What is the liability period for unpaid employee wages under the CBCA?

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Under the Canada Business Corporations Act (CBCA), the liability period for unpaid employee wages is indeed six months. This means that if an employer fails to pay wages owed to an employee, the employee has a period of six months to initiate a claim for those unpaid wages against the employer. This timeframe is essential because it sets a clear boundary for employees seeking recourse for wage disputes, allowing them to consider legal action without an indefinite wait. It provides an efficient mechanism to claim wages, ensuring that employees can access their rights and entitlements without the concern of an overly lengthy statute of limitations. The six-month period balances the need for employees to act promptly while still providing a sufficient window to address potential claims against unpaid wages.

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