The Competition Bureau and the Public Prosecution Service of Canada (PPSC) have updated their Immunity and Leniency Programs to encompass the new wage-fixing and no-poaching provisions under the Competition Act.
These provisions, which became effective on June 23, 2023, aim to prevent companies from engaging in anti-competitive practices that undermine fair labour market competition.
The updated provisions explicitly prohibit companies from agreeing to fix, maintain, decrease, or control wages or other terms of employment and from agreeing not to solicit or hire each other’s employees. By expanding the scope of the Immunity and Leniency Programs to include these new provisions, the Bureau and the PPSC seek to increase transparency and predictability for potential applicants while enhancing their ability to prepare cases for prosecution.
The Immunity and Leniency Programs offer immunity from prosecution or lenient treatment to individuals or businesses willing to cease participation in serious criminal activities under the Competition Act and provide significant cooperation in an investigation. These programs are administered jointly by the Competition Bureau and the PPSC, with the Bureau responsible for investigating alleged wrongdoing and the PPSC for prosecuting federal offences.
Commissioner of Competition Matthew Boswell and Director of Public Prosecutions Kathleen Roussel emphasized that the Immunity and Leniency Programs are among the Bureau’s most effective tools for detecting and stopping unlawful conduct prohibited by the Competition Act. These programs provide means of uncovering criminal activity, offering incentives for individuals and businesses to come forward and disclose their involvement in illegal behaviour.
In a joint statement, Boswell and Roussel expressed confidence that the updated programs will advance the objective of maintaining competitive markets for the benefit of Canadians. They highlighted that the programs' success relies on their ability to adapt to changes in the legal and enforcement environment, ensuring continued effectiveness in promoting fair competition.
The Bureau and the PPSC will continue to review and update the programs as needed in response to evolving circumstances and court decisions.