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New Stat Pay Calculation Ontario

  • Last Updated:
  • Mar 24th, 2018 10:38 am
[OP]
Sr. Member
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Jul 25, 2008
770 posts
222 upvotes
Toronto

New Stat Pay Calculation Ontario

Hi Folks,

I'm in charge of reviewing payroll before sending it out to our payroll company and I notice the calculation for News Year Day 2018 is much different than Christmas/Boxing Day calculation. We have a lot of part-time employees and it seems the new calculation benefits the employees.

For example,

Old calculation: Say you work 1 day a week at $100 per day with 4% vacation pay accrued each pay
so its gross wage over the last 4 weeks prior to that holiday + your vacation pay / 20
$416/20 = $20.80 in stat pay

New calculation:
Reg wage earned in last pay period (say Bi-weekly pay period) before that holiday / number of days worked
$200/2 = $100 in stat pay.

Is this correct? Did I miss something? Awesome for the employees, crappy for the employer I suppose if this is the new rule.
17 replies
Deal Fanatic
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Dec 27, 2009
5237 posts
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Ottawa, ON
Seems screwy to me (but then a lot of the changes they have made really bone employers up the arse, so I'm not too surprised).
Deal Expert
Aug 22, 2011
22229 posts
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Ottawa
Didi_beee wrote:
Jan 9th, 2018 10:01 am
Hi Folks,

I'm in charge of reviewing payroll before sending it out to our payroll company and I notice the calculation for News Year Day 2018 is much different than Christmas/Boxing Day calculation. We have a lot of part-time employees and it seems the new calculation benefits the employees.

For example,

Old calculation: Say you work 1 day a week at $100 per day with 4% vacation pay accrued each pay
so its gross wage over the last 4 weeks prior to that holiday + your vacation pay / 20
$416/20 = $20.80 in stat pay

New calculation:
Reg wage earned in last pay period (say Bi-weekly pay period) before that holiday / number of days worked
$200/2 = $100 in stat pay.

Is this correct? Did I miss something? Awesome for the employees, crappy for the employer I suppose if this is the new rule.
Try again at the below.

https://www.ontario.ca/page/public-holi ... calculator
[OP]
Sr. Member
User avatar
Jul 25, 2008
770 posts
222 upvotes
Toronto
vkizzle wrote:
Jan 9th, 2018 4:46 pm
Try again at the below.

https://www.ontario.ca/page/public-holi ... calculator
Yeah thats what I used in the first place and first discovered the change in how its calculated. Its a huge difference for employers who have a lot of part-time employees. My boss is more p’d off about this than a $14 min wage hike since the employees already make more than that.
Newbie
Jan 10, 2018
5 posts
2 upvotes
I'm just working on payroll, too and find this quite confusing for the stat pay for New Year's Day. The old calculator they had was much more friendly-user and I'm not understanding why the difference between Christmas Day/Boxing Day vs. New Year's Day.
I always thought it was the first 4 weeks (bi-weekly) before the holiday divided by 20, though, their new scenarios are just 2 weeks divided by 10. However, when you follow the payroll calculator for Christmas Stat - it goes go by 4 weeks/20.
Does anyone know what's going on for New Year's Day and how to truly calculate it right?
Newbie
Jan 10, 2018
5 posts
2 upvotes
OK - got an answer from Service Ontario: Christmas/Boxing Day is November 26 to Dec 23 (reg wages plus vacation pay). New Year's Day is Dec 17 to Dec 23 (reg wages). NEW LEGISLATION as of Jan 1/2018 (That's for bi-weekly as that is the way my payroll dates run)
Our guys are off from Dec 23 to Jan 2 so the old way the calculation would have been December 3 to Dec 30 (company would have no wages for one week so less holiday pay for Jan 1) Now I have to pay them holiday pay from wages earned Dec 17 to Dec 23. The old calculations for one of our employees would have been $90.30 for NYD, now it is $119.00. Answer is NEW LEGISLATION!
I have to admit I have a lot of frustration with everything - not every company is the same. Most retail are cash upon purchase so they get their money - we are a trade and lucky if we get paid within 45 days. Sometimes we don't get paid, our last court hearing for non-payment took 6 years and we received the amount we originally asked for but now we owe our lawyer $10,000.00. Right now, we are waiting on 2 hearings (one for $89,000.00 and one for $35,000.00). We just had another guy tell us to take him to court for $6,000.00. I still have to pay my employees, any sub-contractors and suppliers for these jobs. These are large hits to take on a business - everything is maxed out to help cover costs and in 2017, I only payed myself 4 months to cut costs (I'm not an owner who gets paid a lot to begin with: $2500/month - I get paid less than our employees as does my husband). Right now, we are seriously considering closing our business down - we are only holding on because it will feel like we are admitting we are failures as a business owner. SORRY - had to VENT!!
Last edited by MusketeerMom on Jan 11th, 2018 1:09 pm, edited 1 time in total.
[OP]
Sr. Member
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Jul 25, 2008
770 posts
222 upvotes
Toronto
Yup, I did a test calculation and my boss has to pay $500 more in stat pay for Jan 1 holiday vs the Christmas and Boxing day holiday combined...Good for me, I basically get 10hrs of pay extra for working only 2 days during the last pay period.

But a few of our part-timers are being let go and my schedule is shittier now starting February.
Newbie
Jan 10, 2018
5 posts
2 upvotes
Another question - my employee just told me that he is to get 6% vacation now, not 4%. Is this correct? Currently, on hold for the last hour to get ServiceOntario to clarify.
Deal Addict
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Jun 3, 2005
1014 posts
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MusketeerMom wrote:
Jan 12th, 2018 12:05 pm
Another question - my employee just told me that he is to get 6% vacation now, not 4%. Is this correct? Currently, on hold for the last hour to get ServiceOntario to clarify.
If that employee has been employed for at least 5 years at your company then yes, they get bumped up to 6% vacation pay under the new legislation.
Deal Fanatic
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Dec 27, 2009
5237 posts
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Ottawa, ON
Yes, not sure why you would be on hold for this? It is a very quick google search. Finally Ontario has caught up with what many other places already had in their rules.
[OP]
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Jul 25, 2008
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Toronto
For the 6% vacation pay, does anyone know if it only applies to full timers? I am on my 6th year but I took 1 year off for mat leave and I also work part-time
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Jun 3, 2005
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Didi_beee wrote:
Jan 12th, 2018 2:44 pm
For the 6% vacation pay, does anyone know if it only applies to full timers? I am on my 6th year but I took 1 year off for mat leave and I also work part-time
No, the 6% vacation rule applies to all employees.
Deal Addict
Nov 13, 2013
1282 posts
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OTTAWA
Didi_beee wrote:
Jan 11th, 2018 1:17 pm
Yup, I did a test calculation and my boss has to pay $500 more in stat pay for Jan 1 holiday vs the Christmas and Boxing day holiday combined...Good for me, I basically get 10hrs of pay extra for working only 2 days during the last pay period.

But a few of our part-timers are being let go and my schedule is shittier now starting February.
New rule discourages part time work over full time work to some extent which overall is probably a good thing.
Newbie
Nov 14, 2014
30 posts
7 upvotes
SK
Thank you for posting these links since I didn't even realize part-time employees were entitled to ANY holiday pay! I've been working under a "casual on-call" contract for >5 years, where my hours vary according to workload and personal preference, and have never been paid for any stat other than normal pay if I happen to work that day.

Could you please confirm if I'm reading the above info correctly that even if I don't actually work on the stat I'm entitled to the amount output by the holiday pay calculator tool? Want to make sure I understand how this works before asking HR about why I haven't been getting paid for these.
[OP]
Sr. Member
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Jul 25, 2008
770 posts
222 upvotes
Toronto
If you are an employee of your company, part-time, full-time, contract, casual... you are entitled to stat pay so long as you worked within the last pay period before the stat holiday. With the old rules, it was within the last 4 weeks before the stat holiday that you must have worked to be entitled. There were special rules if you were on vacation or if you had a planned leave of absence.

How do I know? One of my former employees left on a sour note and filed a claim against us about something so we were audited by the ministry of labour and told us all these rules that we should be following and how to calculate stat pay.

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