May 02, 2025
Running a fast-growing business in Canada? Even minor payroll mistakes can create big problems for your team, from compliance issues to employee dissatisfaction. One area that often confuses is statutory holiday pay—especially when it comes to varying provincial rules, different employment types, and eligibility based on staff position, salary grade, or time of hire.
Understanding the ins and outs of statutory holiday pay is essential for business owners, HR departments, and department supervisors alike. Today, we’re breaking it down with essential guidance to protect your operations, support your professional staff, and stay compliant with Canadian labor laws.
Why Stat Holiday Pay Gets Complicated
Stat holiday pay isn’t one-size-fits-all. Each province and territory has its own rules, and eligibility often depends on:
- Employment status (full-time, part-time, casual, or contract)
- Days worked before the holiday (continuous employment, often 30 days or more)
- Scheduled shifts worked before/after the holiday
- Type of position or duty (e.g., commissioned, salaried, management)
Example:
- British Columbia: Must be employed for 30 days and have worked 15 of those.
- Ontario: Must work the last scheduled shift before and the first after the holiday.
Non-compliance can lead to back pay, penalties, and audits by your province’s Compensation Department, which means higher costs for staff members and legal exposure.
What Is Stat Holiday Pay?
Statutory holiday pay is a compensation benefit for eligible employees when a public holiday occurs on a regular workday. If an employee works that day, they may also receive premium pay or compensatory time off, depending on the province.
This form of employee benefit supports work-life balance, recognizes public holidays, and aligns with broader public health measures and standards of fair employment.
2025 Canadian Statutory Holidays (Federal and Provincial)
|
Holiday
|
Region
|
|
New Year's Day
|
National
|
|
Family Day
|
AB, BC, ON, NB, SK
|
|
Louis Riel Day
|
MB
|
|
Islander Day
|
PEI
|
|
Heritage Day
|
NS
|
|
St. Patrick’s Day
|
NL
|
|
Good Friday
|
National (except QC)
|
|
Easter Monday
|
Federal only
|
|
National Patriots' Day
|
QC
|
|
Victoria Day
|
National (except QC)
|
|
Canada Day
|
National
|
|
Civic Holiday
|
Some provinces
|
|
Labour Day
|
National
|
|
Thanksgiving Day
|
National (except NB, NS, PEI, NL)
|
|
National Day for Truth and Reconciliation
|
BC, PEI, NT, YT + Fed. employees
|
|
Remembrance Day
|
AB, BC, NB, NL, NT, NU, PEI, QC, SK, YT
|
|
Christmas Day
|
National
|
|
Boxing Day
|
ON, NL, NB, PEI (partial)
|
Note: Universities and health departments may follow separate rules.
How to Handle Stat Holiday Pay (By Province)
1. Confirm Which Holidays Apply
Each province has its list. Consult your region’s labor website or department management.
2. Check Staff Eligibility
Eligibility often depends on:
- Type of employment (e.g., regular staff, part-time position, or contractor)
- Months of service or continuous employment
- Whether the employee worked their scheduled shift before and after the holiday
Common examples:
- BC: 15 of the 30 days before
- NS: Must work 15 of the last 30 days
- PEI: Must work 15 of the last 30 days and receive a regular salary
3. Employees Not Working the Holiday
Use province-specific formulas:
- Ontario: (Wages + vacation pay last 4 weeks) ÷ 20
- Alberta: Wages in past 4 weeks ÷ days worked
- Manitoba & SK: 5% of wages in the past 4 weeks
- Quebec: 1/20th of regular wages in the prior 4 weeks
Exclude overtime unless explicitly included. Always review your province’s employment standards.
4. Employees Working the Holiday
- Most provinces require 1.5x to 2x salary
- Many require a substitute day off (i.e., Time Off or Paid Family and Medical Leave equivalent)
- Keep records of agreements and pay structures
Who Is NOT Eligible for Stat Holiday Pay?
Employees who:
- Are you on Sick Time or other non-qualifying leave
- Haven’t met the day of employment threshold
- Are casual workers without regular schedules
- Have missed required shifts before/after the holiday (without a valid excuse)
Essential Strategies for Compliance
- Involve your Talent Acquisition Department to track eligibility at the time of hire
- Review internal position analysis and confirm payroll alignment with the salary grade
- Ensure managers and individual staff understand entitlements
- Keep medical certification forms or dispute forms on file where relevant
- Communicate policies clearly across all departments
Final Thoughts: Simplify Stat Holiday Compliance
Stat holiday pay doesn’t have to be overwhelming. With the right forms, communication, and tools, your business can stay compliant, protect employee health and benefits, and avoid issues related to pension benefits, audits, or incorrect pay.
Mesa CPA supports businesses with accurate payroll processes, compliance documentation, and support tailored to your needs.
Need help auditing your statutory holiday pay process? Get in touch for a consultation. We’re here to protect your people and your peace of mind.
