Ontario is considered to be one of the best job markets in Canada. However, if you have your business branched out in different Canadian provinces other than Ontario, it is best not to rely on Ontario overtime pay laws to gauge how they are elsewhere in the country. Canadian overtime laws vary slightly by province, with many quirks and qualifiers you need to be aware of in order to comply with local labour laws. In this article, we discuss Ontario overtime laws vs other provinces that employers must follow to ensure their employees receive fair compensation for working beyond their scheduled hours—unless a contract or additional agreement stipulates otherwise.
Overtime in Ontario
According to the overtime law in Ontario, overtime pay kicks in when employees work more than 44 hours in a week. Pay is 1.5 times base pay (“time and a half”) in Ontario for overtime hours. Averaging agreements may be in place, meaning that when calculating “hours worked,” employers tally a worker’s average hours per day over a span of one to four weeks worked. Employees working on commission or who perform piecework earn overtime based on their average wage rate.
Exemptions
Some professions and positions are not entitled to overtime pay in Ontario, such as doctors, lawyers, architects and other professional roles. Managers and supervisors are also generally exempt from Ontario overtime laws.
Holidays
When a statutory holiday occurs, the number of hours needed to trigger overtime decreases. For example, in a 40-hour work week, if two statutory holidays occur, 16 hours of the week are paid as holiday pay. The remaining 24 hours of the week are considered regular working hours, with anything above and beyond considered overtime.
Canadian Overtime Laws in other provinces
Here’s an overview of overtime laws in other Canadian provinces to help ensure your employees working in other branches also receive fair overtime compensation:
Overtime in Alberta
In Alberta, overtime pay kicks in after 44 hours of work in a week. A workday is considered 8 hours, so any work performed above and beyond 8 hours in a day is paid out at 1.5 times a worker’s normal pay. Alberta lets employees take time off in lieu of overtime pay, but only if both employee and employer sign an agreement stating as much. These rules vary for workers paid through commission or on a compressed work week.
Overtime in British Columbia
B.C. has unusual overtime laws compared to the rest of Canada. The first 8 hours of a work day are paid out at normal pay, the next four hours worked beyond this is paid out at 1.5 times normal pay, and anything worked beyond 12 hours in a day is paid out at double the employee’s normal pay per hour. There may also be an averaging agreement in place, where “hours worked” for the purposes of calculating overtime are determined by finding the average hours worked over a span of 1-4 weeks. B.C. also allows employees to take time off in lieu of overtime pay, as long as an agreement is in place between the employee and the employer.
Overtime in Manitoba
In Manitoba, overtime kicks in after 40 hours worked in a week or 8 hours in a day. It is paid out at least 1.5 times normal pay. Employees can take time off in lieu of overtime pay if the hours are used within 3 months of earning them. Those earning commissions calculate their average wage rate and use that figure to determine overtime pay. This is done by dividing earnings in a week by hours worked in a week. The average wage rate is then multiplied by 1.5 to get overtime pay per hour for that given pay period.
Overtime in New Brunswick
New Brunswick pays out overtime as the current minimum wage multiplied by 1.5. If employees typically earn more than the result of this calculation, they don’t receive overtime pay. Those who meet this threshold start earning overtime after working 44 hours in a given week. Certain jobs, however, have different requirements to qualify for overtime or may be exempt from overtime pay altogether, including jobs in the public service, construction, camp counselling, etc.
Overtime in Newfoundland and Labrador
Newfoundland and Labrador, like New Brunswick, pays out overtime at a rate of provincial minimum wage multiplied by 1.5. It kicks in after working 40 hours per week. If an employee ends up working beyond 40 hours in a given week as a result of switching shifts with a co-worker, they do not receive the extra time worked as overtime. If an agreement to allow it is in place, employees can use overtime hours as time off.
Overtime in Nova Scotia
Nova Scotia‘s overtime laws vary based on a worker’s occupation. Generally, after 48 hours worked in a week, employees will receive 1.5 times their normal pay. Workers in oil, gas and fisheries, however, don’t earn overtime pay based on this formula and instead receive the provincial minimum wage times 1.5. Also, landscapers and sawmill workers need to work over 110 hours per two weeks to earn overtime pay.
Overtime in Prince Edward Island
Employees in Prince Edward Island earn overtime, paid out at 1.5 times normal pay, after working 48 hours a week. Exceptions include highway construction workers and heavy equipment operators, who earn it after 55 hours, and community care workers and ambulance drivers, who earn it after 60 hours.
Overtime in Quebec
Workers in Quebec earn 1.5 times their normal base pay after working 40 hours a week and can actually refuse to work overtime if they’ve already worked 50 hours. Workers can also bank overtime hours and use them as time off. Vacation days and statutory holidays count as “days worked” for the purposes of calculating overtime.
Overtime in Saskatchewan
Saskatchewan‘s overtime laws are similar to those in the rest of Canada, where every hour worked in excess of 40 in a week is paid out at 1.5 times base pay. Some professions, such as loggers, fishers and trappers, don’t qualify for overtime. However, if an employer has a “modified work agreement or an “averaging of hours” permit issued by the Director of Labour Standards issues, these laws around receiving overtime will come into play as per the modified daily limit or the hours in the averaging period.
