Canada

• New Year’s Day
• Good Friday
• Easter Monday
• Victoria Day
• Canada Day
• Civic Holiday
• Labour Day
• National Day for Truth and Reconciliation
• Thanksgiving
• Christmas Day
• Boxing Day

Working Hours

Working hours are governed by individual jurisdictions in Canada.

Minimum Wage

The minimum wage in Canada ranges from CAD 14.00 to 19.00 per hour, depending on the jurisdiction.

Employee Tax

Annual income	Tax rate*
Up to CAD 50,197	15%
CAD 50,198 - 100,392	20.5% + CAD 7,530
CAD 100,393 - 155,625	26% + CAD 17,820
CAD 155,626 - 221,708	29% + CAD 32,180
More than CAD 221,708	33% + CAD 51,344
Canada Pension Plan (CPP)	5.95%

*In addition to federal taxes, employees in Canada may be subject to provincial income tax.

Bonuses

There are no statutory bonus schemes in Canada.

Written employment contracts are recommended, but not required by law.

Canada has two official languages, English and French. In Quebec, all written documents to employees must be in French.

Both indefinite and fixed-term contracts are permitted in Canada.

Annual Leave

Minimum of two weeks' paid holiday per year, rising to three weeks after five years' service in some jurisdictions.

Sick Leave

Employees are entitled to unpaid sick leave, but the length differs between jurisdictions. Generally there is no statutory right to paid sick leave.

Parental Leave

• Maternity leave: 17 weeks' paid leave (or 18 in Quebec), unless the due date falls less than 13 weeks after the employment start date.
• Paternity leave: 5 weeks' unpaid leave (Quebec only).
• Parental leave: 37-63 weeks' unpaid leave (depending on the jurisdiction).

Termination Process

Employers and employees in Canada can terminate a contract provided they give notice in line with legal requirements.

Serious and wilful misconduct may lead to termination without pay or notice. This includes:

• Wilful neglect of duty
• Fraud
• Repeated insubordination.

Severance Pay

Employees with 12 months of continuous service are entitled to 2 days’ wages. Severance pay entitlement may be higher for those working for large organisations, or companies making extensive redundancies.

Global Master Insurance Coverage with Mauve’s Employer of Record Solution
Under a Mauve Group Employer of Record (EOR) solution, clients and their international workers benefit from access to Mauve’s Global Master Insurance Programme—a market-leading, unified corporate insurance framework that supports global compliance across all Mauve entities.

This international insurance coverage ensures legal and regulatory alignment through a combination of a central master policy and country-specific local policies, where required by law. This allows companies to remain fully compliant when expanding their workforce globally or employing staff overseas.

The Global Master Insurance Programme includes the following coverage:

• Employer’s Liability and Public Liability – £10,000,000 combined limit
• Professional Indemnity – £5,000,000 limit
• Worker’s Compensation – Varies depending on the employee’s location

Whether you're expanding internationally or managing global teams, Mauve’s EOR services and insurance support streamline your operations and reduce risk. For tailored advice on mandatory insurance requirements in specific countries, contact Mauve’s international HR consulting team today.