Overtime Hours and Overtime Pay
As an employer regulated by Alberta’s Employment Standards Code, you must provide overtime pay to employees (both full-time and part-time) who work a certain number of hours in a day or week.
On January 1, 2018, updates to Alberta’s Employment Standards Code under the Fair and Family-friendly Workplaces Act came into effect. This includes new standards for overtime hours and overtime pay.
What are Alberta’s hours of work rules?
An employee can work a maximum of 12 hours per day, unless an exception occurs. Employees are entitled to a break of at least 30 minutes (or two 15-minute rest periods) within a five-hour work period.
Overtime Pay and Entitlement
Overtime is all hours worked over eight (8) hours in a day or 44 hours in a week, whichever is greater.
Overtime pay is at least 1.5 times your employee’s regular wage rate for all overtime hours worked. However, some exceptions exist for certain industries and professions. Ask Employer Line if you’re unsure about paying your employees or calculating overtime pay.
Banking Overtime Hours
Upon agreement between the employer and employee, instead of overtime pay, employees can bank overtime, which means they take time off with pay at a rate of 1 hour for each overtime hour worked. Any banked hours must be used within six (6) months unless there is a collective agreement that allows the overtime banking period to be extended.
Do you meet the minimum standards requirement?
As an employer, it is your responsibility to comply with Alberta’s Employment Standards Code. If you have questions about how the law applies, give us a call. We are here to help employers through our dedicated advice line: 1 (888) 219-8767. Speak with one of our HR experts today.