Overtime Pay Ontario | Know Your Rights Under the ESA

If you work more than 44 hours in a week in Ontario, you’re likely entitled to overtime pay — often called time and a half.

This guide explains what overtime means under Ontario’s Employment Standards Act (ESA), who qualifies, who’s exempt, and what to do if your employer isn’t paying you properly.

Who Does This Apply To?

✅ Applies to: Provincially regulated, non-unionized employees
🚫 Doesn’t apply to: Federally regulated workers (e.g. banks, airlines, telecommunications)

Watch: Lior Samfiru explains overtime pay on the Employment Law Show.

What Is Overtime Pay in Ontario?

Under the Employment Standards Act (ESA), employees must be paid 1.5 times their regular rate for all hours worked beyond 44 hours in a workweek.

Example:
If you earn $20/hour and work 48 hours:

• 44 hours × $20 = $880
• 4 hours × $30 (time and a half) = $120
  • ➡️ Total = $1,000 

When Does Overtime Pay Start?

Overtime is calculated weekly, not daily.
That means even if you work 10-hour days, you don’t earn overtime until your total hours exceed 44 in the same week.

Example:

• 10 hours × 4 days = 40 hours → no overtime
• 48 total hours = 4 hours of overtime pay owed

Who Qualifies for Overtime Pay in Ontario?

You qualify if you are:

• A non-unionized, provincially regulated employee
• Paid hourly, on salary, or by commission
• Working more than 44 hours per week

Do Salaried Employees Get Overtime in Ontario?

✅ Yes. Salaried employees are entitled to overtime under the ESA.

There is a common myth that salary equals exemption — but that’s false unless your role falls under an ESA exemption.

How Much is Overtime Pay?

Overtime pay = 1.5 × your regular rate of pay.
This includes hourly, salaried, and commission-based employees.

How is Overtime Calculated in Ontario?

Hourly Employees

Regular hourly rate × 1.5 × overtime hours = overtime pay

Salaried Employees

Weekly salary ÷ 44 = regular hourly rate
Regular hourly rate × 1.5 × overtime hours = overtime pay

Commission Employees

(Total weekly earnings ÷ total hours worked) × 1.5 × overtime hours = overtime pay

Quick Overtime Pay Formula (Ontario)

1. Find your regular hourly rate (hourly, salary ÷ 44, or total earnings ÷ hours).
2. Multiply by 1.5 for your overtime rate.
3. Multiply by the number of hours over 44.
4. Add this to your weekly pay.

Who is Exempt from Overtime Pay?

Some jobs are excluded from overtime rules under the ESA, including:

• Managers and supervisors (if truly managerial)
• IT professionals
• Regulated professionals (lawyer, engineers, doctors, accountants)
• Certain salespeople or building superintendents

Full exemption list: ESA Exemptions

Are Managers Ever Entitled to Overtime?

Yes — sometimes.
You may be entitled to overtime if you:

• Spend 50% or more of your time on non-managerial tasks
• Don’t supervise staff or make significant business decisions

Can Employers Offer Time Off Instead of Overtime Pay?

Yes — but only with your written agreement.
This is called “time off in lieu.”

For every 1 hour of overtime worked, you must receive 1.5 hours off with pay.

If your employment contract ends before taking that time, your employer must pay out your unused overtime at the proper overtime rate.

Do You Need Pre-Approval for Overtime in Ontario?

In Ontario, you’re entitled to overtime pay whether or not your employer “pre-approved” the extra hours.
What matters is whether your employer permitted or didn’t prevent you from working those hours — not whether they officially signed off on them.

That said, your employer can choose to restrict or refuse overtime work.
But if you end up working overtime anyway, they are still legally required to pay you for those hours.

This applies even if:

• You weren’t authorized in advance to work extra hours
• The employer has a policy requiring approval before overtime

📚 Fresco v. CIBC confirmed this principle. The court ruled that employees must be compensated for all overtime worked if the employer was aware — or should have been aware — that the extra work was being performed.

• 🔗 Related: Reprisals at Work in Ontario – Know Your Rights

Averaging Agreements (44-Hour Rule Exception)

Employers and employees can agree in writing to average hours over up to four weeks.
Overtime is owed only if the average hours exceed 44 per week.

Example
Two-week averaging:

• Week 1: 54 hours
• Week 2: 34 hours
  • Total = 88 ÷ 2 = 44 hours average → no overtime owed

What Happens If You’re Not Paid Overtime?

1. Talk to your employer — mistakes happen.
2. Document your hours — keep schedules, texts, and emails.
3. Take legal action — file a claim with the Ministry of Labour (2-year limit) or speak with Samfiru Tumarkin LLP to recover unpaid wages or severance pay.

Does Unpaid Overtime Count Toward Severance Pay?

Yes.
If you’re let go, unpaid overtime must be included in your severance package.

Severance Pay in Ontario is based on total compensation — including overtime, bonuses, vacation pay, and commissions. A complete severance package could be as much as 24 months’ pay.

How Far Back Can You Claim Overtime Pay?

Under the ESA, you can claim up to two years of unpaid overtime.
However, through court action, employees may recover more than two years in some cases — especially when misclassification or baid-faith conduct is proven.

Overtime Pay FAQs

Speak to an Employment Lawyer About Overtime Pay in Ontario

If your employer refuses to pay overtime, misclassifies you as “exempt”, or excludes overtime frome your severance, contact Samfiru Tumarkin LLP.

We’ve helped over 50,000 clients across Ontario and Canada recover what they’re owed.
Our team includes Ontario’s top-rated employment lawyers with 2,300+ 5-star Google reviews and recognition as one of Canada’s Best Law Firms by The Globe and mail.

• 👥 Over 50,000 clients helped across Canada
• 💰 Millions recovered in severance and compensation
• ⚖️ No win, no fee — for qualifying cases
• ⭐ 2,311 5-star Google reviews across Ontario (4.8 average)
• 🏆 Recognized as one of Canada’s Best Law Firms by The Globe and Mail

Contact us now to find out what you’re owed. Book your consultation or call 1-855-821-5900.