Are you aware of the “use it or lose it” vacation policy? It’s a rule that many employers implement, stating that if employees don’t use their allotted vacation days within a certain time frame, they will forfeit them.
But is this policy legal in Canada? Let’s take a closer look.
Canadian Employment Standards
Canada has strict employment standards set by the federal government and each province. These standards include provisions for minimum wage, working hours, overtime pay, and vacation entitlements.
In Canada, employees are entitled to at least two weeks of paid vacation per year after completing 12 months of employment. However, some employers may offer more than two weeks of vacation time.
Use It or Lose It Policy
The “use it or lose it” policy means that if an employee does not take their allotted vacation time within a specific time frame, they will lose that time off. This policy is often used to encourage employees to take vacations regularly and prevent them from stockpiling vacation days for an extended period.
Is Use It or Lose It Vacation Legal in Canada?
The answer is no. In Canada, employers cannot force employees to forfeit their earned vacation time. According to the Canadian Labour Code and provincial employment standards acts, employees must be allowed to take their full vacation entitlements each year.
- Alberta: Employees are entitled to two weeks of paid vacation per year.
- British Columbia: Employees are entitled to at least two weeks of paid vacation per year.
- Manitoba: Employees are entitled to at least two weeks of paid vacation per year.
- New Brunswick: Employees are entitled to at least two weeks of paid vacation per year.
- Newfoundland and Labrador: Employees are entitled to at least two weeks of paid vacation per year.
- Nova Scotia: Employees are entitled to at least two weeks of paid vacation per year.
- Ontario: Employees are entitled to at least two weeks of paid vacation per year.
- Prince Edward Island: Employees are entitled to at least two weeks of paid vacation per year.
- Quebec: Employees are entitled to at least two weeks of paid vacation per year.
- Saskatchewan: Employees are entitled to at least three weeks of paid vacation after 10 years of service with the same employer, and two weeks for the first 10 years of service.
The Bottom Line
In conclusion, the “use it or lose it” vacation policy is not legal in Canada. Employers must allow their employees to take their full vacation entitlements each year.
If you feel that your employer is not complying with Canadian employment standards regarding vacations, you can contact your provincial labour department or a lawyer for advice. Remember, taking time off is essential for maintaining good mental health and overall well-being.