Temporary layoff
In Alberta, the maximum duration for temporary layoffs is 90 days within a 120-day period. An employee is terminated on the 91st day if they have not been recalled to work, and termination pay must be paid if the employee is entitled.
The employer must give the employee notice of temporary layoff. To be valid, the notice must:
Employers will not need to give group termination notice to employees or unions.
Variances and exemptions:
Applications can be made to the Director of Employment Standards for a variance or exemption to certain minimum standards:
General Holiday Pay
An employee is entitled to general holiday pay if they have worked for the same employer for at least 30 workdays in the 12 months prior to the holiday. Most employees are entitled to general holidays and receive general holiday pay if one of the following applies to them
If a general holiday falls on an employee's regular day of work:
If a general holiday falls on an employee's non-regular day of work:
What is a regular day of work?
Regular day of work is every workday in an employee’s normal schedule: if the employee works the same days every week, those days are considered their regular days of work. Other days are not regular days of work.
Even if an employee works an irregular schedule, some days in their schedule may still be considered regular days of work. To see which days those are, we look at what happens the majority of the time:
This rule is sometimes called “The 5 of 9 rule”
Regular Day's Pay
The average daily wage is calculated by dividing the employee's wages by the number of days the employee worked. There are two options for the period to use for the calculation:
General holiday pay and overtime
The hours worked on the holiday do not count when calculating overtime hours worked for the week in which the holiday falls.
Exception: When an employee on a regular schedule works a general holiday, instead of paying them the general holiday pay, the employer may offer a day off in lieu. For the hours worked on the general holiday, the employee receives their standard wage rate and standard overtime rules apply. For the day off in lieu, the employee receives their average daily wage.
Note: Overtime pay is not included in the calculation of average daily wage.
Vacation
Basic rules
Employee eligibility
Most employees are entitled to vacation time and vacation pay after being employed for one year. However, an employee may take vacation with pay before completing a full 12 months of employment if the employer agrees.
Some employees who work in specified industries and professions aren’t eligible for annual vacations and vacation pay, including:
Construction workers
Employers aren’t required to give their construction employees vacation time. However, construction employees must be paid vacation pay of at least 6% of their wages.
See Construction – Employment Standards Exceptions for more information
Vacation time
Employee entitlements
Employers must give vacation time and employees must take the vacation to which they’re entitled. Where employees have already been paid vacation pay, their time off will be without additional pay.
How vacation time is calculated
The minimum vacation pay and vacation time is accrued during 12-month periods as follows:
Employees must take their vacation time sometime in the 12 months after they earn it.
Length of vacations
An employer is required to provide annual vacations to employees. Employers are to provide vacations in one unbroken period, however, an employee can request, in writing, for the vacation to be broken into shorter periods and if the request can be accommodated, the employer should provide this.
Vacation time is allowed to be taken in half-day increments if agreed to by the employer and employee.
Disagreements about vacation dates
Employers are allowed to deny requests for vacation at specific times due to operational reasons. If the employer and employee can’t agree on the employee’s vacation time, the employer can decide when it will be taken. However, the employer must give the employee at least 2 weeks’ notice in writing of the vacation start date.
When a general holiday falls during a vacation
If qualified for the general holiday, the employee can take off either the first scheduled working day after their vacation; or, in agreement with the employer, they can take another day that would otherwise have been a work day, before their next annual vacation.
Vacation pay
Employee entitlements
Vacation pay is based on an employee’s wages paid for work (not other earnings) at the time the vacation is taken.
For the purpose of calculating vacation pay, the definition of wages doesn’t include:
How vacation pay is calculated
For employees paid by monthly salary, the employer must pay the employee’s regular rate of pay for the time of their vacation.
Each week of vacation pay is calculated by dividing their monthly wage by 4.3333 (which is the average number of weeks in a month).
For employees who are paid hourly, weekly, or by commission or other incentive pay, the employer must pay:
| Length of employment | Number of weeks annual vacation | % of wages |
| Less than 1 year | Not entitled unless stated in contract | 4% of wages |
| 1 to 4 years | 2 weeks | 4% of yearly wages |
| 5 years or more | 3 weeks | 6% of yearly wages |
If the employer agrees to provide vacation pay greater than required by the Code, Employment Standards can enforce this.
If the employer intends to reduce an employee's vacation pay, they must notify the employee before the start of the pay period in which the reduction takes effect. However, the rate must always be at least the minimum required by the legislated standards. This can only be applied on future vacation pay to be accrued and can’t be applied retroactively on vacation pay earned, but not yet paid to the employee.
An employee’s annual vacation period can also be reduced if that employee is absent from work. The reduction in vacation period may be made in proportion to the number of days the employee was or would normally have been scheduled to work but did not.
When an employer pays an employee vacation pay each pay period, they must pay it:
An employer must provide an employee with a statement of earnings that includes vacation pay at the end of each pay period.
See Payment of earnings for more information.
Anniversary date
Employers can establish a common anniversary date for employees, for vacation purposes. However, an employee must not lose any entitlement to vacation time or pay as a result of the introduction of a common anniversary date.
Basic rules for Overtime
Pay rate
Except where there’s a written overtime agreement, an employer must pay an employee overtime pay of at least 1.5 times the employee’s regular wage rate for all overtime hours worked
Banked Overtime
Employers will only be required to provide paid time off on a 1 for 1 basis, meaning that where an employee works one overtime hour, they are only entitled to one hour of paid time off.
Protected Unpaid Leave of Absences
Personal and Family Responsibility Leave – This unpaid leave will provide up to 5 days of job protection per year for personal sickness or short-term care of an immediate family member. Includes attending to personal emergencies and caregiving responsibilities related to education of a child. To be eligible for the leave, an employee must have been employed with the same employer for at least 90 days. Employers do not need to pay wages or benefits during the leave, but must give the employee the same, or an equivalent, job when they return.
Long-Term Illness and Injury Leave – Provides up to 16 weeks of unpaid job protection per year for long-term personal sickness or injury. Medical certificate and reasonable notice will be required.
Bereavement Leave – Provides up to 3 days of unpaid job protection per year for bereavement of an immediate family member.
Maternity and parental leave - To be eligible for the leave, an employee must have been employed with the same employer for at least 90 days. Employers do not need to pay wages or benefits during the leave, but must give the employee the same, or an equivalent, job when they return. Birth mothers can take up to 16 consecutive weeks of unpaid maternity leave. This leave can start any time within the 13 weeks before the estimated due date, and no later than the date of birth.
Student Wage Rates
The minimum wage for students under 18 is $13/hour. Employers can still choose to pay students more than this minimum wage.
Students earn $13/hour for the first 28 hours worked in a week when school is in session. Any hours over 28 must be paid at $15/hour.
The student wages rate applies to students under 18 who are attending school up to Grade 12, post-secondary, or vocational school. The wage does not apply to youth who are out of school.