How Is A Stat Holiday Pay Calculated in Ontario

How Statutory Holiday Pay Works in Ontario

In Ontario, statutory holidays are public holidays when most businesses close. Employees who work on these days are entitled to additional pay. The amount varies based on the employee's regular pay and the type of holiday.

Types of Statutory Holidays

Ontario recognizes several statutory holidays, including:

• New Year's Day
• Family Day (third Monday in February)
• Good Friday (Friday before Easter Sunday)
• Victoria Day (Monday before May 25)
• Canada Day (July 1)
• Labour Day (first Monday in September)
• Thanksgiving Day (second Monday in October)
• Remembrance Day (November 11)
• Christmas Day (December 25)
• Boxing Day (December 26)

Eligibility

Employees must have worked at least 30 days in the 6 months before the holiday to be eligible for statutory holiday pay. The pay is calculated based on their regular wages.

Calculation Formula

The statutory holiday pay is calculated using the following formula:

The statutory holiday pay rate varies depending on the type of holiday:

• New Year's Day: 200% of regular daily wage
• Family Day: 150% of regular daily wage
• Good Friday: 200% of regular daily wage
• Victoria Day: 150% of regular daily wage
• Canada Day: 150% of regular daily wage
• Labour Day: 150% of regular daily wage
• Thanksgiving Day: 150% of regular daily wage
• Remembrance Day: 150% of regular daily wage
• Christmas Day: 200% of regular daily wage
• Boxing Day: 150% of regular daily wage

Worked Examples

Example 1: Full-Time Employee on New Year's Day

An employee earns $50,000 per year. On New Year's Day, they work 8 hours (a full day).

1. Calculate regular daily wage: $50,000 ÷ 260 = $192.31 per day
2. Apply New Year's Day rate: $192.31 × 200% = $384.62
3. Total pay: $384.62 × 1 day = $384.62

Example 2: Part-Time Employee on Victoria Day

An employee earns $25,000 per year and works 4 days a week. On Victoria Day, they work 4 hours (half a day).

1. Calculate regular daily wage: $25,000 ÷ 260 = $96.15 per day
2. Apply Victoria Day rate: $96.15 × 150% = $144.23
3. Total pay: $144.23 × 0.5 day = $72.11

Key Assumptions

The statutory holiday pay calculation is based on several key assumptions:

• The employee has worked at least 30 days in the 6 months before the holiday.
• The employee's regular daily wage is calculated using 260 working days per year.
• The pay rate varies by holiday type as outlined in the Ontario Employment Standards Act.
• The calculation does not include overtime pay or other forms of compensation.