Significant updates to the Canada Labour Code are set to take effect on December 12, 2025, with additional changes coming in 2026. These changes introduce new leave entitlements for federally regulated employees, including leaves for pregnancy loss, adoption and surrogacy placement, and enhanced bereavement leave. They also impose new obligations on employers relating to all federally regulated leaves and establish financial penalties for non-compliance.
Pregnancy loss leave
A new category of leave will be available to support employees who experience pregnancy loss. This includes situations involving the employee, their spouse or common-law partner, if they were intended to be the legal parent of the child that would have been born had another person’s pregnancy (such as a surrogate) resulted in a live birth. The length of the leave will vary depending on the circumstance.
Employees may take up to eight weeks of unpaid leave in the event of a stillbirth, or up to three days in any other pregnancy loss. The first three days of pregnancy loss leave are paid for employees who have at least three months of continuous service with the employer. Employers may request a certificate from a health care practitioner to confirm the need for leave. This leave can be taken once per pregnancy.
Expanded bereavement leave
Bereavement leave is being enhanced to provide additional support following the loss of a child. Employees grieving the loss of a child or the child of a spouse or common-law partner, may now take up to eight weeks of unpaid leave.
This expands upon the existing 10-day bereavement entitlement and provides additional protections, including the continuation of benefits, the right to return to the same or a comparable position and the ability to receive information about training and employment opportunities while on leave.
Leave for adoption or surrogacy placement
A new leave for placement of a child will support employees who welcome a child through adoption or surrogacy.
This new leave provides employees up to 16 weeks of unpaid leave to manage responsibilities associated with the placement of a child into their care. It is intended to align with new Employment Insurance benefits expected to come into force in 2026. Importantly, employees who utilize this leave will be entitled to return to the same or a comparable role at the end of their leave.
Employer responsibilities and compliance
In addition to accommodating these leaves, employers in federally regulated industries will face administrative and compliance requirements applicable to all federally regulated leaves, including:
- Maintaining supporting documentation for leave requests
- Ensuring paid leave amounts are excluded from certain wage-based calculations (e.g. overtime)
- Updating workplace notices and policies to reflect the leave categories and terminology
Failure to comply with these leave entitlements and updated requirements may result in monetary penalties ranging from several thousand to $100,000, depending on the nature of the violation and whether it involves an individual or a corporation.
Key takeaways
The introduction of new or enhanced leave entitlements and related compliance obligations means employers should take early steps to ensure their policies, systems and practices are aligned with the updated legislation.
If you have questions about how these upcoming Canada Labour Code amendments may affect your workplace, our Labour and Employment team is here to help. We can assist with policy updates, compliance planning and assessing potential risks. Contact us to ensure your organization is prepared as these changes come into force.
Note: This article is of a general nature only and is not exhaustive of all possible legal rights or remedies. In addition, laws may change over time and should be interpreted only in the context of particular circumstances such that these materials are not intended to be relied upon or taken as legal advice or opinion. Readers should consult a legal professional for specific advice in any particular situation.
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