Minimum Standards Monitor
Ontario Government Reinstates Prior Public Holiday Pay Formula Effective July 1, 2018
Date: May 8, 2018
Late on May 7, 2018, the Ontario government announced that it is reinstating the prior public holiday pay formula that pre-dated Bill 148. Ontario Regulation 375/18 was filed on the same day and the reinstatement of the prior formula comes into force on July 1, 2018. The regulation will remain in force until December 31, 2019.
This means that the upcoming Victoria Day holiday must be paid using the new formula that requires employers to divide an employee’s regular wages earned in the pay period prior to the holiday by the number of days the employee worked in the pay period.
For the July 1, 2018 holiday, employers can return to the prior formula, which is:
The employee’s public holiday pay for a given public holiday shall be equal to the total amount of regular wages earned and vacation pay payable to the employee in the four work weeks before the work week in which the public holiday occurred, divided by 20.
In the Bulletin announcing the new regulation, the government also announced that it will be reviewing the public holiday pay provisions in the Employment Standards Act, 2000 and has invited submissions. Anyone interested in making submissions can do so by email to: exemptions.review@ontario.ca.
If you have any questions regarding the new regulation, please contact your regular Hicks Morley Lawyer.
The article in this client update provides general information and should not be relied on as legal advice or opinion. This publication is copyrighted by Hicks Morley Hamilton Stewart Storie LLP and may not be photocopied or reproduced in any form, in whole or in part, without the express permission of Hicks Morley Hamilton Stewart Storie LLP. ©
