Can a Licensed Electrical Contractor in Toronto Hire self-employed workers?

If you’re an electrical contractor in Toronto, you’ve probably wondered if it’s okay to hire self-employed worker for short-term work or specific jobs. The answer isn’t straightforward, and if you’re not careful, you could run into serious trouble with the Toronto Electrical Board. So, can you hire a self-employed worker or not? Let’s break it down.

The Short Answer: No, self-employed worker Aren’t Allowed

Toronto’s electrical contractor laws don’t permit a licensed electrical contractor to hire self-employed worker. The only way around this is if you use a staffing agency that knows what they’re doing and complies with the law. The key is ensuring the staffing agency is reputable and experienced in managing employees for the electrical industry.

Otherwise, hiring independent contractors yourself is a red flag for the Toronto Electrical Board. And trust me, they’re not fans of people trying to skirt the rules.

Why Is Hiring an self-employed worker Prohibited?

What’s the rationale behind the no self-employed rule? The Toronto Electrical Code and related regulations are there to ensure that licensed electrical contractors maintain a specific standard of control and oversight over their employees.

Although the law may not outright say “no self-employed workers” in those specific words, things get complicated when it comes to defining what counts as an actual employee.
So, you’ll need to figure out whether someone is considered an apprentice Employee or not.

What’s a apprentice Employee?

Essentially, an apprentice Employee is someone who:

• Works directly under a qualified individual (the person holding the electrical license).
• Is fully controlled by the licensed electrical contractor, meaning they follow your policies, procedures, and supervision.
• Uses your tools, equipment, and works as part of your day-to-day operations.

For example, let’s say you run “Abc Electric” and are a qualified individual. You hire a worker who helps with installations, uses your tools, and follows the processes you’ve laid out. To the Electrical Board, this person is likely a apprentice Employee. But—and this is crucial—they also have to be a regular employee.

Supervisor Involvement is Key

Hiring someone on a temporary basis still doesn’t automatically make them a apprentice Employee. It boils down to control and supervision. As mentioned earlier, the worker must operate under the guidance of a qualified individual—whether that’s you or another licensed supervisor in your company.

This person doesn’t just show up and handle projects on their own. They follow instructions and procedures set by the licensed contractor, and they typically don’t bring their own tools. These workers are integrated into how you run your business, unlike an electrical contractor who would often operate independently.

What About Helpers?

Electricians often refer to these workers as “helpers.” A helper is someone who assists in tasks like installations, maintenance, or repairs, all while using your company’s tools and equipment, such as voltmeters, wire strippers, or drills.

These helpers are vital to your operation but still fall under the category of a apprentice Employee when they are workers and follow your supervision. They are not independent contractors and can’t work as self-employed worker.

Staffing Agencies: The Only Loophole

If you prefer or need to bring in additional hands for a short period, using a staffing agency is your best (and only) legal option. The agency becomes the employer in this case, not you. Just ensure the staffing agency knows how to handle electrical industry workers. A reputable agency will understand the requirements and can handle it properly so you don’t run into any compliance issues.

Hiring unvetted or poorly managed staff from shady agencies could put your business at risk because the Electrical Board expects even temporary workers to be managed correctly.

Keep the Power On with Compliance

Navigating through Toronto’s electrical contractor laws can seem confusing, especially when it comes to hiring practices. But following the rules is crucial to staying in the Board’s good graces. If you’re unsure about whether you’re handling things correctly, consulting with a legal professional who understands professional licenses is always a smart move.

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