Canadian Payroll Reporter

THE COMPLIANCE AND STRATEGY SOURCE FOR PAYROLL AND HR PROFESSIONALS JANUARY 2014 Retirement incentives: Proceed with caution TERMINATION PAPERWORK Discussions about departures could be grounds for human rights complaint NEWS BRIEFS IN THIS ISSUE When an employee leaves, dotting all the i's and crossing the t's to comply with all legislation no easy task . . . . . . . . . . . . . .3 New penalties on the horizon for employers who don't file T4s • New unpaid leaves in Newfoundland and Labrador . . . . . . . . . .4 | BY LIZ BERNIER | PM #40065782 LEGISLATIVE ROUNDUP WITH THE DEMISE of mandatory retireemployees in other ways — potentially ment, it was expected employees would leaving themselves open to a human decide entirely for themselves when rights complaint. they would retire. Employer pressure and age discrimination But the issue is a delicate one and a Some employers still put overt — or number of factors — employer prefermore subtle — pressure on older workence among them — can complicate the ers to retire, according to Susan Eng, matter. vice-president of advocacy at CARP (CaA majority (80 per cent) of working nadian Association for the Fifty-Plus) in Canadians still plan to set their own reToronto. tirement date but many retirees (41 per "Absolutely, it's happening," she cent) weren't able to, according to the said. "Underlying this 2013 RBC Retirement attitude is (the idea) Myths & Realities Poll. that a person by defiThat's why we need The older worker could nition at a given age is to adjust our expectaget reinstated in the determined to be untions when it comes job. And they could suitable and no longer to retirement "norms" get damages not only competent to do the and plan for different job. That's the prevailscenarios, according for their economic ing myth — and older to Amalia Costa, head losses but damages workers are paying for of retirement strategies for violation that." and successful aging at Putting pressure on RBC in Toronto. of their human rights. older workers to retire, "If retirement comes or otherwise "pushing unexpectedly, you may them out" of the workplace, is actually have fewer years to accumulate savings age discrimination and opens the emor adjust your spending in order to betployer up to a human rights complaint, ter  fund  your retirement.  That's why said Eng. it's important to plan ahead and to plan for more than one scenario."   A number of repercussions The major reasons for unexpected deIf an employee does make a human partures may come as a surprise. While rights complaint, an employer may face 22 per cent of retirees cited health issues a number of repercussions, according as the impetus for their departure, 41 per to Howard Levitt, senior partner at law cent cited "employer's request." firm Levitt in Toronto. While employers are no longer allowed to impose mandatory retirement, Continued on page 6 some will try to broach the issue with Manitoba ends minimum wage exemption for workers with a disability . . . . . . . . . . .4 Plenty of payroll changes on horizon in 2014 | BY ANNIE CHONG | THIS CAN BE the busiest time of year for payroll. Besides preparing to accurately report taxable income, it's important to be aware of legislative changes coming into effect in 2014 as well as year-end reporting requirements for 2013. Here's a quick look at what's on tap for 2014. FEDERAL UPDATES What's new (forms and guides) for 2013: • The Canada Revenue Agency (CRA) no longer offers the T4 desktop option for filing information returns. • For electronic filing, the CRA no longer offers the diskette option. Employers filing electronic media must use either CD or DVD. RC4157 guide: Deducting income tax on pension and other income, filing the T4A slip and summary: The CRA has added new income codes continued on page 2

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