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Vacation Pay

Expert: Mario Cywinski

Fernando asked:

Under BC labour law is the employer entitle to pay vacation on vacation accrued. Example employee resigns, wants all vacation accrue paid. The system calculates vacation on that payment are we obligated to pay it.

Mario Cywinski answered:

We consulted the Government of British Columbia's Ministry of Labour and Citizens' Services website to answer this question. The website has an entire page dedicated to Vacation pay.

In regards to your question the Ministry of Labour's web site states:
"If an employee ends his or her employment, an employer has six days to pay all outstanding wages, including any outstanding annual vacation pay. If an employer terminates an employee, the employer must pay all outstanding wages, including any outstanding annual vacation pay, within forty-eight hours."

In regards to the amount of vacation pay that a person is entitled to, the Ministry of Labour web site states:
"In the first four years in which an employee is entitled to take annual vacation, the employer must pay vacation pay of at least four per cent of all wages paid to the employee in the preceding year."

However after five years of employment the employer:
"must pay vacation pay of at least six per cent of all wages for the fifth and following years of employment. The six percent of all wages is based on the total wages paid to the employee in the preceding year," according to the Ministry of Labour's web site.

More information of Vacation pay can be found at the Government of British Columbia's Ministry of Labour and Citizens' Services website.




About the author


Mario Cywinski was the Assistant Editor of Canadaone.com and a graduate of Humber College's Journalism Program. Mario is currently the Managing Editor for Canadian Automotive Fleet and Fleet Vans and Trucks magazines, and is a member of AJAC. He has also worked for Trajan Publishing Corporation as a copy editor, and interned at ABC News, OMNI Television and Global TV.

 
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