Who do you call family? Does your employer agree?

The idea of the "traditional" family is rapidly evolving in Canada, reflecting changing societal norms, economic pressures, and the growing diversity of relationships. From the rise of multigenerational homes to queer and polyamorous households, and the increasing number of single-parent families, these shifts challenge our laws and employment policies to catch up. But this isn’t just about virtue signalling—it’s a business imperative. To stay competitive in the modern job market, employers need to rethink how they accommodate the diverse needs of today's top talent.

Growing Diversity in Canadian Households

The latest Families Count report from the Vanier Institute of the Family reveals a significant rise in multigenerational households. In 2021, over 2.5 million people—6.4% of the population—lived in homes with multiple generations under one roof. This group grew by 20.3%, far outpacing the 12.4% increase observed in all households. Factors like rising housing costs and the desire to pool resources are driving families to live together across generations, blending traditional values with modern economic necessity .

Additionally, StatCan data highlights a rise in single-parent households, especially those led by women. Many of these parents face heightened economic instability due to outdated employment policies designed for two-parent nuclear families .

Queer and polyamorous families are also becoming more visible, yet they remain largely unsupported by current laws and employment frameworks. Relationships that don’t fit heteronormative or monogamous models often face barriers to legal recognition, social services, and employment benefits.

As life expectancy increases and family dynamics shift, more Canadians, particularly women, are living longer without their partners. Since men tend to die earlier than women, many women may spend up to 20 years living alone. This has given rise to new conversations about aging in place, where older adults live independently but within supportive, community-oriented environments. An innovative example of this can be seen in Ottawa’s Ward 13, where four women in their 50s purchased land and built a four-unit co-housing project. They each have private living spaces but share communal areas like a kitchen and lounge. Each woman has customized her living space to her interests—one has a sewing room, another, a sunlit unit ideal for gardening . These "grey cohabitation" models offer an alternative to traditional retirement homes, fostering independence while providing social and emotional support.

How employment policies and family collide

Despite these changes in household composition, employment policies still largely reflect outdated assumptions about what families look like. For instance:

  • Parental leave: Policies remain centered on two-parent, heteronormative families. They rarely extend to non-traditional caregivers, such as grandparents, queer partners, or polyamorous families where parenting responsibilities are shared by more than two adults.

  • Bereavement leave: Many policies limit leave to the immediate family, disregarding the importance of extended family or non-blood relatives, which are crucial in queer homes, racialized homes, Indigenous homes and multigenerational homes.

  • Health insurance coverage: Benefits are often restricted to spouses or child dependents, excluding non-romantic partners, co-parents, or extended family members living under the same roof.

These policies fail to meet the realities of modern Canadian households, creating significant challenges for employees who live outside the nuclear family model.

Legislation needs to meet a changing Canada

To better support the modern family, several legal frameworks must also be updated. Some areas that require urgent reform include:

  • Inheritance laws: Current laws prioritize married couples or direct descendants, leaving long-term, non-married partners or members of polyamorous families unprotected. Changes should be made to recognize these diverse relationships and ensure equitable distribution of assets.

  • Caregiving and dependent care leave: Employees should have the flexibility to take leave to care for non-traditional dependents, including elderly relatives, chosen family members, or polyamorous partners.

  • Legal recognition of polyamorous and queer families: Family law needs to be updated to provide legal rights to polyamorous families and other non-traditional arrangements. Some countries, such as Colombia and parts of the U.S., have already begun recognizing poly families—Canada could follow suit.

These reforms would help build a legal system that recognizes and respects the complexity of modern relationships, offering support and protection to all families, regardless of structure.

Virtue signalling or good business?

Some might dismiss these changes as virtue signalling, but in reality, they are a critical component of attracting and retaining top talent in today’s workforce. Millennials and Gen Z, the two largest groups entering the job market, are looking for something very different in their employers compared to previous generations. For them, work is about more than just salary; it's about meaningful benefits, flexibility, equity, and justice.

A recent Deloitte survey revealed that 63% of Millennials expect to leave their current job within the next two years due to a lack of flexibility and inclusivity in company policies. Meanwhile, a 2024 StatCan study found that more than 40% of Canadian employees rank work-life balance and supportive benefits as their top priorities .

Employers that update their benefits and policies to reflect the realities of diverse households will find themselves more attractive to the best talent entering the market. This is particularly important given the current labor shortage across multiple sectors. By accommodating a broader definition of family, companies not only align with social progress but also position themselves as forward-thinking, competitive employers in a rapidly changing workforce.

Ok let’s break it all down

To better accommodate diverse households, here’s a breakdown of key employment policies and legal frameworks that should change for a start:

  • Parental Leave Policies

    • Extend parental leave to non-traditional caregivers, including grandparents, queer partners, and polyamorous families.

    • Allow flexible leave to be shared across multiple caregivers.

  • Bereavement Policies

    • Recognize the significance of extended family members and non-blood relatives in queer, polyamorous, and multigenerational households.

    • Include non-traditional relationships when granting bereavement leave.

  • Health Insurance Coverage

    • Extend healthcare benefits to include non-romantic partners, co-parents, and elders, not just spouses and children.

    • Allow coverage for multiple partners in polyamorous households.

  • Inheritance Laws

    • Recognize the rights of non-married, long-term partners and polyamorous families in inheritance matters.

    • Provide legal standing to chosen family members who are integral parts of the household.

  • Caregiving and Dependent Care Leave

    • Offer caregiving leave that recognizes broader definitions of family, including non-traditional dependents such as elderly relatives or chosen family members.

  • Legal Recognition of Polyamorous and Queer Families

    • Expand family law to include legal rights for polyamorous families and long-term queer partnerships that may not be legally married.

By making these changes, employers and lawmakers alike can create a more equitable society while positioning businesses as attractive workplaces for a new generation of employees.

Canadian families are evolving, and so must our laws and employment policies. This is not just a matter of ethics or social justice—it's a strategic advantage in a competitive labor market. By adopting inclusive and flexible policies that reflect the diverse realities of modern Canadian households, employers can attract top talent, retain valuable employees, and support work-life balance for everyone. The time to rethink family is now, get in touch, we can help: hello@quakelab.ca

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