Employment Standards – Vacation Pay

Employment Standards – Vacation Pay

A lot of businesses in British Columbia (also in other provinces in Canada and states in U.S.) don’t fully understand the rules and regulations surrounding their employment obligations. Here in this multi-segmented series, I am going highlight several aspects of the Employment Standards as it pertains to the beautiful Province of British Columbia. For all other readers from outside our province, please read the regulations as found online in your province, territory or state.

This first segment we will cover vacations and vacation pay.

Did you know?

a) Employees who are employed for 5 days or less are not entitled to vacation pay – at all!

b) After being employed for one full year, an employee is entitled to an annual vacation?

c) Three weeks of annual vacation is awarded to an employee after being employed for 5 years?

d) The employer must allow an employee to have vacation time in one week or greater increments unless the employee requests a shorter stint?

e) Vacation pay can be paid out on every paycheque if it is agreed to, in writing, by both the employer and employee?

f) Vacation pay is minimum 4% of wages for the first five years and minimum 6% of wages when employed for five years or longer?

g) Vacation pay is payable minimum 7 calendar days prior to the start of an annual vacation?

For a factsheet on this segment, please click on this link: http://www.labour.gov.bc.ca/esb/facshts/pdfs/annual-vacation.pdf

Seianna Financial Services is “Serious About Your Business”. Go to our bookkeeping page and check out our prices, service guarantee and to contacts to find an office most convenient for you. We can do bookkeeping for clients in every province and territory except Quebec.

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