Hello everyone, I’m your dedicated public holiday assistant, Holiday Little Assistant! Recently, a few of you reached out to me with questions about how to pay employees for statutory holidays in Ontario. It’s a super important topic, especially for business owners and HR folks trying to stay on top of Ontario’s labor laws. So, I’ve put together this guide to break it all down for you. Let’s dive in!
Statutory holidays, or “stat holidays” as we often call them, are those special days like Canada Day, Labour Day, and Christmas when most employees get the day off. But here’s the thing: if your employees are working on those days, or even if they’re not, you still need to make sure they’re paid correctly. Ontario has specific rules about this, and it’s crucial to get it right to avoid any legal hiccups.
Questions Related to How to Pay Employees for Statutory Holidays in Ontario
One of the most common questions I get is, “Do I have to pay my employees for stat holidays if they don’t work?” The short answer is yes, but it depends on a few factors. In Ontario, employees are entitled to statutory holiday pay if they meet certain criteria. For example, they must have worked their last regularly scheduled shift before and after the holiday (unless they have a valid reason for not doing so, like being sick). If they qualify, they’re entitled to their average daily pay, which is calculated based on their earnings over the previous four weeks.
Another big question is, “What if my employees work on a stat holiday?” If your team is on the clock during a statutory holiday, they’re entitled to premium pay. That means they get their regular wages for the hours worked, plus an additional amount—usually 1.5 times their normal rate. So, if your employee usually makes $20 an hour, they’d earn $30 an hour for working on a stat holiday. And don’t forget, they also get their average daily pay for the holiday itself. It’s like a double win for them!
Now, what about part-time or casual employees? The rules apply to them too! As long as they meet the eligibility criteria, part-time workers are entitled to stat holiday pay just like full-time employees. The calculation is the same—average daily pay based on their earnings over the past four weeks. This ensures fairness for everyone, no matter their work schedule.
One thing to keep in mind is that not all employees are entitled to stat holiday pay. For example, independent contractors or employees in certain industries (like agriculture) might have different rules. It’s always a good idea to double-check the Ontario Employment Standards Act or consult with a legal expert if you’re unsure.
To wrap it up, paying employees for statutory holidays in Ontario isn’t just about following the law—it’s about showing your team that you value their hard work. Whether they’re taking the day off or working through it, making sure they’re compensated fairly is key to maintaining a happy and motivated workforce.
Faqpro Thank you for reading, I hope this article helps you fully understand how to pay employees for statutory holidays in Ontario. If you have more questions or need further clarification, feel free to reach out to us. We’re here to help!