Did you know that Franchise owners are personally responsible for all financial risk when it comes to their employees because the Franchisee is the Employer of Record, not the corporation? While there is usually an HR Department for corporate staff to turn to, the Store staff generally have nowhere to go except the Ministry of Labour or lawyers.
If the Franchisee owes money for unpaid wages or vacation pay for example, the Ministry can seize their home, car, cottage, and other assets to pay obligations to employees.
Given the vast number of changes that have happened to all pieces of labour legislation in the past couple of years, it is very important that Franchisees of all brands make themselves familiar with the new rules. Clear policies are needed to manage the behaviour of your staff, and to help guide your supervisory staff in day-to-day duties.
Call me today to learn more about your rights and responsibilities as a Franchise Employer.
