In Ontario, most workers are entitled to receive at least the minimum wage under the Employment Standards Act, 2000 (ESA). But determining who qualifies as an “employee” isn’t always straightforward—especially in industries like sports.
That’s the central issue in a high-profile $180 million class-action lawsuit filed against the Canadian Hockey League (CHL) by current and former junior hockey players across Canada.
The Claim: Are CHL Players Entitled to Minimum Wage?
The lawsuit targets the CHL’s three major junior leagues:
- The Western Hockey League (WHL),
- The Ontario Hockey League (OHL), and
- The Quebec Major Junior Hockey League (QMJHL).
Players claim they are paid as little as $35 to $125 per week, despite working the equivalent of full-time hours, including:
- Daily practices and games,
- Travel obligations,
- Team events and appearances.
The plaintiffs argue this compensation does not meet provincial minimum wage standards and that players should also be entitled to overtime, holiday pay, and vacation pay—on the basis that they are legally employees, not amateur athletes or independent contractors.
The CHL’s Defence: Players Are Amateur Athletes
The CHL asserts that its players are not employees or independent contractors, but rather amateur athletes, and as such, are not covered by employment standards legislation.
The CHL describes players as individuals who compete for the love of the sport, not for compensation—akin to student-athletes or recreational competitors. However, the line between “amateur” and “employee” becomes blurry when significant time commitments, profit-making organizations, and contractual expectations are involved.
How Courts Classify Workers: Key Factors
When deciding whether a person is an employee or an independent contractor (or in this case, something else entirely), courts typically consider several key factors, including:
- Control: To what extent does the organization control the individual’s schedule, conduct, and work methods?
- Financial Risk: Does the worker bear the risk of loss or cost in performing the work?
- Profit Opportunity: Can the individual profit independently from their role?
- Tools and Equipment: Who provides the resources needed to do the job?
- Ability to Subcontract: Can the individual delegate the work to someone else?
This test helps courts assess whether a worker is truly independent or in a dependent, employment-like relationship.
Settlement Approved by the Court
After the lawsuit was certified as a class action, the parties reached a settlement agreement. The court ultimately approved a $30 million settlement to resolve the claims.
While the settlement means that the Court did not issue a ruling on the core issue—whether CHL players are employees under employment standards legislation—it nonetheless signals that the CHL recognized the substantial legal risk it faced if the case were to proceed to trial.
The resolution avoids a potentially precedent-setting decision but leaves open the question of how junior athletes in similar circumstances should be classified in the future.
Understanding Your Status as a Worker
Whether you’re a professional athlete, a contract worker, or someone unsure about your status at work, it’s critical to understand whether you’re legally considered an employee, independent contractor, or something else entirely—because your rights depend on it.
At Singh Lamarche LLP, our employment lawyers are highly experienced in worker classification disputes and wage entitlement issues. If you need guidance on your status or believe your rights have been violated, we can help.
Contact us today to learn more about your legal options.
