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Need a policy because of a recent regulatory change? We’ve got it for you. Need some quick training on a specific HR topic? We’ve got it for you. HR Insider provides the resources you need to craft, implement and monitor policies with confidence. Our team of experts (which includes lawyers, analysts and HR professionals) keep track of complex legislation, pending changes, new interpretations and evolving case law to provide you with the policies and procedures to keep you ahead of problems. FIND OUT MORE...
10 FAQs about Averaging of Overtime

Employment standards, 101: Employees are entitled to overtime pay of at least 1.5 times their regular wage rate for working longer than a standard workday (typically 8 hours) or work week (typically 40 hours). But while it may be a bedrock requirement, most provinces now allow employees and employers to contract out of it by negotiating “averaging agreements.”

Averaging agreements can save your company thousands of dollars in wage costs. But they can also get you into legal hot water if you don’t follow the strict rules that apply to such agreements. Here are 10 FAQs to help you maneuver the intricacies of averaging agreements.

Question 1: What Is Overtime Averaging?

Answer: You normally count hours worked on a straight line basis to figure out if employees have worked long enough to qualify for overtime pay. With averaging, hours worked are averaged over an averaging period consisting of multiple days or weeks. You then use these averages to determine if employees have met the over...

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