Is Ascen the employer for workers placed in Canada?

Applies to: Staffing partners placing employees in Canada through Ascen, including when a client or managed service provider (MSP) asks you who the employer is or about Ontario licensing. If you engage a worker in Canada as a self-employed contractor, see the section on self-employed contractors below.

Summary: Yes. For workers you place in Canada as employees (T4), Ascen is the employer of record, and the workers sign their employment agreement with Ascen Workforce Canada. In Ontario, Ascen complies with the temporary help agency (THA) requirements that apply to it as the employer. Recruiter licensing covers recruitment activity, which is not part of Ascen's role as the employer of record, so recruitment-related licensing requirements do not apply to Ascen in that role.

How the employment relationship works

A placement in Canada involves three parties:

• You (the staffing partner) find and manage the client, recruit and select the worker, set the rates and manage the working relationship.

• Ascen is the legal employer. The worker signs an employment agreement with Ascen Workforce Canada, and Ascen runs payroll, withholds income tax, CPP and EI, issues the T4 and handles employment compliance.

• The client is where the work happens and directs the work.

The worker's employment agreement follows the employment standards of their province of work (for example, minimum wage, overtime, vacation and holidays).

Ontario temporary help agency (THA) and recruiter licensing

• Temporary help agency requirements: Under Ontario's Employment Standards Act, a temporary help agency is a business that employs people to assign them to temporary work for its clients. Because Ascen is the employer of record for the workers you place, the THA requirements are the ones that apply to Ascen, and Ascen complies with the applicable THA requirements.

• Recruiter licensing: Recruiter licensing covers recruitment activity. Recruiting is not part of Ascen's role as the employer of record, so recruitment-related licensing requirements do not apply to Ascen in that role.

This answer covers Ascen's position only. It does not cover licensing for your own agency.

If a client or MSP asks you

You can answer in these terms: Ascen is the employer of the workers in Canada and complies with the applicable Ontario temporary help agency (THA) requirements. As the employer of record, only the THA requirements apply to Ascen. Recruitment-related licensing requirements do not apply to its role as the employer of record.

If they ask for more detail than this, email support@ascen.com with their exact question.

If the worker is a self-employed contractor

If you engage a worker in Canada as a self-employed (independent) contractor rather than an employee, Ascen is not their employer. Ascen acts as their Agent of Record, the party on the contract that pays them directly. See Am I a T4 employee or a self-employed contractor? (Canada) and What is an Employer of Record (EOR) and Agent of Record (AOR)?.

Related articles

• What is the responsibility of Ascen versus the staffing agency partner?

• What is an Employer of Record (EOR)?

• Who to contact and when

Where to get help

For questions about Ascen as the employer in Canada, including follow-up questions from your client or MSP, email support@ascen.com.