Statutory holidays, or public holidays, are special days when most employees in Ontario get a paid day off. There are nine statutory holidays in Ontario. Employees working on these days get either premium pay plus holiday pay or regular pay plus a substitute day off with holiday pay.
The following holidays are recognized as statutory holidays in Ontario:
Additionally, some federal holidays affect certain workplaces:
Most employees in Ontario are entitled to stat holiday pay if they meet the “first and last rule.” This includes full-time, part-time, permanent, and term contract employees, regardless of how recently they were hired.
Stat holiday pay is calculated by adding the employee’s regular wages from the four weeks before the holiday plus any vacation pay, then dividing by 20.
For example, if an employee takes a vacation from June 30 to July 8, they’re still entitled to Canada Day holiday pay.
Employees working on a statutory holiday with written consent can receive holiday pay plus premium pay (1½ times their regular pay) for all hours worked on the holiday. Alternatively, they can opt for their regular wages plus a substitute day off with holiday pay.
When an employee's employment is terminated, the employer must pay any accrued public holiday pay. This ensures that employees are compensated fairly, even if they couldn’t take their substitute holiday due to termination.
Employers should establish a clear policy on statutory holiday pay and include it in the employee handbook. This helps employees understand their rights and ensures that employers comply with Ontario's labor laws. A well-defined policy also helps prevent misunderstandings and legal issues.
Understanding and properly managing statutory holiday pay is essential for both employers and employees. By adhering to these guidelines, businesses can ensure fair treatment of employees and compliance with Ontario's employment standards. Clear policies and consistent practices will help maintain a positive workplace environment and avoid potential legal complications.
Ananya is a Marketing and Content Intern at Litespace with a background in digital marketing strategies. With a goal of fostering innovation and growth in HRtech, she is focused on crafting compelling narratives and strategies tailored to Litespace's unique needs.