Employees in Canada can generally have a side gig, but your employer may be able to restrict outside work if your contract requires approval, the side job creates a conflict of interest or it interferes with your main job.

A side gig can include freelance work, running a small business, driving for a delivery or rideshare app, consulting or working a second job.

The biggest risks are usually working for a competitor, using your employer’s confidential information or resources, doing side work during paid working hours, or letting the second job affect your performance. Before taking on outside work, check your employment contract and workplace policies.

⚠️ If your employer says your side gig is misconduct or threatens to fire you for cause, don’t resign or agree that you are owed no severance before getting advice.

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Can You Have a Side Gig While Employed?

Yes, many employees can have a side gig or second job while continuing to work for their main employer.

There is no general rule that employees must devote all of their personal time to one employer. However, your employment contract and workplace policies can place limits on outside work.

A side gig is usually less concerning when it:

  • Takes place outside your regular working hours
  • Does not compete with your employer
  • Does not use company equipment, information or clients
  • Does not affect your attendance or performance
  • Does not breach your employment contract or a reasonable workplace policy
💡 The simple rule: a side gig is usually not a problem just because you have one. Problems arise when it conflicts with your main job or breaks an employment obligation.

Do you have to tell your employer about a side gig?

Not always, but you may have to disclose it if your contract or workplace policy requires approval for outside employment.

Disclosure can also be important if the side business could create a real conflict of interest. Review the wording before assuming that you can keep the work private.

Can Your Employer Stop You From Having a Side Gig?

Yes, in some circumstances. An employer can place reasonable restrictions on outside work, particularly through an employment contract or conflict-of-interest policy.

For example, your contract might require you to:

  • Get approval before taking another job
  • Avoid working for a competitor
  • Disclose outside business interests
  • Avoid conflicts with your duties to the company
  • Keep confidential information private

Some public-sector and regulated employees can also be subject to specific outside-employment and conflict-of-interest rules. Federal public-service policies, for example, require disclosure where outside work could create a real, apparent or potential conflict.

Can your employer introduce a new ban on side gigs?

An employer can introduce reasonable workplace rules, but a major new restriction that significantly changes an existing employment agreement can raise additional issues.

If you have operated a known side business for years and your employer suddenly demands that you shut it down, review your contract and the circumstances before resigning or agreeing to a major change.

When Does a Side Gig Create a Conflict of Interest?

A side gig becomes risky when your personal business interests conflict with the work you owe your main employer.

Examples can include:

  • Working for a direct competitor
  • Soliciting your employer’s customers for your own business
  • Using confidential company information for outside work
  • Using company equipment or working time for your side business
  • Redirecting business opportunities that belong to your employer
  • Allowing your outside work to interfere with attendance or performance

Can you work for a competitor?

Working for a competitor while still employed can be particularly risky.

Your contract may expressly prohibit it, and even without a specific clause, competing with your employer or using its confidential information can create serious employment problems.

If your side work is in the same industry, don’t assume that doing it after hours automatically makes it acceptable.

Can you use your work laptop or phone for your side business?

You should generally avoid using employer equipment, accounts, confidential information or paid working time for a personal business unless your employer clearly permits it.

Keeping your side gig separate from your main job reduces both conflict-of-interest and misconduct concerns.

Can You Be Fired for Having a Side Gig?

Yes, an employer can potentially terminate you because of a side gig, but that does not automatically mean it can fire you for cause and pay no severance.

For most provincially regulated non-unionized employees, an employer can generally terminate employment without cause for a lawful, non-discriminatory reason if it provides the notice or severance legally owed – it can be as much as 24 months’ pay.

Firing someone for cause is much more serious. A side gig is more likely to create cause concerns where there is deliberate dishonesty, serious competition with the employer, misuse of confidential information or a major breach of an important employment obligation.

Simply having lawful outside work does not automatically meet that high standard.

⚠️ If your employer fires you over a side gig and says you get no severance, have the cause allegation reviewed before signing a release or accepting that nothing is owed.

Can you be disciplined for not disclosing a side gig?

Potentially, especially if your contract clearly required disclosure and you knowingly ignored that requirement.

The consequences still depend on the seriousness of the breach, whether a conflict actually existed and the surrounding circumstances.

Can You Work Two Jobs at the Same Time?

Yes, you can generally work two jobs at the same time if neither job prevents you from meeting your obligations to the other employer.

Problems can arise if:

  • Your contract requires exclusive employment
  • The jobs compete with each other
  • Your scheduled hours overlap
  • You are being paid by one employer while working for the other
  • Fatigue causes attendance, safety or performance problems
  • You misuse confidential information between employers

STLAW’s existing guidance similarly notes that whether someone can work two full-time jobs can depend heavily on the employment contract and any exclusivity requirement.

Is a side gig the same as gig work?

No. A side gig simply means extra work outside your main job, while gig work describes short-term, task-based or app-based work.

Your side job could be employment, freelance work, a small business or work through an app. See our guide to the gig economy in Canada for more information about gig-worker status and rights.

What Should You Do Before Starting a Side Gig?

Check your employment contract and workplace policies before starting outside work that could overlap with your main job.

  • Review your contract. Look for exclusivity, outside-employment, confidentiality and conflict-of-interest clauses.
  • Check whether approval is required. If it is, don’t simply ignore the requirement.
  • Keep the businesses separate. Don’t use your employer’s time, equipment, clients or confidential information.
  • Avoid direct competition. Get advice if the side work overlaps with your employer’s business.
  • Keep performing your main job. Attendance and performance problems can create a separate reason for discipline.
  • Get advice before resigning. If your employer demands that you shut down an existing side business or threatens termination, understand your options first.

Side Gigs in Canada: Frequently Asked Questions

Can my employer ban me from having a second job?

Sometimes. Your employment contract or workplace policy can restrict outside employment, particularly where approval, exclusivity or conflicts of interest are involved.

Do I have to tell my boss about my side hustle?

Not always. You may need to disclose it if your contract or policy requires disclosure or the outside work could create a conflict of interest.

Can I run a business while working full-time?

Yes, in many cases. Keep the business separate from your employment and make sure it does not breach your contract, compete improperly with your employer or interfere with your work.

Can I be fired for working a second job?

Yes, potentially, but being fired does not automatically mean your employer has just cause to deny severance. The contract, nature of the side job and seriousness of any conflict or breach all matter.

Can I work two full-time remote jobs?

Potentially, but you must still be able to meet both employers’ working-hour, performance, confidentiality and conflict-of-interest requirements. Being paid by two employers for the same working hours can create particularly serious problems.

⚠️ Unionized? Outside-employment and discipline disputes generally have to be handled through your union and the grievance process. Samfiru Tumarkin LLP’s employment law team can’t assist with unionized workplace disputes.

Get Advice About a Side Gig and Your Main Job

Having a second source of income does not automatically mean you are doing anything wrong. The important questions are what your employment contract says and whether the side gig interferes with your obligations to your employer.

Samfiru Tumarkin LLP helps non-unionized employees in Ontario, Alberta and British Columbia understand employment contracts, workplace discipline, termination and severance rights.

If your employer is demanding that you give up a side business or threatening to fire you for outside work, get advice before resigning or accepting a cause allegation.

Is Your Employer Challenging Your Side Gig?

Review your employment contract and conflict-of-interest rules before quitting the side job, resigning from your main job or accepting a cause allegation.

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