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What is the Legal Basis for Allowing a US Citizen with a Canadian PR to Continue Working Remotely in Canada for a US Company

MrWake

Newbie
Oct 6, 2021
1
0
I am a US citizen working remotely from Canada and am exclusively working on US projects for my US employer. I have a PR here in Canada. My employer would like me to leave their US entity and work for the Canadian entity with no other identifiable change to my roles, responsibilities, etc, except a significant reduction in salary. I understand that there is nothing illegal about this request and they are certainly allowed to make it. Cost savings on theIr end excluded, can you please explain the legal rationale for this request? Why, legally, would they want or need to do this? On the other end of the spectrum, do they have to do this? Or, is there another legal option for them to allow me to continue working remotely from Canada on US projects? What would be the legal precedence for allowing this alternative?
 

jclarke99

Hero Member
May 10, 2020
235
83
Your U.S. company is probably savvy enough to realize that they must adhere to various Canadian laws (definitely labor laws, and possibly tax laws as well). So, this is solved by having you work for a Canadian entity. Even in the U.S., labor laws vary by States (e.g., in California if you leave a job, any unused vacation time must be paid out, which isn't the case for some other states). But complexities of cross-border laws makes this much more of a challenge for a U.S. company to pay you as a Full-time employee living in Canada.
 

canuck78

VIP Member
Jun 18, 2017
52,969
12,771
I am a US citizen working remotely from Canada and am exclusively working on US projects for my US employer. I have a PR here in Canada. My employer would like me to leave their US entity and work for the Canadian entity with no other identifiable change to my roles, responsibilities, etc, except a significant reduction in salary. I understand that there is nothing illegal about this request and they are certainly allowed to make it. Cost savings on theIr end excluded, can you please explain the legal rationale for this request? Why, legally, would they want or need to do this? On the other end of the spectrum, do they have to do this? Or, is there another legal option for them to allow me to continue working remotely from Canada on US projects? What would be the legal precedence for allowing this alternative?
You always have the option of returning to the US to work.