No solution in sight for N.S. workers owed thousands of dollars by former employer

Two Halifax-area workers are still waiting to receive the thousands of dollars in unpaid wages and other pay owed to them by their former employer, despite winning their cases with the provincial Labour Standards Division.

In June 2024, Akira Arruda and Teri Boates lodged complaints against Arbuckle Media, a marketing company based in Halifax, claiming they were owed various forms of compensation. However, with the company ceasing operations and months passing without resolution, it appears unlikely that the workers will ever see the money they are owed.

“My trust in the system has completely failed me,” Arruda lamented. The financial support could have helped cover bills, especially given the current high cost of living. The Labour Standards Division ruled in favor of the workers, ordering Arbuckle Media to pay over $10,000 to Arruda for unpaid wages and notice pay, as well as more than $6,000 to Boates for unpaid wages, vacation pay, and notice pay.

Despite these decisions, the division later informed both workers that the cases were being closed as “uncollectible.” Boates, who suffered a stroke in 2023, expressed her frustration, stating that not receiving the owed money made it even harder to afford essential medications during her recovery.

The workers were informed by a labour standards officer that attempts were made to collect the funds from Arbuckle Media’s bank accounts at TD Bank and Wealthsimple, but no available funds were found. The company did not challenge the rulings.

Arruda described the owed amount as life-changing, but has come to terms with the fact that she may never receive it. She criticized the system for its failure to provide adequate protection for workers in such situations.

Joel Arbuckle, the president of Arbuckle Media, acknowledged the company’s closure but failed to respond to further inquiries from the Labour Standards Division. In a statement, Arbuckle cited unsustainable financial losses as the reason for the company’s closure and claimed insolvency with no assets to fulfill the payment orders.

Sydnee Blum, the executive director of the Halifax Workers’ Action Centre, highlighted the systemic issue at play, emphasizing the need for stronger enforcement policies to ensure justice for workers. She suggested implementing measures similar to those in British Columbia, where employers face escalating fines for repeated violations of labor standards.

The inadequacy of the current system was underscored by Blum, who noted that even when workers follow all prescribed steps, they still struggle to access justice. CBC News reached out to Nova Scotia’s Department of Labour, Skills, and Immigration for comment on the matter.

The cases of Arruda and Boates serve as a stark reminder of the challenges faced by workers seeking fair compensation and the urgent need for reforms to protect their rights.