Table of Contents
Introduction
Key Considerations for Employing in Canada
Benefits
Employment Contracts
Onboarding
Leaves
Payroll & Taxes
Termination Process
Invoice Schedule
Get Started with Omnipresent
1. Introduction
Hiring employees in Canada can be straightforward and compliant with Omnipresent’s Employer of Record (EOR) service. We provide payroll, benefits, and HR support to ensure a seamless hiring experience.
2. Key Considerations for Employing in Canada
Currency: Canadian Dollar (CAD, $)
Language: English & French (Quebec-specific requirements apply)
Employer Costs: Varies by province (~7-12% of salary)
Termination Complexity: Moderate (varies by province)
Onboarding Timeline: Approximately 10-15 calendar days
Payroll Frequency: Bi-weekly or Semi-monthly
3. Benefits
Types of Benefits Offered
Mandatory Benefits: Public healthcare, employment insurance, Canada Pension Plan (CPP), workers’ compensation.
Supplementary Benefits: Private healthcare, dental & vision insurance, life & disability insurance, retirement savings plans (RRSP).
Healthcare
Public healthcare is provided through the provincial healthcare systems.
Private healthcare is commonly offered as a supplementary benefit.
Retirement
Canada Pension Plan (CPP) is mandatory.
Employers often offer Registered Retirement Savings Plans (RRSP) with matching contributions.
4. Employment Contracts
Contract Types
Indefinite-term contracts
Fixed-term contracts
Part-time contracts
Requirements
Written employment contracts are strongly recommended.
Language: English or French (Quebec employees require contracts in French).
Signature Requirements: Digital or wet ink.
Backdating: Not permitted under Omnipresent’s policy.
Probation Period
Standard probation period: 3 months (varies by province).
Employers can set probation between 1-6 months based on specific needs.
If no action is taken before the probation end date, it is automatically considered passed.
Contract Customisation
Optional clauses for customization, such as extra-legal sick days or additional vacation days.
Certain contract elements (e.g., termination clauses, non-compete agreements) must comply with provincial employment laws.
5. Onboarding
Timeline
The onboarding process in Canada typically takes 10-15 calendar days, including:
Platform Setup
Right-to-Work Check
Employment Contract Processing
Benefits & Payroll Enrollment
Registration & Approvals
Employers must register employees with provincial tax and benefits authorities.
Immigration & Visas
Omnipresent does not sponsor visas in Canada.
Employees must hold valid work authorization (e.g., Work Permit, PR, Open Work Permit).
Right-to-Work Verification
Employers must verify work authorization documents before employment begins.
Employee Transfers from Another EOR
If an employee has worked under another EOR, their seniority can be recognized in the contract.
6. Leaves
Leave Entitlements
Annual Leave: Minimum 2 weeks paid vacation (varies by province & tenure).
Annual Leave Carryover: Subject to employer discretion & provincial law.
Maternity, Paternity & Parental Leave
Maternity Leave: Up to 15 weeks (paid through Employment Insurance (EI)).
Parental Leave: Up to 40 weeks (shared between parents, with 35 weeks paid under EI).
Some provinces mandate additional paid parental benefits.
Public Holidays
Varies by province (typically 9-13 statutory holidays per year).
Sick Leave
Some provinces mandate paid sick leave.
Employers typically provide additional paid sick days.
7. Payroll & Taxes
Payroll Cycle
Frequency: Bi-weekly or Semi-monthly
Cut-off Date: Varies by province & employer policy.
Payment Date: Last working day of the payroll period.
Compensation
No mandatory extra payments (e.g., 13th-month salary).
Bonuses & commissions are allowed and taxed as salary.
Minimum Wage: Varies by province.
Standard Work Schedule
40 hours per week, Monday-Friday.
Overtime pay applies based on provincial regulations.
Employer Costs
Estimated 7-12% of salary. Use the OmniCalculator for a detailed breakdown.
8. Termination Process
Before Proceeding with a Termination
Consult Omnipresent’s legal team before discussing termination with an employee.
Notice Period
Varies by province and depends on length of service.
Common notice periods:
Less than 3 months: No notice required.
3 months - 1 year: 1-2 weeks’ notice.
1+ years: 2 weeks per year of service (capped in some provinces).
Severance Pay
May be required depending on provincial laws and length of service.
Some provinces (e.g., Ontario) have strict severance pay rules.
9. Invoice Schedule
Initial Fees
Setup Fees: Due upon signing Terms.
Deposit: Payable when the local employment contract is ready for signature.
First Salary Prepayment: Invoiced on the first day of employment.
Ongoing Monthly Payments
Labour costs invoiced monthly in arrears after final payroll calculations.
Each invoice includes:
Monthly service fee
Deposit insurance (if applicable)
FX fee (if applicable)
10. Get Started with Omnipresent
We simplify international hiring, legal compliance, payroll, benefits, and more. Contact us to start your journey towards hassle-free global employment.