Average hourly wage in Canada remained near $35 in May: StatCan

The average hourly wage in Canada didn’t top $35 last month, but remains close to the milestone.

According to Statistics Canada’s Labour Force Survey for May, hourly wages increased 5.1 per cent, or $1.69, on a year-over-year basis to $34.94.

The agency also noted that the total number of hours worked rose 1.6 per cent when compared to the same time last year.

Notable employment changes in May

• Ontario: Employment rose 0.6 per cent, or 50,000 jobs.
• Manitoba: Employment rose 1.1 per cent, or 7,800 jobs.
• Alberta: Employment dropped by 0.8 per cent, or 20,000 jobs.

Statistics Canada also noted that the total number of employed people didn’t change much in May, following an increase of 90,000 in April.

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Can my employer reduce my wages?

In Canada, employers can’t make substantial changes to a non-unionized worker’s job without their consent.

Exceptions: There are some situations where your boss might be able to modify the terms of your employment without breaching your rights:

• You signed an employment contract that gives the company permission to alter your pay or commission
• Your employer gave you reasonable notice of the wage reduction

WATCH: Employment lawyer Lior Samfiru breaks down everything you need to know about changes to your job on an episode of the Employment Law Show.

If unwanted changes are made to your pay or another aspect of your job, there is a very good chance that you can treat it as a constructive dismissal.

In this situation, the law allows you to resign and pursue full severance pay.

However, you shouldn’t quit your job before an experienced employment lawyer at Samfiru Tumarkin LLP confirms that you have been constructively dismissed.

ADDITIONAL RESOURCES
• Pay cuts in Ontario: What employees need to know
• What Albertans need to know about pay cuts
• Boss cut your pay in British Columbia? Know your rights

How is severance pay calculated?

Severance for non-unionized employees in Canada can be as much as 24 months’ pay.

This includes individuals working full-time, part-time, or hourly in Ontario, Alberta, and B.C.

The amount of compensation you are entitled to is calculated using several factors, including:

To figure out how much you could be owed, use our firm’s free Severance Pay Calculator. It has helped millions of Canadians determine their severance entitlements.

If your company doesn’t provide you with the correct amount, you have been wrongfully dismissed and should seek legal counsel immediately.

We regularly resolve wrongful dismissal claims and can help you secure proper severance.

LEARN MORE
• Severance pay for provincially regulated employees
• Rights to severance for federally regulated workers
• Severance pay in a recession

Can my employer punish me for rejecting a pay cut?

The short answer is no. Employers in Canada can’t punish, or threaten to punish, non-unionized employees for asserting their workplace rights.

If you were punished for objecting to a reduction in wages, that is likely a reprisal and you should contact an experienced employment lawyer at Samfiru Tumarkin LLP as soon as possible.

ADDITIONAL RESOURCES
• Reprisals at work in Ontario: Employee rights
• What Albertans need to know about workplace reprisals
• Workplace reprisals in B.C.: What employees need to know

My employer is pressuring me to quit after rejecting a pay cut, what should I do?

No matter how upset your employer is that you refused a reduction in pay, the company can’t pressure or force you to resign.

If your boss is encouraging you to step down, document their attempts. Keep any letters, emails, or text messages that show how the company is pressuring you to quit your job.

Once you have gathered all of the relevant documents, don’t resign before seeking legal counsel — you might have grounds for a constructive dismissal claim.

Already resigned?

If you were forced to quit your job for any reason, connect with a member of our team.

In addition to severance pay, we can help you obtain compensation for any damages associated with the end of your employment.

LEARN MORE
• Employment Law Show: Facts about forced resignations
• Employment Law Show: What your employer legally can’t do
• Employment Law Show: Situations that trigger legal disputes

Can my employer fire me for refusing a pay cut?

In Canada, employers can fire non-unionized workers for refusing a reduction in pay.

This is known as a termination without cause. You can be let go for any reason, as long as:

• You are provided full severance pay
• The reasons for your dismissal aren’t discriminatory

It’s very unlikely that your boss would be able to fire you for cause in this situation — meaning no severance package or access to Employment Insurance (EI) benefits.

Considered the harshest punishment in a company’s arsenal, it’s reserved for the worst workplace transgressions, such as blatant disobedience, theft, or assault.

To justify terminating you for cause, your employer would have to prove progressive disciplinary measures were applied and that a lesser penalty wouldn’t be acceptable, which is hard to do.

In our experience, most non-unionized employees don’t meet the conditions necessary for this type of dismissal and are entitled to severance pay.

SEE ALSO
• Do I have to look for a new job after getting fired?
• Can I get my job back if I am fired?
• Employment Law Show: Facts about the termination process

Lost your job? Speak with an employment lawyer

If you are fired or let go for any reason, contact the experienced employment law team at Samfiru Tumarkin LLP.

Our lawyers in Ontario, Alberta, and B.C. have helped tens of thousands of non-unionized individuals resolve their workplace issues.

We can review your situation, enforce your rights, and ensure that you receive the compensation you are owed.