Payment of Wages

Employer Records

An employer shall make and keep for a period of 12 months after work is performed or services are supplied by an employee complete and accurate records in respect of the employee

Statements

Every employee shall at least once a month furnish to each employee a statement in writing setting out:

  • the period for which the payment of wages is made

  • the number of hours for which payment is made

  • the rate of wages

  • details of the deductions made from the wages

  • the actual sum being received by the employee

Deductions

Except as permitted by an enactment, an employer shall not, directly or indirectly, withhold, deduct, or require payment of all or part of an employee’s wages by way of setoff, counterclaim, assignment, or for any other purpose.

  • An employer may honour the employee’s written assignment of or authorization to pay wages:

    • to a charitable or other organization, or a pension or superannuation or other plans, if the assignment or authorization to pay is for amounts that are deductible for income tax purposes under the Income Tax Act (Canada);

    • to an insurer licensed under the Insurance Act;

    • to meet credit obligations; and

    • for a purpose that the director considers is for the benefit of the employee.

An employer who reduces an employee's rate of pay shall give the employee notice in advance of the reduction. the length of the notice shall be at least one of the employee's pay periods

Time for payment of wages

An employer shall, not later than 10 days after the expiration of each pay period, pay to the employee all wages, other than vacation pay, owing to the employee in respect of that pay period.

When the employment of an employee is terminated at any time, the employer shall pay to the employee within seven days from the date of termination all wages other than termination pay

  • The employer may pay the employee the termination pay owing to the employee in instalments of the same amount which would have been paid to the employee for the employee’s regular pay period on the day which would have been the employee’s regular payday provided that the employee receives all the termination pay within the period of time which the employee would have been entitled to receive as notice.

Disappearance of employee

When an employer is required to pay wages to an employee, and the employee cannot be found for the purpose of making the payment, the employer shall, within six months after the wages became due and payable, pay the wages to the director, and payment made to the director shall be deemed payment to the employee.

YK ESA s.62, 63, 64, 65, 68