The standard rate for vacation pay, in most provinces, is 4% of earnings. This calculation may vary depending on the province you are working from. In Saskatchewan, for instance, employees are entitled to 3 weeks of vacation time, so vacation pay is calculated by multiplying wages by 3/52 (5.77%).
Simple Calculation Example: In Ontario, you are entitled to 4% vacation pay, so if your gross earnings are $1,000, your accrued vacation would be $40.
Vacation pay is earned as you earn wages; even if you only work one hour you will still be entitled to at least 4% vacation pay. It is ‘Accrued’, meaning that it is collected and released as you request it (it is not paid out on each payment). If you would like to have your vacation pay released, click the button below.
When your employment with us ends, you will be paid out the remaining balance on your last payment. To see your vacation pay balance, please refer to your most recent pay statement, under the 'Vacation' section.
Some contractors may have a different accrual rate (eg. 6% instead of 4%) because of client or provincial requirements, so please refer to your Employee Agreement, under the ‘Compensation’ clause for the most accurate information.
Please note: Incorporated contractors and sole proprietors are not eligible for vacation pay as this is only applicable to employees.