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Vacation Entitlements For Short-Term Contract Employees Across Canada

By
Jeffrey D
Lawyer and Advocate
Last update:
September 11, 2024

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Introduction

Vacation time is a key aspect of employment that employers and employees must consider, which is often overlooked for short-term employees on fixed or seasonal contracts. In this blog post, we'll discuss what vacation time looks like for short-term contract employees across most of the Canadian provinces.

In summary, short-term employees hired for a fixed contract of under one year (e.g. a temporary or season employment contract) are not technically afforded any entitlement to minimum vacation during the employment relationship. However, employers can give their employees some amount of vacation greater than zero in their contract. 

Ontario

In Ontario, vacation time is governed by the Employment Standards Act (ESA). An employee is entitled to a minimum of two weeks of vacation time after 12 months of employment. However, for short-term contracts under one year, no vacation time is owed under the ESA, so it is often a matter of agreement between employer and employee since the statutory minimums are inapplicable to such short tenures. For short-term contracts under a year, it's common for employers to provide a prorated amount of vacation time based on the duration of the contract. However, this should be clearly stated in the employment agreement. With that said, Ontario employers can technically offer their short-term employees (under one year) no vacation time at all. 

British Columbia

In BC, the Employment Standards Act provides that employees who have been employed for twelve months are entitled to at least two weeks of vacation time annually. Thus, short-term contract employees (under one year) are not entitled to any minimum vacation time in BC. 

Alberta

In Alberta, employees are entitled to at least two weeks of vacation time after one year of employment, as per the Alberta Employment Standards Code. Hence, employees hired for a short term (under one year) only are not entitled to any minimum vacation time in Alberta. 

Manitoba

The Employment Standards Code in Manitoba states that an employee is entitled to at least two weeks of vacation after completing one year of service. Therefore, employees hired for a short term (under one year) only are not entitled to any minimum vacation time in Manitoba. 

Saskatchewan

According to Saskatchewan's Employment Act, employees are entitled to a minimum of three weeks of vacation time after the completion of one year. As a result, employees hired for a short term (under one year) only are not entitled to any minimum vacation time in Saskatchewan. 

Nova Scotia

According to Nova Scotia's Labour Standards Code, employees are entitled to a minimum of two weeks of vacation time after ten months. Thus, employees hired for a short term only (under ten months) are not entitled to any minimum vacation time in Nov Scotia. 

New Brunswick

Per New Brunswick's Employment Standards Act, an employee is entitled to take vacation after completing one year of service with the employer. Thus, short-term employees under a contract of less than one year are not allowed any minimum vacation in New Brunswick. 

Newfoundland and Labrador

Newfoundland's Labour Standards Act states that after the end of 12 months, employees get at least two weeks vacation. Hence, employees hired for a short term (under one year) only are not entitled to any minimum vacation time in Newfoundland. 

Conclusion

Across Canada, for short-term fixed employment contracts under one year, vacation time is not covered by the minimum standards set by provincial employment laws. Instead, this is usually a point of negotiation between the employer and employee and is often prorated based on the duration of the contract or, in many cases, no vacation is provided at all.

Note: This article is about vacation time, not vacation pay, which are separate legal issues.

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goHeather automates employment contracts. You can build your own fixed-term employment contract for any province in Canada from a lawyer-made template here.

About the author

Jeff is a lawyer in Toronto and he is a co-founder of goHeather. Jeff is a frequent lecturer on commercial and employment law and AI for law firms, and is the author of a commercial law textbook and various trade journal articles. Jeff is interested in business, technology and law.

By
Jeffrey D
Lawyer and Advocate

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