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Paying Employees for Holidays

Regardless of whether they are full-time, part-time, or casual, all employees who have been with an employer for 30 days or more, qualify to be paid for the seven statutory holidays.

What are the public holidays in Prince Edward Island?

  • New Year’s Day
  • Islander Day (3rd Monday in February)
  • Good Friday
  • Canada Day
  • Labour Day
  • Remembrance Day
  • Christmas Day

 

Qualifying for Paid Holidays

To have a day off with pay for these holidays, an employee must:

  • be employed for/with the same employer for 30 calendar days prior to the holiday
  • have earned pay on at least 15 of the 30 calendar days before the holiday and
  • have worked on his/her last scheduled shift or day before the holiday and on the first scheduled shift or day after the holiday

 

How do I pay my employees for a public holiday?

When an employee works on a paid public holiday they are entitled to receive either of the following:

  • the amount the employee would have normally received for that day; and
  • one and a half times the employee’s regular rate of wages for the number of hours worked on that holiday

Or

  • regular rate of wages for the number of hours worked on that day; plus,
  • another day off with the employee's regular day of pay on a date agreed upon by the employer and employee before the employee's next paid vacation

 

When an employee does not work on the paid public holiday they are entitled to receive a day off with pay on the working day immediately following the general holiday or another day agreed upon by the employee and the employer.

If an employee works shifts of varying lengths or if wages change from pay to pay, the employer should average hours or wages over 30 days to calculate what to pay the employee for the holiday.

For example, if an employee worked 20 of the 30 calendar days before the holiday for a total of 170 hours, the calculations would be as follows: 170 ÷ 20 = 8.5 average hours worked per shift.

When the paid public holiday falls on an employee’s scheduled day off, the employee should be given off either the first working day after the public holiday or an alternate day off agreed to mutually by the employer and employee. This day will be paid day for the employee.

For further information please see the Prince Edward Island Guide to Employment Standards

CFIB’s Business Counsellors are available to answer your questions.