All Canadian employers must meet or exceed employment standards relating to minimum wage, overtime pay, maternity/parental leave, vacation pay, statutory holidays and terminations. Specific legislative requirements vary between provinces and territories.
Canada Pension Plan (CPP) is a national insurance program that provides income for Canadians when they retire or if they become disabled. The Quebec Pension Plan (QPP) fulfills the same role in that province. Employers are required by law to deduct CPP/QPP contributions from their employees' pay and to provide a matching contribution.
Employment Insurance (EI) provides temporary income support for unemployed Canadians who cannot work for reasons of sickness, childbirth, or parenting; or who are providing care or support to a family member who is gravely ill with a significant risk of death. EI also provides temporary financial assistance for unemployed Canadians while they look for work or upgrade their skills.
This information is only a guide to garnishments of wages, maintenance/support orders. Ceridian suggests you consult legal counsel if an order is served against an employee.
Canada levies a personal income tax on income earned. The amount any individual must pay is based on their taxable income (income earned less allowed expenses) for the tax year. This section provides information on federal and provincial/territorial income tax rates.
When an employer provides a benefit to an employee in addition to salary and wages, they may need to include its value in the employee’s taxable income. A benefit can include a reimbursement of personal expenses, free use of property, goods, or services, or an allowance. This information provides examples of taxable benefits and explains how to quantify them.
Vacationable earnings vary by province and territory but typically include regular earnings, overtime and shift premium pay, public holiday pay as well as bonuses and commissions related to hours of work, production or efficiency. The information we provide in this section was created in consultation with Labour/Employment Standards offices and provides an overview of earnings typically included or excluded from vacation pay calculations in each jurisdiction.
Each province and territory administers the workers' compensation system within its jurisdiction. This no-fault insurance system is funded by employer-paid premiums. It ensures that employers share collective liability for work related injuries and illnesses, and injured workers receive a full range of benefits such as wage replacement, healthcare treatments and rehabilitation services. Find out what the assesssable earnings are for this year.
Ceridian customers can benefit from important Year-End information in a comprehensive Year-End guide available here.
Look no further for direct access to online HR and Payroll resources, including websites for federal, provincial and territorial government agencies, HR and Payroll associations and industry groups.