Vacation time in Alberta: Employee rights

What is vacation time in Alberta?

Vacation time in Alberta is the period employees can take off work each year for vacation. Employees build up, or “accrue,” this time off as they work over the course of the year.

Even if a worker chooses not to take this time off, employers must still give them vacation pay. This rule makes sure that all workers get paid extra for their hard work throughout the year.

Vacation time is covered by Alberta’s Employment Standards Code (ESC).

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What is the difference between vacation time and vacation pay?

Vacation time and vacation pay are related but distinct concepts in Alberta:

• Vacation Time: Employees earn vacation time with each hour worked. It is the time off that employees are entitled to take, and it accumulates over time based on the length of their employment and the hours they’ve worked.
• Vacation Pay: Vacation pay is the amount of money employees in Alberta receive while they are on vacation, and it’s a percentage of the wages earned by the employee during the “vacation entitlement year.”

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How much vacation time are employees entitled to?

Non-unionized employees in Alberta are entitled to vacation time based on the duration of their employment with the same employer:

• 1 to 4 years: At least 2 weeks of vacation time annually.
• 5 years or more: At least 3 weeks of vacation time each year.

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Can you negotiate with your employer for more vacation time?

Yes, employees in Alberta can negotiate for more vacation time with their employers. While there are minimum vacation time requirements set by law, employers and employees can agree to terms that are more favourable than the minimum legal requirements.

An agreement on the number of vacation days you are entitled to each year may be included in your employment contract.

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Calculating vacation time in Alberta

In Alberta, vacation time is accrued based on the employee’s work in the previous year. Here’s how it works:

• Start date and vacation entitlement year: The calculation of vacation time starts from the employee’s start date, marking the beginning of the vacation entitlement year. This 12-month period is crucial for determining how much vacation time an employee has earned based on their work during this time.
• Accrual Basis: The vacation entitlement for a given year is based on the work performed in the preceding year. In simpler terms, the vacation you take this year is earned based on last year’s work.
• First Year of Employment: Employers are not required to provide two weeks of vacation within an employee’s first year of employment. The right to take vacation time accrues after completing 12 months of employment. However, the accrual of vacation pay in Alberta starts from day one of employment, and employees earn vacation pay which can be taken as vacation time after the first year.
• Pro-rated Vacation: While it’s common for employers in Alberta to allow pro-rated vacation during the first year, this is not a requirement under the ESC but rather a practice some employers adopt.
• Alternative Calculation Date: Employers in Alberta can choose a single date, like the start of the year or the fiscal year, to calculate everyone’s vacation time and pay. This makes managing vacation easier for them. However, it’s important that this choice doesn’t reduce the vacation or pay employees should get according to the law.

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When can I use vacation time in Alberta?

In Alberta, employees are eligible to take their vacation time after they’ve completed a full 12-month work period, known as the vacation entitlement year. Once this year is up, the vacation time they’ve earned becomes available to use.

When to take this vacation is usually decided together by the employee and their employer. This means both sides should consider the needs of the business and the employee’s personal preferences to find a suitable time for the vacation.

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Can employees choose when to take vacation in Alberta?

In Alberta, employees can’t just take vacation time whenever they choose. However, employers are expected to consider their requests fairly. The final decision on when vacation can be taken rests with the employer, guided by the need to balance the operations of the business with the employees’ rest and relaxation needs.

Most companies have specific rules about this in their employment contracts or vacation policies. These rules often include how far in advance you need to request vacation time. So, while employees have a say, employers make the final call, but they should do so reasonably.

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Can my employer refuse my vacation request?

Yes, in Alberta, employers have the authority to decline your vacation request if it doesn’t align with business operations. This means they might say no to vacation times during busy seasons, like holidays, to meet business needs.

However, it’s important to remember that while employers can refuse specific requests, they must make sure you’re able to use your earned vacation time within 12 months after your vacation entitlement year ends. This ensures that even if your initial vacation request is denied, you’ll still get your well-deserved break within a reasonable timeframe.

How to get your preferred time off

Your safest bet to make sure you get your preferred time off is to do the following:

• Follow your employer’s procedures around requesting vacation time
• Give your employer as much advance notice as possible of your intention to take a vacation
• Wait for your employer to approve your vacation before you start making plans.

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Can my employer cancel my vacation time if I have already made plans in Alberta?

No. Once you have made substantial plans based on approved vacation time, your employer can’t force you to cancel it. Employers are expected to act reasonably and in good faith. Although there may be circumstances where your employer requests the cancellation of your already planned vacation, they must do so reasonably and fairly, ensuring not to disrupt your plans without significant reason.

When your vacation has been approved and you have made arrangements based on that approval—such as booking flights or hotels—employers are generally expected to honor their commitment.

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Can my employer force me to use vacation days to cover work absences?

In Alberta, employers have the authority to require employees to use their vacation days for work absences, rather than taking unpaid leave. This means if you’re away from work, your employer can ask you to use your vacation time to cover that period.

However, employees also have options. You might choose to use vacation days, sick days, or even banked overtime (if you have any) instead of taking an unpaid leave. This flexibility allows for a balance between the needs of the employer and the preferences of the employee.

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Can I carry over vacation time in Alberta?

In Alberta, the option to carry over unused vacation time depends on your employer’s policies and the terms of your employment contract. Specifically, any vacation time that exceeds the minimum required by law can potentially be carried over to the next year if your employer allows it.

However, the minimum statutory vacation time set by the Employment Standards Code — either 2 or 3 weeks, depending on your length of service — must be taken within 12 months following the end of the vacation entitlement year. This statutory portion can’t be rolled over to the next year.

• Use it or lose it: Some employers implement ‘use it or lose it’ policies. This means if you don’t take your vacation time within the allowed time frame, you might lose the entitlement.

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Can my employer ask me to work while on vacation?

No, your employer should not ask you to work during your vacation. Vacation time is legally designated for rest, and being asked to work could infringe upon your rights to undisturbed time off.

Work during your vacation should be an exception, reserved for emergencies or situations you’ve agreed to be available for crucial matters. Vacations are meant for recharging, free from work obligations.

For a smooth vacation experience, it’s vital for both employees and employers in Alberta to understand and respect the purpose of vacation time. A well-defined policy, ideally outlined in the employment contract, helps ensure vacation remains a true break from work.

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Vacation time and termination in Alberta

When you are terminated or lose your job in Alberta, your employer is required to compensate you for any earned but unpaid vacation time. This payment should be made by what would have been your next payday.

SEE ALSO:
• Fired for taking vacation: Alberta employee rights

However, that’s not all you may be owed. If you are fired “without cause” in Alberta (for reasons other than serious misconduct), you are eligible for a full severance package. Severance in Alberta can be as much as 24 months’ pay, and is calculated based on factors such as your age, position and length of employment. A wrongful dismissal occurs when your employer fails to offer you the proper amount of severance pay, which is a common issue in Alberta.

Termination “for cause” means that you were dismissed due to serious misconduct or insubordination, and in such cases, your employer is not legally required to provide you with a severance package. However, it’s important to note that this type of termination is often misapplied by employers, meaning you may still be owed significant compensation.

Lost your job?

When you are fired, laid off or let go from your job, it is crucial to consult an experienced employment lawyer at Samfiru Tumarkin LLP before accepting any severance offer. signing your termination papers prematurely may cause you to forfeit essential rights, including proper severance pay and vacation pay.

Employers often impose deadlines to pressure employees into accepting insufficient severance packages. However, your legal right to a complete severance package isn’t bound by these arbitrary deadlines. You have up to two years from the termination date to claim your full severance.

At Samfiru Tumarkin LLP, our skilled team of employment lawyers consistently deliver proven results for countless clients across Alberta. We work diligently to protect your rights and provide necessary guidance through employment-related issues.

If you are a non-unionized employee in Alberta (or B.C. and Ontario) facing job loss or workplace challenges, contact us or call 1-855-821-5900 to get the advice you need, and the compensation you deserve.