Vacation pay wording 2 weeks verses 4%

[vickyp]

#80376

Forum: Community

Hi Glenn, hope you and your family are well.
Require clarification if possible:
Our company has hourly and salary employees, we use the following wording in the employment letter as follows for both:
“You will be entitled to vacation earned at the rate of .83 regular business days for each month of service, equivalent to 2 weeks annually.”
Is this ok? Or do I need to stipulate for hourly employees 4%?
Thank you.
Mirella Bennati

[vickyp]

#80377

Alan just responded and he suggests that there are big problems with the language. Here’s his response:
There are red flags all over the place.

1. Ontario also has a requirement for 3 weeks after 5 years.
2. Service should be limited to active service.
3. Even for salary employees, there may be earnings that mean 2 weeks pay isn’t enough. 2 over 52 is less than 4%.
4. Discipline if the minimum employment standards vacation time off is not taken.

[Author]

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