How to Calculate Statutory Holiday Pay Ontario

Calculating statutory holiday pay in Ontario requires understanding the province's specific labor laws and pay requirements. This guide explains the calculation process, provides a calculator tool, and offers practical examples to help employers and employees understand their rights and obligations.

Overview of Statutory Holiday Pay

In Ontario, statutory holiday pay refers to the additional compensation employees receive for working on designated holidays. The province has specific laws governing holiday pay, which vary depending on whether the employee is full-time or part-time, and whether they are exempt or non-exempt.

The key holidays covered by Ontario's Statutory Holidays Act are:

New Year's Day
Family Day
Victoria Day
Canada Day
Labour Day
Thanksgiving Day
Remembrance Day
Christmas Day
Boxing Day

Employees are entitled to receive their regular pay for the day, plus an additional amount equal to one hour of their regular pay for each hour they work on a holiday.

Calculation Method

The calculation of statutory holiday pay in Ontario follows these steps:

Determine the employee's regular hourly wage
Calculate the total hours worked on the holiday
Multiply the regular hourly wage by the total hours worked
Add one hour of regular pay for each hour worked on the holiday

Formula

Statutory Holiday Pay = (Regular Hourly Wage × Hours Worked) + (Regular Hourly Wage × 1)

For exempt employees, the calculation is slightly different as they are entitled to receive their regular pay for the day, plus an additional amount equal to one hour of their regular pay for each hour they work on a holiday.

Note: The calculation may vary slightly depending on the specific employment contract and collective agreement. Always refer to the Employment Standards Act and the Statutory Holidays Act for the most accurate information.

Worked Examples

Example 1: Full-time Non-exempt Employee

An employee earns $20 per hour and works 8 hours on a holiday. Their statutory holiday pay would be calculated as follows:

Statutory Holiday Pay = ($20 × 8) + ($20 × 1) = $160 + $20 = $180

Example 2: Part-time Exempt Employee

An exempt employee earns $15 per hour and works 4 hours on a holiday. Their statutory holiday pay would be calculated as follows:

Statutory Holiday Pay = ($15 × 4) + ($15 × 1) = $60 + $15 = $75

Comparison Table

Below is a comparison table showing the statutory holiday pay for different types of employees working varying hours on a holiday.

Employee Type	Hourly Wage	Hours Worked	Statutory Holiday Pay
Full-time Non-exempt	$20	8	$180
Part-time Non-exempt	$15	4	$75
Full-time Exempt	$25	8	$225
Part-time Exempt	$18	5	$108

Frequently Asked Questions

What is the difference between statutory holiday pay and regular pay?

Statutory holiday pay is additional compensation for working on a designated holiday. It consists of the employee's regular pay for the day plus an additional hour of pay for each hour worked on the holiday.

Do all employees in Ontario receive statutory holiday pay?

Yes, all employees in Ontario are entitled to statutory holiday pay if they work on a designated holiday. The calculation may vary depending on the employee's status (full-time/part-time, exempt/non-exempt).

What happens if an employee does not receive statutory holiday pay?

If an employee does not receive statutory holiday pay, they may be entitled to file a complaint with the Ministry of Labour. The employer may also be subject to penalties under the Employment Standards Act.

Are there any exceptions to statutory holiday pay?

Yes, there are exceptions for certain types of businesses and employees. For example, seasonal businesses and employees who are not regularly scheduled to work on a holiday may not be entitled to statutory holiday pay.