Get Canada Sample Individual Overtime Agreement 2019-2024

In other words, employees and employers can agree to average hours over periods of 2 weeks, 3 weeks, or 4 weeks. Four weeks is the maximum period over which the hours of work may be averaged for overtime pay entitlement purposes. For example, an employee agreed to average her hours of work over a period of three weeks.

Agreements for paid time off instead of overtime pay This is sometimes called “banked” time or “time off in lieu.” If an employee has agreed to bank overtime hours, they must be given 1½ hours of paid time off work, at the applicable overtime rate, for each hour of overtime worked.

Ontario's Employment Standards Act (ESA) has minimum standards that employers must follow. This includes rules about how many hours you have to work. Even if these rules apply to you, your employer can ask you to work longer hours. You can refuse to do this unless you already agreed in writing to work longer hours.

For example, if the agreed period for averaging an employee's hours of work is four weeks, the employee is entitled to overtime only after working 176 hours during the four work weeks (44 hours × 4 weeks = 176 hours).

In Ontario, the threshold for overtime pay is 44 hours a week, as set out in the Ontario Employment Standards Act (ESA). This means that whenever an employee works more than 44 hours in a week, they are entitled to 1½ times their normal pay for each additional hour worked.

To understand the 8/44 rule, we can use the example of Maya. Let's say Maya works a 12 hour day on Monday, but eight hour days Tuesday through Friday. Though Maya has not worked more than 44 hours in a week, she worked more than eight hours on Monday, meaning she meets the daily overtime threshold.

ing to the FLSA, the formula for calculating overtime pay is the nonexempt employee's regular rate of pay x 1.5 x overtime hours worked.

This means your overtime pay is based on the average number of hours you work in the period set out in the agreement rather than each week. You do not have to agree to overtime averaging if you do not want to. These agreements must contain a start date and an expiry date and generally cannot last longer than two years.