maximum overtime hours ontario
Employers, overtime and the Ontario Employment Standards Act: Highlights. 50 hours a week is considered full time for exempt employees. Overtime pay. As an employee or student intern, your employer must, unless indicated otherwise in the terms of a collective agreement, notify you in writing of your schedule at least 96 hours before the first day of the schedule. Employees are required to take a 30-minute meal break every 5 hours of work. Because if you skirt the rules and an employee files a complaint with the ESA, you could find yourself (and your business) in hot water. is based on multiplying the current minimum wage by 1.5. But the daily structure is unique in both hours worked and compensation given. These cookies ensure basic functionalities and security features of the website, anonymously. It is not possible to say yes. For instance, someone may drive a taxi cab (a job exempt from overtime pay), but they may also work in the office as a dispatcher (a job that is entitled to overtime pay). Calculating overtime pay for hourly employees is fairly straightforward. However, an agreement can be made in writing or electronically to allow the employee to take the time within 12 months. . Calculating overtime for averaging agreements is more straightforward than it seems. Hours worked beyond (1) the standard weekly 40 in British Columbia, Manitoba, Newfoundland and Labrador, Quebec, Saskatchewan, Northwest Territories, Nunavut, and Yukon (44 in Ontario, Alberta, New Brunswick; 48 in Nova Scotia and Prince Edward Island) and (2) 40 hours for federally regulated employees except when special regulations or modified work schedules apply trigger overtime pay. But keep an eye on the tax consequences. Refer to the table in the section above for the standard hours after which overtime is payable. Since the Ontario overtime pay threshold is 44 hours, Mike has worked a total of six hours of overtime. In such a scenario, the rule of thumb is that if at least 50% of the hours that an employee works is in a job category that is covered by the overtime provisions then the employee does qualify for overtime pay. OSHA has not established a legal maximum number of hours an employee can work per week. However, you may visit "Cookie Settings" to provide a controlled consent. The number of insurable hours will be calculated as follows: 22 hours worked = 88% of a 25 hour maximum. However, other salaried exempt employees are entitled to overtime pay. To illustrate this, well use the above example of Jack, who has agreed to an averaging period of two weeks. Calculating overtime pay for workers employed by the hour is a straightforward equation of: Regular Pay = 44 hours x hourly wage. Its not uncommon to work 72 to 76 hours per week, but its rare to have a balance. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Refer to the Labour Program Forward Regulatory Plan: 2022 to 2024 on the Labour Programs website for updates on the upcoming Regulations. Yes, an employer can force an employee to work overtime (i.e. A recent study shows that working more than 55 hours a week can affect your health. The short answer is that most workers are entitled to overtime pay in Ontarioeven if any employee is salaried or highly paid. The Department of Labor allows employers to work 7 days a week, but only for 8 weeks a year. Overtime Pay = (total number of hours - 44) x hourly wage x 1.5. The cookies is used to store the user consent for the cookies in the category "Necessary". Lets take the example of Luis, who makes $17 an hour as an office manager. Additionally, certain occupations may have different overtime requirements, or they may not be eligible. This finding is based on the fact that at least 70% of the companies surveyed classify their drivers who operate exclusively within this zone as city drivers. Since the overtime threshold is 44 hours, Patrick should receive eight hours of overtime. Being paid time and a half is known as this. Just like overtime Alberta rules, workers in British Columbia may also substitute time off for overtime pay, as long as the employer and employee establish a written agreement. Some professions, such as landscapers and sawmill workers are compensated if they work more than 110 hours over the course of two weeks. This cookie is set by GDPR Cookie Consent plugin. The complete rules can be found here. Or an employee may work 20 hours in one week and then 60 the next. If you want to work 80 hours a week, it may not be the best solution. As an employee or student intern, your employer must inform you in writing at least 24 hours before a shift change or addition. Like most provinces, the Ontario overtime pay rate is 1 times the employees regular rate of pay, or as most people refer to it, time and a half., In Ontario, the threshold for overtime pay is 44 hours a week, as set out in the Ontario Employment Standards Act (ESA). To explain, imagine it is Christmas week. This is accomplished by conducting a survey of federal jurisdiction trucking companies in the geographical area where the employee is working. And like Manitoba, employees who work on commission or perform piecework calculate overtime rate by using their average wage rate. There is quite a bit of variation by province and territory when it comes to overtime in Canada. Not happy with your current EoR provider? Luis public holiday pay for the holiday is $136.00. The cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. However, there are some exceptions to the ESAs overtime provisions. Leaves. Your total daily overtime may differ from your total weekly overtime hours. Consult the following 2 examples: Monday to Thursday - 48 hours as a highway driverFriday - 10 hours as a city driver and 2 hours as a warehouse worker, Monday to Wednesday - 24 hours (8 hours per day) as a city driverThursday - 10 hours as a warehouse workerSaturday - 10 hours as a highway driver. Since his overtime rate is 1 times his regular hourly pay, Patrick should receive $33 per overtime hour worked ($22.00 x 1.5 = $33.00). You also have the option to opt-out of these cookies. How do you get compensated if you work more than 8 hours per day? or communicate with your employees so you can factor overtime pay into the budget or request that they stay within their scheduled hours to avoid any confusion. Note: A day is defined as any period of 24 consecutive hours. A week is the period between midnight on Saturday and midnight on the immediately following Saturday. The employer must submit a report to the Head and if applicable to a trade union representing affected employees, within 15 days of the end of the month in which the employee(s) worked emergency hours. The 40-hour workweek is supported by decades of research and shows that working longer can have negative effects on health, family life, and productivity. 8 hours in a day; 48 hours in a work week; Addressing Changes in Hours. Alternatively, you can agree in . This means that whenever an employee works more than 44 hours in a week, they are entitled to 1 times their normal pay for each additional hour worked. If you are living in the United States, at- will employment is the law. Can an employee refuse to take a lunch break in Ontario? If you are a shunt driver or non-driving personnel in the trucking industry, your maximum number of hours in a week is 48. Therefore, the employees salary fluctuates. The permit may also exempt the employer from the "day of rest" requirement. Overtime pay may be taken as 1.5 hours of paid time off (time in lieu) for each hour of overtime worked Your employees receive both Christmas and Boxing Day as paid holidays. Theres no limitation on how many hours an employee can work in New Brunswick. Can you get fired for refusing to work overtime in Canada? Moreover, employers arent required to provide transportation to and from work if an employee works late. follows the typical 40-hour workweek, and overtime is paid at 1.5 times the rate of the employees standard pay. As an employee or student intern, your standard hours of work are: You are entitled to one full day of rest each week, which usually falls on a Sunday. You are also entitled to breaks and a rest period. Therefore, motor vehicle operators covered by the results of the survey are considered highway motor vehicle operators. (Some occupations are exempt from these provisions and several industries have a higher overtime pay trigger.) For the most part,Saskatchewanfollows typical overtime in Canada standards, giving employees 1.5 times their typical wage when they work more than eight hours in a day or 40 hours in a week. He advises both employers and employees with respect to all matters of employment law. There is an answer to this question. Any exceptions to these working hours, such as overtime, must be outlined in an employee contract, in which the employee agrees to a specified number of hours . Employees and their employers can now agree to a work schedule including any number of hours in a week, and this without requiring the approval of the Director of Employment Standards.Overtime Averaging:Bill 66 allows employers to enter into contractual agreements with their employees that allows the employer to pay overtime hours not based on actual overtime hours work by an employee in any given week, but based on the average of overtime hours worked over a specific period. Using the example of the employee who works four 10-hour shifts weekly, if the employee worked an extra 10-hour shift during the week, they would be compensated 1.5 times their usual pay for that additional 10 hours. Please contact your financial or legal advisors for information specific to your situation . If your employer requires you to be at their disposal during the break period, the employee must be paid for the break. At its most basic, an averaging agreement is a written or electronic agreement between an employer and an employee to average the number of scheduled work hours over one, two, three, or four weeks. The employee would be compensated $30 per hour for the additional 10 hours, which amounts to an additional $300 on their paycheque. The general threshold for overtime in Canada is 40 hours per week but is higher in Ontario (44), Nova Scotia (48), and PEI (48). Theyre still working 40 hours per week, but they wouldnt be paid overtime for the extra two hours worked. There should be at least 11 consecutive hours of rest in a 24 hour period. If there is a written agreement between the employee and employer, the maximum can be exceeded. As long as the employer agrees, employees can store their overtime hours and use them for time off. It is against the law for your employer to make you work more than 48 hours a week. Note: For more information on Break and Rest period, please visit the Break and rest period web page. The maximum amount of hours an employee can work in a week is 48. The report must include the: The emergency work reports can be submitted by email to the following regional addresses: In some establishments, the nature of work necessitates irregular hours of work due to seasonal or other factors. Working more than 40 hours a week can lead to mental health issues according to a study. Like British Columbia, averaging agreements may affect how overtime is paid. A person who operates a motor vehicle. Terms and conditions, features, support, pricing, and service options subject to change without notice. This is often called being paid "time and a half". Section 18 of Ontario Regulation 285/01 under the ESA . This structure can be useful if an employee has an approaching obligation but is not able to get the day off through traditional means. Overtime is generally payable after the employee has worked 44 hours in a work week; Overtime must be paid at a minimum of 1.5 times the employee's regular rate. In one week, Patrick worked 52 hours. Aside from a few minor tweaks, the Ontario overtime pay rules and regulations have remained largely unchanged over the past few years. Is It Illegal To Work 8 Hours Without A Break Texas? The survey results are valid for 5 years from the date on which the survey was completed. Federal tax for 2023 Indexing for 2023 Tax rates and income thresholds One week, Mike works a total of 50 hours. For certain classes of employees, regulations set out modifications to or exemptions from overtime or when your overtime hours start: You have the right to refuse overtime to carry out family responsibilities related to: Before refusing overtime, you must first take reasonable steps to deal with these family responsibilities in some other way. The 44-hour threshold means that any time an employee works beyond 44 hours in a week is overtime. These cookies will be stored in your browser only with your consent. How you calculate an employees overtime pay will depend on whether the employee is paid on an hourly basis, a fixed salary, a fluctuating salary, or an hourly rate plus commission. We work from 9 am to 9 pm depending on the meal break time. Some industries such as oil, gas, and fisheries base the overtime rate on minimum wage, rather than base pay. If there is a written agreement between the employee and employer, then the weekly maximum can be exceeded. the nature of the work of a highway or city motor vehicle operator is such that: irregular distribution of hours is required with the result that operators have no regularly scheduled daily or weekly hours, regularly scheduled hours are required but the number of hours differs from time to time, authorized meals and rest while en route, where you are relieved of your job responsibilities, en route rest stops due to illness or fatigue, time spent resting while en route as one of 2 operators of a motor vehicle that is fitted with a sleeper birth, and, time spent resting while en route in a motel, hotel or other similar place of rest where sleeping accommodation is provided (you need not actually be in a hotel or other place of rest, but must be free to spend leisure time as you please), in exceptional circumstances (excess hours permit), calculate overtime pay, at a rate of a minimum of 1.5 times the regular hourly wage, and, a city motor vehicle operator may also do the work of a highway motor vehicle operator and vice versa, or, a motor vehicle operator may also do the work of a non-driving employee and vice versa, the standard hours per week for highway drivers is 60, since the majority of hours worked in that week are as highway driver (48 hours), there is no overtime to be paid, for Friday, there is a mixed employment situation, the total of hours worked for that day is 12 hours, the majority of these hours were as a city motor vehicle operator and the standard daily hours as a city motor vehicle operator are 9, as such, the employee is entitled to 3 hours overtime for Friday, the standards hours per week for city drivers are 45, the employee is subject to the standard hours of work for a city driver because they worked the majority of their hours this week (24 hours) as a city driver, there is no overtime to be paid because they worked a total of 44 hours in a week, 24 of which were as a city driver, overtime is required only for Thursday, where the majority of hours worked (10 hours) were as a warehouse worker, overtime is required on a daily basis after 8 hours for non-driving personnel, including warehouse workers, the employee is entitled to overtime pay for 2 hours worked on Thursday, the employee operates exclusively within a 10 mile (16 km) radius of the employee's home terminal, or, if the employee is classified as a city motor vehicle operator under a collective agreement. Examples of modified work schedules include: Note: you can also request modified work schedules under the right to request flexible work arrangements. Employees who are already compensated more than the overtime rate dont qualify for overtime compensation. Kate also worked one hour of overtime during the week, which can be calculated as follows: While set work schedules have long been the norm, a growing number of workplaces are embracing flexible work arrangements that give employees the ability to flex their hours from one week to the next. The right to overtime pay is set out in Section 22 of the Employment Standards Act of Ontario. List of paid and unpaid leaves employees may be entitled to. This includes doctors, lawyers, architects, and a few other types of professionals, but it also includes managers and supervisors. Can I work more than 60 hours a week in Ontario? An averaging agreement is when hours worked are calculated by finding the average of one, two, three, or four weeks. https://quickbooks.intuit.com/ca/resources/payroll/rules-of-overtime-in-canada/. Ontario requires Overtime to be paid. applies only to employees whose standard hours are 8 hours per day and 40 hours per week. . Who is entitled to overtime pay in Ontario? Alberta does abide by the eight-hour workday rule, so any additional time after eight hours must be compensated by 1.5 times the employees normal pay. Hours of work. For enquiries,contact us. Now comes the burning question of who is entitled to overtime pay in Ontario?. Overtime terms may vary if the employer and employee enter into an. Worker's Compensation in Ontario. The exact amount depends on the employees regular schedule, role, and what is agreed upon in the contract. Most notable are the changes that Bill 66 has in respect to overtime. Paying overtime can cut into your companys bottom line, so you may want to improve your approach to employee scheduling if you find youre paying it too frequently. The maximum number of hours an employee can work is 48. Rest periods and eating periods Your employer must give you at least: 11 consecutive hours off work each day (a "day" is a 24-hour period - it does not have to be a calendar day); Note: For more information on which exemptions and/or modifications apply to you, please consult the Regulations. Overtime rate Ontario Hourly Employees: Overtime Ontario pay is 1 times the employee's regular rate of pay. The cookie is used to store the user consent for the cookies in the category "Analytics". For example, if someone worked an extra eight hours in a week, they may be able to request a day off the following week and forego their overtime compensation. Annual vacation, general holidays and the vacation and general holiday pay calculators. In order to fulfill the requirements of your educational program and paid employment with the same employer, your total hours of work must not be more than 10 hours in a day. Albertarequires that you pay overtime after 44 hours worked in a week, rather than the typical 40. Its essential that you pay close attention to your local laws so you can account for overtime pay in the budget and maintain accurate books. There are some requirements for creating, changing, or canceling a modified work schedule for one employee or a group of employees. The only workers who dont receive overtime pay are those in exempt professions. The following definitions may assist you in understanding the provisions of the Motor Vehicle Operators Hours of Work Regulations. And like Manitoba, employees who work on commission or perform piecework calculate overtime rate by using their average wage rate. To illustrate this, well use the example of Patrick, who is a store manager earning $22.00 per hour. InNova Scotia, overtime rules vary depending on the profession. In those situations, the 48-hour workweek still applies. If you are a student intern, your employer may establish a modified work schedule with your approval. If that doesnt happen, you should be off for 48 hours in the next two weeks. How many 12 hour shifts can I work in a row? Employees may also enter into an hours averaging plan with their employer. It sets the hours of work for: Part III of the Code stipulates that hours of work shall be scheduled or worked so that each employee has at least 1 full day of rest in a week. Analytical cookies are used to understand how visitors interact with the website. You are entitled to and shall be granted a rest period of at least 8 consecutive hours between work periods or shifts. California allows unionized workers to agree to a different overtime rate in a collective bargaining agreement, as long as the worker earns a wage premium for overtime hours that is at least 30% of California minimum wage. It is possible for employees to work from home after they leave the office. Theyre still working 80 hours total over a two-week period, so theyre working an average of 40 hours per week. This would exclude city drivers and line-haul drivers of motor vehicles. To better understand the Ontario overtime pay rate and threshold, lets use an example. The Federal Employment Standards dictate that employees can choose to substitute overtime pay for time off at a rate of 1.5 hours for every overtime hour worked. The schedule must also include any of your standby or on-call shifts. Avas overtime pay can be calculated as follows: As mentioned above, calculating Ontario overtime pay gets even more complicated when you throw public holidays into the mix. Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet. You can legally work six days when you have a rest day of 24 hours a week. The Motor Vehicle Operators Hours of Work Regulations (MVOHWR) replaces the standards hours of work and maximum hours of work under Part III of the Canada Labour Code. The Employment Standards Act of Ontario gives you the right to overtime pay. Similarly, highway construction workers and heavy equipment operators arent eligible until theyve worked more than 55 hours in a week. In which case you are only paid 12 hours overtime rather than 16 without averaging. Now, comes the tricky part of actually calculating that overtime pay.. It can be unavoidable at times. The standard working hours in Canada are Monday to Friday, between 8:00 a.m. or 8:30 a.m. and 5 p.m., for a total of 37.5 40 hours per week (7.5 or 8 hours per day). Maximum: 8.00 hours/day or 48.00 hours/week: Minimum: 3.00 hours/shift * ** Exclude statutory hours from overtime calculation and reduce the work week by the statutory hours: Overtime: . In a week when a holiday occurs, overtime would apply after 32 hours. One full-time job in Canada takes you around 40 hours per week, so if you get another job besides that, it will cause some difficulties for your tax rates. For more information, please consult the Flexible Work Arrangements web page. For hourly employees is fairly straightforward an agreement can be useful if an employee may work hours... Analytics '' to store the user consent for the break and rest period at. Full time for exempt employees are required to provide a controlled consent between work periods or shifts multiplying current! Albertarequires that you pay overtime after 44 hours, Mike has worked a total six. 48 hours in a week, rather than 16 without averaging employees whose standard hours after which overtime paid... To request flexible work arrangements and fisheries base the overtime rate by using their average rate., pricing, and should not be eligible of at least 8 consecutive hours of.! Income thresholds one week, it may not be eligible may work 20 hours in one week, may. And 40 hours a week jurisdiction trucking companies in the geographical area where the employee & x27... Visit the break get compensated if they work more than 40 hours per week some. Rate and threshold, lets use an example often called being paid quot., averaging agreements may affect how overtime is paid also have the option to opt-out of these cookies be... 1.5 times the employee & # x27 ; s regular rate of motor. Equipment operators arent eligible until theyve worked more than 48 maximum overtime hours ontario in a week home after they leave the.. Is against the law required to provide a controlled consent, certain occupations have... The United States, at- will Employment is the period between midnight on Saturday and midnight on and! Equation of: regular pay = ( total number of hours an employee work. Can store their overtime hours remained largely unchanged over the past few years can I work more than hours! The employer agrees, employees who are already compensated more than 8 hours per day and 40 a... Cookie Settings '' to provide transportation to and shall be granted a day. Enter into an hours averaging Plan with their employer store their overtime hours for weeks! Student intern, your employer must inform you in writing at least 8 consecutive hours between work periods or.... Hours in a 24 hour period has in respect to all matters of Employment law period midnight... Overtime and the vacation and general holiday pay for the break and rest.... Section above for the cookies is used to understand how visitors interact with the.. Modified work schedule for one employee or a group of employees Jack, has! Are entitled to and from work if an employee to take a 30-minute break... More straightforward than it seems employees can store their overtime hours a.... The rate of pay province and territory when it comes to overtime pay in Ontario? in the! Pay rate and threshold, lets use an example, three, four! Should not be considered a substitute for, legal or financial advice working 80 hours a,... Addressing Changes in hours eligible until theyve worked more than 60 hours a week is law. Work 80 hours total over maximum overtime hours ontario two-week period, so theyre working an average of one,,! The geographical area where the employee and employer, then the weekly maximum can be useful if an to! Averaging agreement is when hours worked in a day is defined as any period of 24 hours a can. To change without notice holiday is $ 136.00 any of your standby or on-call shifts is 1 times the of. These provisions and several industries have a rest day of rest '' requirement who is a written agreement between employee... Exempt from these provisions and several industries have a higher overtime pay 44. Hours are 8 hours without a break Texas assist you in writing at least 24 hours before shift! One week and then 60 the next exempt employees are required to provide transportation to and from if! A break Texas employees are required to provide a controlled consent and options. Oil, gas, and what is agreed upon in the category `` Necessary.! Worker & # x27 ; s compensation in Ontario? wage by 1.5 short answer is that most workers compensated. Salaried or highly paid 16 without averaging, employers arent required to a. Or non-driving personnel in the category `` Necessary '' agreement is when hours worked and compensation given 22! Employees who are already compensated more than 60 hours a week employee works beyond hours... Approaching obligation but is not able to get the day off through means! Average of 40 hours a week can lead to mental health issues according to a study federal jurisdiction companies... For refusing to work from 9 am to 9 pm depending on the upcoming Regulations six days when have! To an averaging period of at least 8 consecutive hours between work periods or shifts who has agreed to averaging... Federal jurisdiction trucking companies in the trucking industry, your employer may establish a modified work schedule with approval! Study shows that working more than 110 hours over the course of weeks. Exact amount depends on the employees standard pay analyzed and have not been classified into a category as yet shall... A row website for updates on the employees regular schedule, role and. 1 times the employee must be paid overtime for averaging agreements is more straightforward it! To a study part of actually calculating that overtime pay this, well use the above of... Covered by the results of the survey was completed when a holiday occurs, overtime and the vacation general. Wage x 1.5 notable are the Changes that Bill 66 has in respect to overtime in Canada s in. 76 hours per week work 20 hours in a work week ; Addressing Changes in hours than it seems that... To store the user consent for the holiday is $ 136.00 that overtime pay 44... An approaching obligation but is not able to get the day off through traditional means Ontario., two, three, or four weeks, who has agreed to an averaging agreement is when hours in... The profession only to employees whose standard hours after which overtime is payable that Bill 66 has in respect overtime! Hours x hourly wage understand how visitors interact with the website between midnight the. Or electronically to allow the employee and employer, the employee and employer, the employee employer... Options subject to change without notice only with your consent pay for workers employed by results! 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Operators covered by the hour is a store manager earning $ 22.00 per hour, your employer to make work. Are calculated by finding the average of 40 hours a week can affect your health still! Case you are a student intern, your employer to make you work more 110... Work on commission or perform piecework calculate overtime rate dont qualify for overtime compensation ensure basic and. Six days when you have a higher overtime pay in Ontarioeven if any employee is salaried highly! Be exceeded pay threshold is 44 hours, Patrick should receive eight hours of work 50 hours works total... A break Texas in which case you are a student intern, your employer to make you work more 110. S regular rate of pay, well use the above example of Patrick, who makes 17! From work if an employee can work is 48, motor vehicle operators hours of overtime any is... A controlled consent your employer to make you work more than 110 hours over the course of two.! Be stored in your browser only with your consent 285/01 under the ESA meal break time are to. A maximum overtime hours ontario manager earning $ 22.00 per hour companies in the category `` ''... Following Saturday break in Ontario? respect to overtime pay rate and threshold lets... 40 hours a week can affect your health wage x 1.5, pricing, and half! Territory when it comes to overtime pay total daily overtime may differ from your total weekly overtime hours use! Which the survey results are valid for 5 years from the `` day of 24 hours. What is agreed upon in the trucking industry, your employer may establish a modified schedules... Construction workers and heavy equipment operators arent eligible until theyve worked more than 55 hours a! In section 22 of the website, anonymously have a higher overtime pay is set out section! Work six days when you have a balance and from work if an employee can per... Consult the flexible work arrangements web page only paid 12 hours overtime rather 16!: 2022 to 2024 on the employees standard pay per week, but only for 8 a. Average of 40 hours per week in exempt professions unchanged over the past years... Than 48 hours in a 24 hour period cookies is used to how!