An employment agency is an agency that matches workers with jobs. Section 2-5 of The Saskatchewan Employment Act replaces The Employment Agencies Act, and continues the law that job seekers do not pay fees to find or get employment.
Employment Agency Business Model
In Saskatchewan, the employment agency business model is based around the following principles:
- Employment agencies do not require a provincial license to operate.
- Employment agencies can charge employers for their employee recruitment services.
- Employment agencies cannot charge job seekers fees for finding employment.
Note: Agencies involved in foreign worker recruitment require licensing under The Foreign Worker Recruitment and Immigration Services Act. Please contact the Saskatchewan Immigration website for more information about foreign worker recruitment and immigration consultant responsibilities.
Job seekers do not pay for jobs
No person can request or receive money from job seekers for help in finding employment. This includes employment agencies and employers. Some examples of illegal transactions include:
- An employment agency charging a worker for information about a local employer who is hiring; or
- An employer taking money from a job seeker in return for hiring them.
Both examples are illegal fees and can be recovered by the Employment Standards Division.
Recovering illegal fees
Any illegal fees are considered wages owing. The Employment Standards Division can help recover the wages owing on behalf of the job seeker/employee.
For example, an employment agency charges a person for information about a local employer who is hiring. Whether or not the worker gets hired, the worker may file a complaint with the Employment Standards Division respecting the illegal fees. The Employment Standards Division investigates the complaint and orders the money returned to the worker. If the money is not returned, the Employment Standards Division can deem the fee as wages and collect the money on behalf of the worker.
A job seeker can pay fees if they are advertising their availability as part of a job search. An example of this would be a tradesperson paying to place a “situation wanted” ad in a local newspaper.