All Countries/🇨🇦 Canada/Ontario
Canada · Ontario

Ontario Labour Compliance

Ontario's Employment Standards Act, 2000 (ESA) is enforced by the Ontario Ministry of Labour, Immigration, Training and Skills Development. It sets minimum standards for hours of work, overtime, paid leave, and termination notice.

1Overtime (44-Hour Threshold)

Non-exempt employees must receive overtime pay at 1.5× their regular rate for all hours worked beyond 44 hours in a workweek. Unlike some US states, Ontario has no daily overtime threshold. Overtime averaging agreements (OAA) can spread hours over up to 4 weeks with employee consent.

How ClockIt Helps

ClockIt calculates Ontario overtime at the 44-hour weekly threshold and supports Overtime Averaging Agreements, automatically computing blended averages over the agreed reference period.

2Vacation Pay

Employees are entitled to at least 2 weeks of vacation after each completed year of employment (4% of total earnings as vacation pay), increasing to 3 weeks (6% of earnings) after 5 years of service. Vacation pay must be paid in a lump sum before the vacation or on the regular pay day.

How ClockIt Helps

ClockIt accrues vacation pay at 4% or 6% of all earnings (including overtime and commissions) and automatically upgrades the rate when an employee crosses the 5-year threshold.

3Public Holidays

Ontario has 9 public holidays. Eligible employees receive a day off with public holiday pay (calculated as the total wages in the last 4 workweeks, excluding overtime, divided by 20). Employees who work on a public holiday receive their regular wages plus premium pay, or regular wages plus a day off in lieu.

How ClockIt Helps

ClockIt calculates Ontario public holiday pay using the 4-week average method, tracks lieu day entitlements, and applies premium pay for holiday workers.

4Paid Sick Leave (3 Days)

As of 2022, Ontario employers must provide employees with 3 days of paid infectious disease emergency leave per year. This is separate from the ESA's 3 unpaid sick days. Employers with existing policies providing equal or greater sick pay do not need to add the statutory days.

How ClockIt Helps

ClockIt tracks the 3 paid sick days separately from any discretionary sick leave policy, ensuring the statutory minimum is met without double-counting.

5Posting & ESA Compliance

Employers must post a copy of the ESA poster ('Employment Standards in Ontario') in the workplace. They must also keep records of hours of work, wages, vacation pay, and public holiday pay for each employee for at least 3 years. Electronic records are acceptable.

How ClockIt Helps

ClockIt maintains a full audit trail of hours, wages, and leave records per employee for the required 3-year retention period, exportable at any time for Ministry inspections.

Automate Ontario Compliance

Never worry about missing an overtime threshold, break penalty, or leave entitlement again.

Start Free Trial