Wage and Hour Lawyers in Strathmore, AB Helping Sides Come to An Effective Agreement

Each province in Canada can have several differences in active labor laws governing wages, overtime, and tax standards. Companies expanding into new regions or hiring remote workers who may work in different areas, as well as employees who are new to the workforce in a particular province, should familiarize themselves with the local wage and hour laws.

What are Albertan Minimum Wage and Overtime Rates?

The first Canadian province to mandate a wage minimum was Manitoba in 1918. Only two years subsequently, five more provinces passed legislation dictating a standard employment minimum wage. However, it wasn’t until 1960 that all Canadian provinces had labor laws enforcing minimum employment wage standards. Fourteen years after that, the government abolished gender wage differences in 1974.

As of October 2018, Alberta set their minimum wage to $15 per hour. In June 2019, Alberta lowered the provincial minimum wage for students under 18 to $13/hour with restrictions.

There are basic rules that apply to Albertan wage laws:

Employers must pay at least the minimum wage
The general minimum wage applies to all employees except students under 18
Wages do not include tips or expense money
Employers must pay employees at least 3 hours at the minimum wage each time they report for work, even if they are sent home prior to completing 3 hours worked unless that employee is unavailable to work the entire 3 hours.
If the employer deducts from the minimum wage for meals or lodging, the maximum deduction is $3.35 per meal and $4.41 per day’s lodging.

Employers must pay employees working at incentive-based pay or commission based on the following rules:

Wages totaled for the pay period set by the employer (maximum of one month), divided by the total number of hours worked
If calculated to less than minimum wage per hour worked, the employer must raise pay to the equivalent of minimum wage for each hour worked
If the calculated rate is higher than the minimum wage, the employee is paid purely on their incentive-based or commission pay

Overtime applies to an Albertan worker after 8 hours are worked in a single day or after 44 hours are worked in a single week. The minimum overtime rate is 1.5 times the hourly rate.

Are There Exceptions to General Wage and Overtime Laws in Alberta?

There are several exemptions to the above-stated minimum wage laws. These exemptions seek to provide fairness to both the employer and employee regarding jobs or employment that does not fit the typical hourly structure. For example, salespersons and domestic employees have minimum wages of $598/week and $2,848/month, respectively.

Employees eligible for a weekly minimum wage rate ($598/week):

Accountant
Agrologist
Architect
Car, truck, recreational vehicle, or bus salesperson
Chiropractor
Commission salesperson selling goods to be delivered later
Dentist
Denturist
Direct salesperson
Engineer or another type of geoscientist
Farm machinery salesperson
Heavy-duty construction equipment or road construction equipment salesperson
Information systems professional
Land agent
Lawyer
Manufactured systems professional
Optometrist
Podiatrist
Psychologist
Residential home salesperson employed by the builder
Veterinarian

Domestic employees who live outside of their employer’s home are subject to the provincial minimum wage of $15/hour. However, a primary caretaker, au pair, or another type of domestic employee who lives in their employer’s home is required to be paid a minimum wage of $2,848/month. A domestic employee is a person necessary for the care, comfort, and convenience of their employer, not a casual babysitter. A domestic employee who lives inside their employer’s home may have their pay pro-rated if the agreement is to only certain work portions of the day, such as mornings.

Along with a monthly minimum wage, domestic employees are entitled to:

Statutory holidays with pay
Proof of their statement of earnings and deductions for each pay period
At least 30 minutes rest for each consecutive 5 hours worked, paid or unpaid
At least one rest day within each workweek
Vacations and vacation pay
Reasonable notice of employment termination
Job-protected leaves

What are the Minimum Wage and Overtime Rules for Students Under 18?

As of June 26, 2019, an amendment is created by the Employment Standards Amendment Regulation, introducing a separate minimum wage for students under the age of 18 of

$13/hour. An employer may still choose to pay a student more than this lowered minimum wage.

Along with a new minimum hourly rate, new rules governing student-based pay were enacted:

Adolescent students (between ages 13 and 15) who work on a school day must be paid a minimum compensation for at least 2 hours worked at minimum wage, even if they did not perform a total of two hours.
If a student’s weekly hours worked exceeds 28 hours, the student must be compensated a minimum of $15 per each hour worked over 28. If the student works over 44 hours, overtime rates must still apply.
New rates and overtime rates still apply to students while school is not in session, such as during spring break, Christmas break, or summer vacation.

The job creation student wage rules apply to:

Students under 18 attending any school up to grade 12, including post-secondary or vocational school
Students who were making $15/hour before the change went into effect are subject to limitations
Only students who are currently enrolled in school; those who are out of school are not affected

Time restrictions also apply to the hours an employee under 18 works.

Employees aged 13-14:

Cannot work between 9 pm and 6 am
Can not work during school hours unless participating in an off-campus education program
Can only work up to 2 hours outside of regular school hours on school days
Can work up to, but not over, 8 hours on a school day

Employees aged 15-17:

Employees aged 15 cannot work during regular school hours unless part of an off-campus education program
If working in retail or hospitality, cannot work outside the hours of 9 pm and 12 am without adult supervision
If working outside of retail or hospitality; student may work between 12:01 am and 6 pm, but only with adult supervision and the consent of a parent or guardian

Contact Getz Collins and Associates Today for Strong Legal Advice

We understand how critical it is to resolve any wage and hour disputes that arise. Our team is dedicated to making sure you get the results you need to move forward with your life. Let us help ease the burden of a straining wage and hour dispute. Contact us today at (403) 934-2500 to get started.