Vacation time

Question: I’m an employer. My workers have vacation that I want them to use up. Can I force them to take it when I want? 

Answer: Employers have a substantial degree of discretion regarding workers’ vacation. 

However, it’s good business practice to coordinate with workers as best as possible, taking note of the following rules. Ontario workers generally get a minimum of 4% vacation pay on their wages from the start and two (2) weeks’ vacation after 12 months of service, unless their employment agreement provides a greater right (after 5 years, the minimum is 6% vacay pay and 3 weeks’ vacation). 

The Employment Standards Act, 2000 (“ESA”) sets the minimum vacation rules for most Ontario workers. While employers have some discretion, they still generally have to ensure vacation is taken within no more than 10 months after the year in which it was earned. If the employer doesn’t keep track and then says to its workers ‘snooze you lose’ this could lead to unhappy workers to say the least, and possible complaints, so it’s better to be proactive. Workers have to take vacation in blocks, unless the parties agree to something different. But employers do not have to insist on that; they can allow vacation to be taken as allotments of days if an employee ask for that and they agree.

For practical tips on improving your vacation policies, or other employment law advice, please email me at wjamieson@rossmcbride.com or phone me direct at 905-572-5806.