Taking the stress out of vacations

Vacation pay errors can lead to extra work for staff, fines for companies
By Sheila Brawn
|Canadian Payroll Reporter|Last Updated: 06/01/2017

With summer almost here, many employees will be taking vacations over the coming weeks — if they have not already started.

While vacation time can be relaxing for employees, paying them for the time off can cause headaches for payroll departments if not done correctly. Not only will employees complain if they do not think they were paid enough or on time, but vacation pay errors could lead to extra work for payroll staff or even employment standards fines or penalties.

Employment standards rules for vacation may seem straightforward at first glance. Employees earn a minimum amount of vacation time each year, usually two or three weeks, depending on their years of service and the jurisdiction in which they work.