pay to the Croatian government an amount equal to at least 20% of the prescribed minimum wage for each position required under the quota, or conclude business cooperation agreements with a minimum value of 20% of the prescribed minimum wage per position required under the quota. The regulation also introduces monetary incentives for employers that hire persons with disabilities beyond the prescribed quota, encouraging more inclusive employment practices.
Employers are advised to review the regulation carefully and assess their workforce policies to ensure compliance, as well as to take advantage of potential incentives.
Draft Amendments to the Maternity and Parental Benefits Act
Proposed Bill or Initiative
Authors: Marija Gregoric, Partner, and Matija Skender, Senior Associate – Babic & Partners Law Firm
In late December 2024, the Croatian Ministry of Demography and Immigration submitted draft amendments to the Maternity and Parental Benefits Act (MPB Act) for public consultation. The primary goal of the MPB Act is to create a supportive environment for families and children, with particular emphasis on creating a sustainable work-life balance, enhancing the position of mothers in the labor market, and encouraging fathers to be more engaged in the early stages of child-rearing.
The draft amendments include the following notable proposed changes:
- Doubling the one-time financial support for a newborn child to approximately EUR 600;
- Increasing the monthly salary compensation cap during the first part of parental leave for employed and self-employed parents up to approximately EUR 3,000;
- Increasing compensation for unemployed beneficiaries and beneficiaries outside the labor system (unemployed mothers);
- Increasing benefits for parents of children with disabilities; and
- Doubling the duration of paid paternity leave and second adoptive parent leave to 20 (for the first and second child) or 30 working days (for twins, and a third and any subsequent child).
Collective Agreement for Trade
Legal Compliance
Authors: Marija Gregoric, Partner, and Matija Skender, Senior Associate – Babic & Partners Law Firm
On September 25, 2024, the Croatian Trade Union and the Croatian Employers' Association – Trade Association concluded a Collective Agreement (CA) for the trade sector. On October 30, 2024, under the authority provided in the Employment Act, the Minister of Labor extended the application of the CA to almost all employers in the retail/wholesale sector, effective as of November 1, 2024. The CA is expected to apply until November 1, 2027. At this point in time, there is still ambiguity as to whether the CA applies only to employers with retail/wholesale as their main registered activity, or to any employer engaged in such activities.
The CA applies to all employees, regardless of contract type (e.g., fixed-term, permanent, full-time, or part-time). It introduces enhanced employee rights, including higher minimum salaries based on job complexity, mandatory financial subsidies, mandatory annual gifts and jubilee awards, retirement severance pay, mandatory seniority-based extension of annual leave duration, minimum durations of paid and unpaid leave, etc. Under the core principle of Croatian employment law, employees benefit from the more favorable terms set in the CA even if their existing rights under employment contracts and employment rulebooks fall below the standards set in the CA.
Employers in the retail/wholesale sectors are advised to undertake an assessment of their internal employment landscape and potentially reconsider and restructure their compensation schemes to ensure compliance and avoid employment disputes.
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