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OTTAWA – A leading advocate for Black employees is urging the federal government to update its equity legislation and drop its legal battle against a discrimination lawsuit that has already cost taxpayers more than $15 million.

Nicholas Marcus Thompson, director of the Black Class Action Secretariat, told The Canadian Press that amendments to the Employment Equity Act have been long overdue. In 2023, then-Labour Minister Seamus O’Regan announced the addition of two new designated groups under the Act: Black people and people identifying as 2SLGBTQI+.

The law requires federally regulated employers, including the public service, to take steps to remove barriers and maintain proportional representation of designated groups in the workforce. A report from the Task Force on the Review of the Employment Equity Act, released simultaneously, recommended adding these new groups and included dozens of other recommendations, such as establishing a steering committee on employment equity data and creating a chief equity officer position.

Jessica Lacombe, a spokesperson for Employment and Social Development Canada, stated in an email that the government has since conducted consultations with affected communities and organizations representing unions and employers to determine the best way to implement the task force’s recommendations. She added that feedback received during the consultations is currently being analyzed to inform potential future changes to the law.

“Any information regarding modernization of the Act will be communicated as soon as This proves available,” Lacombe said.

Speaking at an event marking the 30th anniversary of Black History Month in Canada earlier this month, Prime Minister Mark Carney affirmed that while Canadian principles celebrate diversity, the country has not always lived up to that promise. He described the history of Black Canadians as “a story of injustices overcome by resilience.”

Carney stated Ottawa is committed to empowering Black Canadians, citing planned budgetary measures in the upcoming federal fall budget to support Black entrepreneurship, as well as mental health and wellness programs.

Thompson emphasized the importance of the government following through on its commitment to update the Employment Equity Act, given Carney’s recent statements. “The community demands a clear response from the government as to when it intends to honour this commitment,” Thompson said, adding that he will soon announce the creation of an implementation council to push the government to make the necessary changes.

“We are asking the government to incorporate these changes that they have committed to in the next budget,” he said. “They agreed to do so, and yet we still have to fight for them to do it.”

Thompson argued that Carney’s government has an opportunity to fulfill the promise of the previous Liberal government. “It would be historic,” he said, adding that he would like to see the government implement other recommendations made by the task force. “It would be a legacy for future generations of workers, and it would help to establish equal opportunity not only for Black workers, but for all marginalized workers. This change would allow us to grow a world-class public service.”

Thompson also indicated he is still seeking a resolution to the class-action lawsuit filed in 2020 by Black public servants alleging systemic racism within their workplace. A Federal Court judge dismissed an authorization motion last year, but the plaintiffs have appealed that decision.

According to a Department of Justice document, the government’s legal fees had reached approximately $15 million as of September 2025. Thompson estimates the government has now spent around $20 million defending the case.

Ian McLeod, a spokesperson for the Department of Justice, stated he could not comment on precise costs or updates, as “lawyer’s fees are generally covered by solicitor-client privilege.”

For homeowners nearing retirement, the prospect of selling a long-held property can be both exciting and daunting. But what happens when unexpected financial hurdles, like delinquent property taxes, arise just as you’re considering a sale? The timing can experience particularly precarious, raising concerns about potential complications and diminished returns. Navigating these challenges requires a clear understanding of the implications and available options.

The question of whether it’s a “subpar time” to sell when behind on property taxes isn’t straightforward. It depends on a variety of factors, including the amount owed, the local market conditions and the homeowner’s overall financial situation. Many homeowners find themselves in this position, particularly as property taxes continue to rise, and understanding the potential consequences is crucial for making informed decisions. Selling a home with unpaid property taxes is possible, but it requires careful planning and a proactive approach.

Understanding Property Tax Liens and Their Impact on a Sale

When property taxes go unpaid, local governments typically place a lien on the property. A property tax lien gives the government a legal claim to the property if the debt isn’t settled. This lien takes priority over most other debts, including mortgages. According to experts, the specific rules and procedures regarding property tax liens vary significantly by state and even county.

Selling a home with a property tax lien attached doesn’t automatically disqualify a sale, but it does complicate the process. Typically, the outstanding taxes, along with any associated penalties and interest, must be paid off at closing using the proceeds from the sale. This means the amount available to the homeowner after the sale will be reduced by the amount of the tax debt. If the sale doesn’t generate enough funds to cover the lien, the local government could potentially foreclose on the property.

Grace Periods and Delinquency: What are the Timelines?

While a missed mortgage payment can trigger penalties relatively quickly, property tax delinquency often has a more extended timeline before serious consequences arise. Most jurisdictions offer a grace period after the tax due date, typically around 15 days, before penalties are applied. However, it’s crucial to check with your local tax assessor’s office for specific details.

According to ConsumerAffairs, a payment is officially considered “late” for credit reporting purposes when it’s at least 30 days past due. However, the process leading to a tax sale or foreclosure can take months, or even years, depending on local laws. Lenders may begin foreclosure proceedings after 4 missed payments (or 120 days), as noted by Chase.

Strategies for Selling a Home with Unpaid Property Taxes

If you’re facing this situation, several strategies can help facilitate a successful sale:

• Pay off the taxes before listing: If possible, the simplest solution is to pay off the outstanding taxes before putting the house on the market. This eliminates the lien and simplifies the closing process.
• Negotiate with the tax authority: Some jurisdictions may be willing to work with homeowners to establish a payment plan or reduce penalties.
• Include the taxes in the sale: You can agree to have the taxes paid directly from the sale proceeds at closing. This requires coordination with the title company and the buyer.
• Disclose the lien to potential buyers: Transparency is key. Full disclosure of the property tax lien builds trust and avoids potential legal issues.

It’s as well important to consult with a real estate agent experienced in handling properties with tax liens. They can provide valuable guidance on pricing, marketing, and negotiating with buyers.

The Impact of Late Payments on Credit and Future Finances

While being behind on property taxes doesn’t directly impact your mortgage credit score in the same way as a missed mortgage payment, it can still have negative consequences. Unpaid taxes can lead to a tax lien being recorded, which can lower your credit score. A tax lien can make it more difficult to obtain credit in the future. As LendingTree points out, the impact of a late mortgage payment can be significant, and avoiding further financial strain is crucial.

For someone nearing retirement, protecting their credit and financial stability is particularly important. A lower credit score can affect their ability to qualify for loans, lines of credit, or even rental housing in the future.

What comes next for homeowners facing this situation will largely depend on their individual circumstances and the actions they take. Proactive communication with local tax authorities and a well-informed approach to the sale process are essential.

Have you found yourself in a similar situation? Share your experiences and questions in the comments below. Please also share this article with anyone who might find it helpful.