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TOP FIVE WORKPLACE PRIVACY ISSUES IAPP Canada Privacy Symposium 2013 May 24, 2013 Lyndsay A. Wasser Partner, Employment and Labour Relations Group McMillan LLP

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Page 1: TOP FIVE WORKPLACE PRIVACY ISSUES · 2013-05-15 · TOP FIVE WORKPLACE PRIVACY ISSUES 1. Do employees have privacy rights? 2. Can employers conduct background checks? 3. Can employers

TOP FIVE WORKPLACE PRIVACY

ISSUES

IAPP Canada Privacy Symposium 2013

May 24, 2013

Lyndsay A. Wasser

Partner, Employment and Labour Relations Group

McMillan LLP

Page 2: TOP FIVE WORKPLACE PRIVACY ISSUES · 2013-05-15 · TOP FIVE WORKPLACE PRIVACY ISSUES 1. Do employees have privacy rights? 2. Can employers conduct background checks? 3. Can employers

TOP FIVE WORKPLACE PRIVACY

ISSUES

1. Do employees have privacy rights?

2. Can employers conduct background checks?

3. Can employers monitor employees?

4. Can employers share employee information

with foreign affiliates?

5. Are employees entitled to access employers’

records?

2

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DO EMPLOYEES HAVE PRIVACY RIGHTS?

Personal Information Protection and Electronic

Documents Act (“PIPEDA”)

•Federally-regulated employers

•For example:

− Banks

− Air transportation and aerodromes

− Shipping

− Railways

− Broadcasters

3

LEGISLATION - FEDERAL

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• Alberta − Personal Information

Protection Act

• B.C. − Personal Information Protection Act

• Quebec − An Act respecting the protection

of personal information in the private sector

− Civil Code

− Charter of Human Rights and Freedoms

4

DO EMPLOYEES HAVE PRIVACY RIGHTS?

LEGISLATION - PROVINCIAL

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Employee Personal Information:

• Notice (not consent)

• Information relates to employment

relationship

• Reasonable for the purposes of

establishing, managing or

terminating the employment

relationship

5

DO EMPLOYEES HAVE PRIVACY RIGHTS?

LEGISLATION – ALBERTA & B.C.

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DO EMPLOYEES HAVE PRIVACY RIGHTS?

RELEVANCE OF LEGISLATION TO ONTARIO

EMPLOYERS

•Contacting federal, B.C., Alberta

and Quebec employers for references

•Independent contractors and consultants

•Third party service providers

6

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DO EMPLOYEES HAVE PRIVACY RIGHTS?

• B.C., Manitoba, Newfoundland and

Saskatchewan

• It is a tort that is actionable without proof of

damages for a person to willfully and

without claim of right violate the privacy

of an individual

• Consent is a defence

7

STATUTORY TORTS

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DO EMPLOYEES HAVE PRIVACY RIGHTS?

• All provinces except Quebec and Prince

Edward Island

• Ontario Personal Health

Information Protection Act, 2004

− Information obtained from

health information custodians

− In-house doctors/nurses

− Health numbers and health cards

8

PERSONAL HEALTH INFORMATION

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Criminal Code:

• Using a device willfully to intercept

a private communication without the

express or implied consent of the

originators or intended recipient

• To intercept fraudulently and without

colour of right any function of a computer

system

9

DO EMPLOYEES HAVE PRIVACY RIGHTS?

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DO EMPLOYEES HAVE PRIVACY RIGHTS?

• E.g., Ontario – Freedom of Information

and Protection of Privacy Act

o Hospitals, educational institutions, etc.

10

PUBLIC SECTOR ORGANIZATIONS

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• Arbitration cases (unionized)

− Most arbitrators recognize

privacy rights

− Consider collective

agreement

• Court cases (non-union)

11

DO EMPLOYEES HAVE PRIVACY RIGHTS?

COMMON LAW

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Tsige v. Jones:

• Employee accessed co-worker’s bank

records 174 times over four years

• Dismissed by lower court

• Court of Appeal created new tort

12

DO EMPLOYEES HAVE PRIVACY RIGHTS?

COMMON LAW

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Intrusion upon Seclusion:

• Intentionally intrudes upon the seclusion

of another or his/her private affairs

• If the invasion would be highly offensive to

a reasonable person

• Limits on damages

13

DO EMPLOYEES HAVE PRIVACY RIGHTS?

COMMON LAW

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DO EMPLOYEES HAVE PRIVACY RIGHTS?

COMMON LAW

• Workplace privacy cases after Tsige v.

Jones:

− Complex Services Inc. v. OPSEU, Local

278

− Hamilton International Airport Ltd. v.

C.U.P.E. (Local 5167)

14

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CAN EMPLOYERS CONDUCT

BACKGROUND CHECKS?

• Background checks include criminal,

driving, credit, reference, education, social

media, etc.

• Legislative requirements:

− Consent (Federal and Quebec)

− Notice (Alberta and B.C.)

− Only perform checks that are “reasonable”

15

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CAN EMPLOYERS CONDUCT

BACKGROUND CHECKS?

• Criminal checks on employees bidding

into safety-sensitive positions

• Arbitrator found policy reasonable

• Policies of unionized employers may be

scrutinized

16

CAW-Canada, Local 2098 v. Diageo Canada

Inc.

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CAN EMPLOYERS CONDUCT

BACKGROUND CHECKS?

• Credit check by employer without notice

or consent

• Action by employee for invasion of privacy

17

Somwar v. McDonalds’ Restaurants

of Canada Ltd.

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CAN EMPLOYERS CONDUCT

BACKGROUND CHECKS?

• It is not settled law in Ontario that there is

no tort of invasion of privacy

• The time has come to recognize invasion of

privacy as a tort in its own right

18

Somwar v. McDonalds’ Restaurants

of Canada Ltd. (cont’d)

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CAN EMPLOYERS CONDUCT

BACKGROUND CHECKS?

• Consider laws applicable to disclosing

organization

− Educational institutions

− Police checks

o Municipal Freedom of Information and

Protection of Privacy Act

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CAN EMPLOYERS CONDUCT

BACKGROUND CHECKS?

• Social Media Checks:

− Consider applicable laws:

o Information collected is “personal

information”

o “Publicly available” information is

narrowly defined

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CAN EMPLOYERS CONDUCT

BACKGROUND CHECKS?

• Social Media Checks (cont’d):

− Risks:

o Collecting irrelevant information

o Collecting information of third parties

without consent

o Inaccurate/outdated information

o Collecting information about protected

characteristics under human rights laws

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CAN EMPLOYERS CONDUCT

BACKGROUND CHECKS?

• Social Media Checks (cont’d):

− Reducing Risks:

o Obtain consent/provide notice

o Limit checks

o Train personnel

o Document reasons for decisions

o Retain information (securely)

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• Different tests in different

jurisdictions

• General factors:

− Necessary?

− Reasonable? Effective?

− Less invasive alternatives?

23

CAN EMPLOYERS

MONITOR EMPLOYEES?

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Video Monitoring:

• Reasons for surveillance?

− Security vs. performance monitoring

− Beware of “function creep”

• Consider alternatives

• Provide notice to employees

24

CAN EMPLOYERS

MONITOR EMPLOYEES?

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CAN EMPLOYERS

MONITOR EMPLOYEES?

25

Colwell v. Cornerstone Properties Inc.:

• Secret camera installed in office ceiling

• No credible explanation

• Employee felt “violated”

• Poisoned work environment

• Constructive dismissal

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26

Internet and Email

Monitoring:

•Generally more latitude

•Reasons for surveillance?

•Clear policies?

CAN EMPLOYERS

MONITOR EMPLOYEES?

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CAN EMPLOYERS

MONITOR EMPLOYEES?

R. v. Cole:

• Cole had a reasonable expectation of

privacy in laptop owned by employer and

issued for employment purposes

• Policies may reduce, but do not eliminate,

expectation of privacy

• Charter case

27

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Claude Poliquin v. Devon Canada

Corporation:

•Clear policies prohibiting pornography

•Supervisor forwarded pornography to clients,

suppliers and other employees

•Termination for cause upheld

28

CAN EMPLOYERS

MONITOR EMPLOYEES?

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Claude Poliquin v. Devon Canada

Corporation (cont’d):

•Negative impact on employer

•Employers are entitled to prohibit use

of equipment and systems for improper

purposes and to monitor employees’ use of

equipment to ensure compliance

29

CAN EMPLOYERS

MONITOR EMPLOYEES?

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GPS Tracking:

• Purpose for tracking?

• PIPEDA Case Summary #351

− Purposes - manage productivity, safety,

asset protection and employee

management

− Limits on tracking for employee

management purposes

30

CAN EMPLOYERS

MONITOR EMPLOYEES?

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CAN EMPLOYERS

MONITOR EMPLOYEES?

GPS Tracking (cont’d):

• Schindler Elevator Corporation (Re)

− Tracking service vehicles using GPS and

engine monitoring technology

− Purposes included performance

monitoring and safety

− Collection and use was reasonable

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CAN EMPLOYERS SHARE

EMPLOYEE INFORMATION

WITH FOREIGN AFFILIATES?

• Transfer to affiliate for processing

− Data protection agreement

− Consistent policies

• Disclosure for other purposes

− Consent

− Notice

32

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CAN EMPLOYERS SHARE

EMPLOYEE INFORMATION

WITH FOREIGN AFFILIATES?

• Principles from PIPEDA cases:

− Transfer across borders is not prohibited

− Cannot prevent foreign authorities from

accessing information stored in foreign

jurisdictions

− Consent is not required if transfer is

consistent with original purposes

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• Alberta Requirements

− Policies respecting foreign service

providers

− Notification requirements

• Quebec Restrictions

34

CAN EMPLOYERS SHARE

EMPLOYEE INFORMATION

WITH FOREIGN AFFILIATES?

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35

ARE EMPLOYEES ENTITLED TO

ACCESS EMPLOYERS’ RECORDS?

Broad access rights under statutes:

•Personnel files

•Emails, memos, etc.

•Meeting notes

•Phone logs and recordings

•Contracts

•Statistics

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Exceptions include:

• Personal information of third party

• Investigating breach of

employment agreement

• Other specific exceptions in each

statute

36

ARE EMPLOYEES ENTITLED TO

ACCESS EMPLOYERS’ RECORDS?

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Access rights under:

• Collective agreements

• Employer policies

• Common law

37

ARE EMPLOYEES ENTITLED TO

ACCESS EMPLOYERS’ RECORDS?

Page 38: TOP FIVE WORKPLACE PRIVACY ISSUES · 2013-05-15 · TOP FIVE WORKPLACE PRIVACY ISSUES 1. Do employees have privacy rights? 2. Can employers conduct background checks? 3. Can employers

Lyndsay A. Wasser

Partner

Employment and Labour

Relations Group, Toronto 416.865.7083

[email protected]

QUESTIONS?