To hire new employees in
Canada
, your business must have a local legal entity or an Employer of Record like Borderless in place already. Then there’s the management of local employment compliance, taxes, benefits, payroll, and more. Hiring contractors poses similar challenges.
Borderless handles all of that for you, so you can focus on getting to work with your new team member in
Canada
while staying fully compliant with local laws and compliance.
English, French
Canadian dollar ($, CAD)
Bi-Weekly
13 days (province dependent)
8.23% (outside Quebec)
$$$
10 days
17 weeks
15 weeks plus additional 40 weeks of parental leave
In many countries like
Canada
, the treatment of employees and contractors is different. If you misclassify a new team member, you could be subjected to penalties and fines. Let Borderless get this right for you, so you don’t have to worry.
Minimum wages are based on province and most provinces set their minimum wage in respect to inflation. The current federal minimum wage as $16.65 per hour.
Overtime pay is required when an employee works over 8 hours per day or more than 40 hours per week. Certain job types are exempt from overtime pay requirements. For example, employees with managerial roles. These exemptions do depend on the province.
Employees with an Aboriginal background in Canada are entitled to five days of unpaid leave each year to attend Aboriginal rituals and events, such as traditional ceremonies, hunting, and fishing.
Employee payments will be pay out twice a month, on the 15th of the month and end of the month.
Employers Costs & Taxes Outside of Quebec:
Employers Costs & Taxes in Quebec:
Canada does not support at-will termination, outside the probation period. Termination must have just cause., such as mutual agreement, misconduct, or expiration of the contract. Employees with more than two years of service in Quebec are given additional protections, in comparison to other provinces.
In Canada, it is required to provide a minimum notice period of 2 weeks to employees or to pay in lieu of notice. Ontario and Quebec requires a minimum 1 month of notice.
It is typically 3 months. Certain provinces have mandatory probationary periods to help protect employers, even though the employment agreement doesn't state the probationary period.
Severance pay is given when there is a mutual separation agreement or when an employee has worked for at least 12 months continuously. Termination pay is given when an employee is let go without cause.
Employees who qualify get the greater of 2 days' pay each year of service or 5 days' pay in the federal jurisdiction. The amount of severance pay varies per jurisdiction.
When the world is your competition, it pays to incentivize new hires and existing alike. Borderless benefits packages typically include:
Book your demo of Borderless to help you hire, pay, and take care of new employees and contractors in 170+ countries.