Overtime Pay in Ontario

This resource provides facts about overtime pay in Ontario, how it works, when it must be paid, and busts the many myths about additional pay for extra work.

This information applies to provincially regulated employees. Federally regulated employees living in Ontario (such as banking or airline employees) are governed by a different set of rules.

Watch the video below from the Employment Law Show, featuring employment lawyer Lior Samfiru, and read on to learn more about your right to overtime pay in Ontario.

LEARN MORE

Am I entitled to overtime pay in Ontario?

You are entitled to overtime pay in Ontario if you are a non-unionized hourly or salaried employee, and work in excess of 44 hours per week. This is stated in Section 22 of Ontario’s Employment Standards Act (ESA).

Back To Top

Do salaried employees get overtime pay?

Yes, salaried employees in Ontario can get overtime pay, just like hourly workers. Under the ESA, there is no exemption for salaried employees.

There is a common misconception that workers earning a salary are not entitled to overtime, and that an employer must only pay overtime to hourly employees.

Back To Top

How is overtime pay calculated in Ontario?

Overtime pay for an employee in Ontario is 1.5 times their regular rate of pay, for each hour worked beyond 44 hours per week. We commonly call this “time and a half.”

The ESA states that an employer must pay this amount when an employee works overtime.

Back To Top

How do I calculate overtime pay in Ontario?

Overtime pay in Ontario is calculated by dividing your weekly salary by 44 to get your hourly rate. Multiply your hourly rate 1.5 times. The result is the amount of overtime pay you should be paid per hour.

Overtime pay is generally calculated weekly. If you work more than 44 hours per week, time and a half must be calculated as overtime pay.

Back To Top

Who is exempt from overtime pay?

In Ontario, managers and supervisors are exempt from overtime pay.

Other individuals who are exempt from overtime pay include (but are not limited to):

• Superintendents
• Janitors (or caretakers who reside in the building they are overseeing)
• Information technology (IT) professionals
• Individuals who are qualified and practicing in the fields of law, engineering, and accounting

Back To Top

Are managers entitled to overtime pay?

Most managers and supervisors are not able to claim overtime pay in Ontario.

However, just because an employee’s job title is ‘manager’ or ‘supervisor’ does not mean that they are automatically exempt from extra pay once they work more than 44 hours per week.

Generally, if an individual spends over 50 per cent of their time doing non-managerial things, they are likely entitled to receive overtime pay.

The exemption applies only if the employee’s duties are truly managerial. For instance, if that ‘manager’ doesn’t actually manage any staff or set schedules, they would likely be owed overtime pay.

Back To Top

Can my employer make me work overtime?

An employer can’t make an employee work overtime if those requested hours are not the employee’s regular hours of work.

There are two exceptions to that rule:

• Your employment agreement may allow your employer to require you to work more hours outside of your regular work day. The company is still required to pay you for those overtime hours at time and a half
• There is a history of your employer asking you to work overtime and you agreeing to their request

If you do not want to work overtime in Ontario, check your employment contract and make sure it doesn’t allow your employer to require you to work overtime.

Also, do not accept requests for overtime work if you do not want to be required to work overtime by your employer in the future.

If your employer asks you to work overtime, and you refuse, they can fire you. It is a termination without cause (as opposed to a dismissal for cause) and you are owed full severance pay — as much as 24 months’ pay.

Back To Top

I need to work overtime, but my employer won’t let me

An employee must be paid for performing additional work if the hours are legitimately needed to complete their task. This applies even if the employer has asked the employee not to work overtime.

While the company can take disciplinary measures if the employee works overtime without getting the proper approval, the employee must still be paid.

SEE ALSO
• Reprisals at work in Ontario: Know your rights
• Employment Law Show: What to know about workplace reprisals

Back To Top

What should I do if I’m not getting paid overtime?

There are some things you can do if you are not being given the overtime pay you have earned:

• Talk to your employer: Follow up with the company, inform them of the problem, and try to resolve the matter peacefully. This gives your employer the opportunity to correct their mistake if they didn’t properly record your hours. This should be your first step in pursuing unpaid overtime in Ontario.
• Contact the Ministry of Labour: If your employer refuses to pay you overtime, file a complaint with the Ministry of Labour. The Ministry can help you enforce your overtime entitlements.

Back To Top

Am I owed overtime pay when I lose my job?

Yes. Overtime should be factored into the severance pay you receive when you lose your job.

When a non-unionized employee in Ontario is laid off or terminated without cause, they must receive severance pay under common law.

Severance pay can be as much as 24 months’ pay, and is calculated using various factors. Those factors include the employee’s age, position and length of employment.

A comprehensive severance package should also take into account the employee’s unpaid overtime, as well as any bonuses, vacation pay, car allowance, or health-related benefits.

READ MORE
• Bonuses and Severance Pay
• Are you still entitled to your bonus after termination?

Back To Top

Is there a time limit to claim overtime pay?

There is a two-year time limit (called a limitation period) for filing a legal claim for unpaid overtime in Ontario.

In other words, if you file a legal claim today, you can pursue compensation for the unpaid overtime you worked as far back as two years ago.

Back To Top