In Ontario, employers have certain legal obligations regarding overtime pay, even when overtime (OT) is not pre-approved. However, the situation you describe is complex and touches on multiple issues—legal obligations, policy clarity, and practical enforcement. Here’s a detailed breakdown:

1. Legal Framework: Overtime Pay in Ontario
Under the Employment Standards Act, 2000 (ESA) in Ontario:

Overtime threshold: Employees are entitled to overtime pay (1.5 times the regular rate) for hours worked beyond 44 in a workweek.

No distinction between remote/in-office work: All time worked, regardless of location, counts toward overtime.

Obligation to pay even if not pre-approved: If an employee actually worked overtime, the employer is generally required to pay for it—even if it was not pre-approved—unless the employer can show that they did not know or ought to have known that the work was being done.

That said, you can discipline employees for working unauthorized hours if your expectations are clearly communicated.

2. Practical Application in Your Scenario
A. Timesheet Vagueness and Delay
Timesheets going back to January of the previous year raise serious concerns about timeliness, accuracy, and credibility.

You are not obligated to honor undocumented or retroactive claims—especially if the recordkeeping is vague and the claims are unusually high (e.g., 14–16 hours/day, 100+ OT hours).

B. Communication and Policy History
You mention the employee was previously informed (in writing) that overtime must be pre-approved.

Even though this was “years ago,” if there has been a consistent expectation or culture of approval, and if you recently re-communicated it verbally, you may be able to argue the lack of employer authorization for recent claims.

However, verbal communication is weaker; it’s advisable to follow up in writing and reaffirm that pre-approval is required.

C. No Formal Policy
The lack of a formal OT policy does weaken your position slightly, but not fatally.

In its absence, employers are still bound by the ESA but can mitigate risk through clear documentation, consistent practice, and enforcement of expectations.

3. Recommended Steps
A. Assess Whether Work Was Actually Performed
If the employee worked without direction or necessity, and the work product doesn’t reflect the hours claimed, you may dispute the validity of those claims.

However, if you had reason to know about the extra hours (e.g., emails sent at odd hours, deliverables received late at night), ESA could interpret that as tacit approval.

B. Establish Documentation
Review any records, communications, and outputs that might corroborate or refute the claimed OT hours.

Consider having the employee submit a detailed breakdown of hours, tasks performed, and expected outputs for review.

C. Implement a Written Overtime Policy
To prevent future disputes:

Require written pre-approval for overtime.

Set boundaries for remote work hours and time tracking expectations.

Train staff and supervisors on the limits of discretionary time and clarify what qualifies as compensable work.

D. Consider Legal Counsel
Given the volume of hours and potential liability, you may wish to consult an employment lawyer to:

Review how best to handle this particular claim.

Draft or review your overtime, remote work, and timekeeping policies.

Ensure compliance while protecting the organization from inflated or unsubstantiated claims.

-HRInsider Staff