Canada Paid Leave Rules - Your Complete Guide
Comprehensive guide to paid leave rules in Canada. Understand your legal entitlements to vacation time and pay, provincial variations, accrual rules, and employer obligations under Canadian employment standards.
Legal Framework
Canadian paid leave (vacation) is governed by provincial employment standards legislation. The federal Canada Labour Code applies to federally regulated industries, while each province has its own standards. Most provinces require a minimum of 2 weeks (10 days) of paid vacation per year after completing 12 months of continuous employment.
Vacation Entitlement
After completing 12 months of continuous employment, employees are entitled to at least 2 weeks of paid vacation. Some provinces require more: for example, after 5-6 years of service, many provinces require 3 weeks. Vacation entitlement increases with years of service in most jurisdictions.
Vacation Pay
In addition to vacation time, employees receive vacation pay. The standard rate is 4% of gross earnings for the first 5 years of employment, and 6% after 5 years. This is paid out when you take vacation or upon termination. Vacation pay is separate from your regular salary.
Accrual and Timing
Vacation entitlement accrues based on months worked. After completing your first year, you become entitled to the full annual vacation. Vacation can typically be taken after the accrual period, and employers must allow vacation to be taken within a reasonable time frame.
Provincial Variations
Vacation rules vary by province. For example, Saskatchewan requires 3 weeks after 10 years, while Quebec requires 3 weeks after 3 years. Some provinces have different rules for specific industries. Always check your province's employment standards for specific requirements.
Employer Obligations
Employers must provide vacation time and pay according to provincial standards. They must allow employees to take vacation within a reasonable time after entitlement, though they can set specific dates for operational needs. Employers cannot require employees to work during vacation without consent.