Bill 148: Overtime Pay

The Fair Workplaces, Better Jobs Act2017, came with changes to overtime pay. This labour law went into effect on January 1, 2018.

Working Hours: A Quick Recap

What are Ontario’s working hours? An employer cannot require staff to work more than eight hours in a day and 48 hours in a workweek unless there is a written agreement. An employee is entitled to a daily rest period of at least 11 consecutive hours when they are not working.

Overtime Pay and Entitlement

Overtime Begins After 44 Hours

In most cases, overtime begins after an employee has worked 44 hours in a workweek, regardless of their employment status. If an employee is working overtime, they must be compensated with their set overtime pay rate.

Overtime Pay Is Time And A Half

If an employee works overtime, their pay is 1 ½ times their regular wage. Overtime is calculated weekly, not on a daily basis. For example, if an employee works beyond their daily hours but does not work more than 44 hours in a week, they do not receive overtime pay. Exceptions may be made if a contract states otherwise.

When Exceptions Are Made?

Many occupations work outside the typical hours of the average work week. In these cases, an employee may work more than 48 hours a week. As an employer, you will need to be aware of the regulations surrounding working hours to ensure you are acting in accordance with the law.

Have questions about Overtime Pay?

If you’re unsure about your obligations as an Ontario employer, we’re here to help you and your business. Call Employer Line at 1-888-219-8767 to speak with one of our HR professionals today.