Did you know that there are different standards across Canada regarding an employer’s obligation to distribute overtime pay to employees?
More importantly — do you know the overtime pay regulations that are in place within your province?
As an employer, you need to be aware of the overtime rules should you have employees who work more than their regular hours. If an employee is not receiving the overtime pay they deserve, they can file a claim under the Employment Standards Act (or equivalent in your province or territory) which can result in a hefty fine towards your business.
The chart below shows how many hours an employee can work at regular pay. Any work completed above the allotted hours in most cases results in overtime pay for the employee at time and a half.
Province |
Overtime Hours |
|
Daily | Weekly | |
Alberta | 8 | 44 |
British Colombia | 8 | 40 |
Manitoba | 8 | 40 |
New Brunswick | 44 | |
Newfoundland and Labrador | 40 | |
Northwest Territories | 8 | 40 |
Nova Scotia | 48 | |
Nunavut | 40 | |
Ontario | 44 | |
Prince Edward Island | 48 | |
Quebec | 40 | |
Saskatchewan | 8 | 40 |
Yukon | 8 | 40 |
Please note: British Columbia has a rule in which an employee who works over 12 hours in a day should receive double time for any extra hours worked.
With PaymentEvolution’s secure, online payroll, employers don’t have to worry about paying their employees overtime manually. When running payroll, simply change the earning type to Overtime Pay and input the amount of overtime hours worked within the pay run. PaymentEvolution’s software will automatically calculate the total overtime hours worked at 1.5x the regular rate and add it to your pay run. If you have any questions on this or any other payroll related queries you can contact support@paymentevolution.com