Payroll Cycle
Minumum Wage
Provinces & Territories Minimum Wage
Alberta CA$15.00 per hour
British Columbia CA$15.20 per hour
Manitoba CA$11.95 per hour
New Brunswick CA$12.75 per hour
Newfoundland and Labrador CA$12.75 per hour
Northwest Territories CA$15.20 per hour
Nova Scotia CA$13.35 per hour
Nunavut CA$16.00 per hour
Ontario CA$15.00 per hour
Prince Edward Island CA$13.70 per hour
Quebec CA$14.25 per hour
Saskatchewan CA$11.81 per hour
Yukon CA$15.70 per hour
Overtime Pay
Visa Immigration

Talent Wiki - Canada

Your quick guide on talent and labor compliance norms in Canada
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Capital
Ottawa
Currency
Canadian Dollar (CAD)
Languages
English, French
Payroll Frequency
Hourly, weekly, bi-weekly, monthly, or bi-monthly
GDP per Capita
$57,405.93
Employer Tax
Varies on provinces & territories

Supplementary Guide for Employment and Expansion in Canada

Talent Overview

Canada is a highly developed country with high ranking in the human development index among the world countries. It has a mixed-market economy and is the 8th largest economy as of 2022. 

Major economic hubs:

Toronto, Ottawa, British Columbia, Brampton

Skills in demand:

Web developer, Software engineers, Human resource, Customer service, Sales

Local Universities

The top local universities in Canada are as follows:

University of Toronto

RANKING

Canada : 1

World : 23

University of British Columbia

RANKING

Canada : 2

World : 26

McGill University

RANKING

Canada : 2

World : 57

University of Waterloo

RANKING

Canada : 4

World : 71

Simon Fraser University

RANKING

Canada : 5

World : 74

Salary Data

Some of the top jobs in Canada and their monthly salary are listed below.

Job Title Average Salary (CAD) Average Salary (USD)
Accountant 80,600 62,027.86
Accounting Manager 178,000 136,956.05
Financial Analyst 160,000 123,106.57
Business Analyst 154,000 118,490.07
Call Center Representative 45,300 34,851.89
Human Resource Officer 74,900 57,624.87

Talent Sourcing Tips

Top Local Job Boards

RobertHalf, CareerBuilder, Indeed, LinkedIn

Number of LinkedIn Users

20.47 million

Top Recruitment Agencies

TM8 Recruitment, Aerotek, Prometeo, Pinnacle

Employing in Canada

To nurture harmonious labor relations beneficial to employers, employees and the economy, numerous measures have been taken up by the labor program, some of which are collective bargaining, dispute prevention, and arbitration appointments. 

Employee Contract

The language of employment contract in Canada can be English or French. An exception is the Quebec province, which makes it necessary to have the contract particularly in French.

Probation Period

The usual probationary period followed in Canada is from one to six months.

Public and Provincial Holidays

Date Name Type Details (if holiday is applicable to a particular place)
1 Jan New Year's Day Statutory Holiday All Provinces & Territories
2 Jan Day After New Year’s Day Local holiday Quebec
21 Feb Louis Riel Day Common local holiday Manitoba
21 Feb Nova Scotia Heritage Day Common local holiday Nova Scotia
21 Feb Islander Day Common local holiday Prince Edward Island
21 Feb Family Day Common local holiday Alberta, British Columbia, New Brunswick, Ontario, Saskatchewan
25 Feb Yukon Heritage Day Local de facto holiday Yukon
14 Mar St. Patrick's Day Local holiday Newfoundland and Labrador
15 Apr Good Friday Statutory Holiday All Provinces & Territories
17 Apr Easter Sunday Designated Retail Closing Day Nova Scotia
18 Apr Easter Monday Statutory Holiday New Brunswick
18 Apr Easter Monday Local de facto holiday Yukon
18 Apr Easter Monday Statutory Holiday Northwest Territories, Nunavut, Quebec
25 Apr St. George's Day Local holiday Newfoundland and Labrador
23 May National Patriots' Day Local holiday Quebec
23 May Victoria Day Statutory Holiday New Brunswick
23 May Victoria Day Statutory Holiday All except New Brunswick, Nova Scotia, Prince Edward Island, Quebec
21 Jun National Indigenous Peoples Day Local holiday Northwest Territories, Yukon
24 Jun St. Jean Baptiste Day Local holiday Quebec
27 Jun June Holiday Local holiday Newfoundland and Labrador
1 Jul Memorial Day Local holiday Newfoundland and Labrador
1 Jul Canada Day Statutory Holiday All Provinces & Territories
9 Jul Nunavut Day Local holiday Nunavut
11 Jul Orangemen's Day Local holiday Newfoundland and Labrador
1 Aug Civic/Provincial Day Statutory Holiday Newfoundland and Labrador and Nunavut
1 Aug Saskatchewan Day Common local holiday Saskatchewan
1 Aug British Columbia Day Common local holiday British Columbia
1 Aug Natal Day Common local holiday Nova Scotia
3 Aug The Royal St John's Regatta (Regatta Day) Local holiday Newfoundland and Labrador
15 Aug Discovery Day Local holiday Yukon
19 Aug Gold Cup Parade Local holiday Prince Edward Island
5 Sep Labor Day Statutory Holiday All Provinces & Territories
30 Sep National Day for Truth and Reconciliation Statutory Holiday Northwest Territories and for all federal employees
10 Oct Thanksgiving Day Statutory Holiday All except New Brunswick, Nova Scotia, Prince Edward Island
10 Oct Thanksgiving Day Statutory Holiday New Brunswick
11 Nov Remembrance Day Statutory Holiday All except Manitoba, Nova Scotia, Ontario, Quebec
24 Dec Christmas Eve Statutory Holiday New Brunswick
25 Dec Christmas Day Statutory Holiday All Provinces & Territories
26 Dec Boxing Day Statutory Holiday Newfoundland and Labrador, Northwest Territories, Nunavut, Ontario
26 Dec Boxing Day Statutory Holiday New Brunswick
26 Dec Boxing Day Local de facto holiday Yukon
26 Dec Day off for Boxing Day Local holiday Saskatchewan

Employee Leaves

Type of Leave Duration Mandatory
Annual Leave 14 days Yes
Sick Leave 5 days Yes
Maternity Leave 17 weeks Yes

Payroll

Payroll Cycle

Payroll frequency followed in the top Canadian provinces:

  • Alberta - Weekly, Monthly, Bi-monthly
  • British Columbia - Bi-weekly, Monthly
  • Ontario - Monthly, Bi-monthly
  • Quebec - Hourly, Monthly, Bi-monthly
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Minimum Wage

The minimum wage in Canada varies with provinces. Below is a list of the top provinces in Canada along with their minimum wage. Please note, these are for general workers and there shall be exceptions in the data depending on the age of employee ( for those under 17) and the industry related.

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Overtime pay

The employees are entitled to:

  • At least 1.5 times the regular hourly wage, or
  • time off with pay, equivalent to 1.5 hours of time off for every hour worked

In Ontario, extra time worked beyond 44 hours is considered overtime, while in Quebec, it starts after 40 hours. 

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Health Examination Clause

Bonus

13th Month Pay

No statutory mention of 13th month pay in Canada.

Employee Benefits

  • ~Canada Pension Plan
  • ~Parental leaves
  • ~Employment insurance
  • ~Health insurance
Talk to our experts

Taxes

Employer Payroll Tax

Payroll Category Tax Contribution %
Canada Pension Plan (except for Quebec)* 5.45%
Quebec Pension Plan** (Retirement Pension) 5.9%
Employment Insurance (except for Quebec) 2.21%
Quecec Employment Insurance 1.68%

Employee Payroll Tax

Payroll Category Tax Contribution %
Canada Pension Plan* (except for Quebec) 5.45%
Quebec Pension Plan* (Retirement Pension) 5.9%
Employment Insurance (except for Quebec) 1.58%
Quecec Employment Insurance 1.2%

Note:

*Quebec Pension Plan (QPP): This plan provides the employee from Quebec with three different benefits:

  • ~Retirement pension
  • ~Disability benefits
  • ~Survivors' benefits.

To know more about the contributions check here.

Employee Income Tax

Federal Income tax on employees (except for Quebec):

Annual Taxable Income Tax on the first Amount Tax rate on excess
0 to 50,197 CAD 0 15%
50,197 to 100,392 CAD 7,530 CAD 20.5%
100,392 to 155,625 CAD 17,820 CAD 26%
155,625 to 221,708 CAD 32,180 CAD 29%
221,708 CAD and Above 51,344 CAD 33%

Quebec Personal Income Tax

Annual Taxable Income Tax rate on excess
0 to 46,295 CAD 15%
46,296 to 92,580 CAD 20%
92,581 to 112,655 CAD 24%
Above 112,655 CAD 24.75%

Federal Income Tax In Canada

In addition to federal income tax, an individual who resides in, or has earned income in any province or territory is subject to provincial or territorial income tax. 

Note: The tax will be calculated based on the slabs the income falls under. Once tax is calculated from the first slab, the remaining income (if any) is to be calculated from the second slab of taxation, and so on(Except Quebec).

Province / territory Taxable income with corresponding Rates
Newfoundland/ Labrador
  • Taxable income up to CAD39,147 or less - 8.7%
  • Between CAD39,147 and CAD78,294 - 14.5%
  • Between CAD78,294 and CAD139,780 - 15.8%
  • Between CAD139,780 and CAD195,693 - 17.8%
  • Between CAD195,693 and CAD250,000 - 19.8%
  • Between CAD250,000 and CAD500,000 - 20.8%
  • Between CAD500,000 and CAD1000,000 - 21.3%
  • Taxable income above CAD1,000,000 - 21.8%
Prince Edward Island
  • Taxable income up to CAD31,984 or less - 9.8%
  • Between CAD31,984 and CAD63,969 - 13.8%
  • Above CAD63,969 - 16.7%
Nova Scotia
  • Taxable income CAD29,590 or less - 8.79%
  • Between CAD29,590 and CAD59,180 - 14.95%
  • Between CAD59,180 and CAD93,000 - 16.67%
  • Between CAD93,000 and CAD150,000 - 17.5%
  • Above CAD150,000 - 21%
New Brunswick
  • Taxable income CAD44,887 or less - 9.4%
  • Between CAD44,887 and CAD89,775 - 14.82%
  • Between CAD89,775 and CAD145,955 - 16.52%
  • Between CAD145,955 and CAD166,280 - 17.84%
  • Above CAD166,280 - 20.3%
Quebec
  • Taxable income CAD46,295 or less - 15%
  • Between CAD46,295 and CAD92,580 - 20%
  • Between CAD92,580 and CAD112,655 - 24%
  • Above CAD112,655 - 25.75%
Ontario
  • Taxable income CAD46,226 or less - 5.05%
  • Between CAD46,226 and CAD92,454 - 9.15%
  • Between CAD92,454 and CAD150,000 - 11.16%
  • Between CAD150,000 and CAD220,000 - 12.16
  • Above CAD220,000 - 13.16%
Manitoba
  • Taxable income CAD34,431 or less - 10.8%
  • Between CAD34,431 and CAD74,416 - 12.75%
  • Above CAD74,416 - 17.4%
Saskatchewan
  • Taxable income CAD46,773 or less - 10.5%
  • Between CAD46,773 and CAD133,638 - 12.5%
  • Above CAD133,638 - 14.5%
Alberta
  • Taxable income CAD131,220 or less - 10%
  • Between CAD131,220 and CAD157,464 - 12%
  • Between CAD157,464 and CAD209,952 - 13%
  • Between CAD209,952 and CAD314,928 - 14%
  • Above CAD314,928 - 15%
British Columbia
  • Taxable income CAD43,070 or less - 5.06%
  • Between CAD43,070 and CAD86,141 - 7.7%
  • Between CAD86,141 and CAD98,901 - 10.5%
  • Between CAD98,901 and CAD120,094 - 12.29%
  • Between CAD120,094 and CAD162,832 - 14.7%
  • Between CAD162,832 and CAD227,091 - 16.8%
  • Above CAD227,091 - 20.5%
Yukon
  • Taxable income CAD50,197 or less - 6.4%
  • Between CAD50,197 and CAD00,392 - 9%
  • Between CAD100,392 and CAD155,625 - 10.9%
  • Between CAD155,625 and CAD500,000 - 12.8%
  • Above CAD500,000 - 15%
Northwest Territories
  • Taxable income CAD45,462 or less - 5.9%
  • Between CAD45,462 and CAD90,927 - 8.6%
  • Between CAD90,927 and CAD147,826 - 12.2%
  • Above CAD147,826 - 14.05%
Nunavut
  • Taxable income CAD47,862 or less - 4%
  • Between CAD47,862 and CAD95,724 - 7%
  • Between CAD95,724 and CAD155,625 - 9%
  • Above CAD155,625 - 11.5%

VAT

The standard GST rate in Canada is 5% while PST (provincial sales tax) rate varies in different provinces. 

Offboarding & Termination

Termination Process

The Canada Labor Code explains the procedure to follow while terminating the employment of an individual employee or a group termination involving 50 or more employees from a single industrial establishment who are dismissed simultaneously within four weeks.

If an employee believes the dismissal as unjust, they can file a complaint alleging unjust dismissal within 90 days, from the dismissal date.

Notice Period

The notice period for employees on probation and permanent employees is between one to twelve weeks.

Severance Pay

Employees have the right to collect severance pay if they complete continuous employment of at least 12 consecutive months before their layoff or dismissal. 

They are entitled to two days of regular wages for each full year that they worked for the employer before their termination from the employment. The minimum benefit is five days' wages.

Visa and Immigration

Both Canadian citizens and permanent residents have a right to work in Canada. In case of non-Canadian nationals, a valid work permit will usually be required.

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