Vacation, sick leave, EI

Vacation, Sick Leave, and Employment Insurance in Canada

When you work in Canada, you're entitled to paid vacation, and you may be eligible for paid sick leave depending on your province and employer. If you lose your job or need time off for family reasons, Employment Insurance (EI) provides financial support.

This guide explains your entitlements for vacation time, sick leave, and how Employment Insurance works in Canada.

🏖️ Quick Facts:

Minimum 2 weeks vacation • Sick leave varies by province • EI covers unemployment and parental leave

Vacation time and pay

Minimum vacation entitlement

All employees in Canada are entitled to paid vacation. The minimum is set by provincial law:

Province/Territory	After 1 Year	After 5 Years	Vacation Pay
Federal	2 weeks (10 days)	3 weeks (15 days)	4% then 6%
Ontario	2 weeks (10 days)	3 weeks (15 days)	4% then 6%
British Columbia	2 weeks (10 days)	3 weeks (15 days)	4% then 6%
Alberta	2 weeks (10 days)	3 weeks (15 days)	4% then 6%
Quebec	2 weeks (10 days)	3 weeks (15 days)	4% then 6%
Manitoba	2 weeks (10 days)	3 weeks (15 days)	4% then 6%
Saskatchewan	3 weeks (15 days)	4 weeks (20 days)	5.77% then 7.69%
Nova Scotia	2 weeks (10 days)	3 weeks (15 days)	4% then 6%
New Brunswick	2 weeks (10 days)	3 weeks (15 days)	4% then 6%
Prince Edward Island	2 weeks (10 days)	3 weeks (15 days)	4% then 6%
Newfoundland & Labrador	2 weeks (10 days)	3 weeks (15 days)	4% then 6%

Note: Most employers provide more generous vacation than the legal minimum.

How vacation accrual works

Year 1:

You start accruing vacation from your first day of work
After 12 months, you're entitled to your full 2-3 weeks
Some employers let you take vacation before it's fully accrued
Others require you to work 6-12 months before taking vacation

Example (Ontario):

You start January 1, 2026
You accrue 0.83 days per month (10 days ÷ 12 months)
By June 1, you've accrued ~4.2 vacation days
By December 31, you've accrued 10 days
In Year 2, you can take your full 10 days anytime

Vacation pay

Vacation pay is calculated as a percentage of your gross earnings:

4% of earnings = 2 weeks vacation
6% of earnings = 3 weeks vacation

Example:

Annual salary: $50,000
Vacation pay (4%): $2,000
When you take 2 weeks off, you receive your regular salary ($1,923) plus vacation pay makes up any difference

Typical employer vacation policies

While the law sets minimums, many employers offer more:

Startups/Small companies: 2 weeks (10 days) to start
Mid-size companies: 3 weeks (15 days) to start
Large corporations: 3-4 weeks (15-20 days) to start
Government: 3-4 weeks (15-20 days) to start
Tech companies: Often "unlimited" vacation (use responsibly)

Vacation typically increases with tenure:

Years 1-5: 2-3 weeks
Years 5-10: 3-4 weeks
Years 10+: 4-5 weeks
Years 15+: 5-6 weeks (rare)

When can you take vacation?

You must get your employer's approval before booking vacation. Employers can:

Require advance notice (typically 2-4 weeks)
Deny vacation during busy periods
Require you to take vacation at specific times (e.g., company shutdown in December)
Set a maximum number of consecutive days off

However, employers must allow you to take your earned vacation within 10-12 months of earning it (varies by province).

What happens to unused vacation?

This varies by province and employer:

Most provinces: You must take vacation within 10-12 months of earning it
Some employers: Allow you to carry over unused vacation to next year
Some employers: Allow you to bank vacation (up to a certain limit)
When you leave/fired: You must be paid out for all unused vacation

💡 Use your vacation

Canadians are notorious for not taking all their vacation days. Don't make this mistake:

Vacation is part of your compensation—use it
Burnout reduces productivity and health
Most companies expect you to take vacation
You can't cash out vacation (except when leaving)

Plan your vacation early in the year to ensure you use it all.

Sick leave

Paid sick leave by province

Paid sick leave laws vary significantly by province. Some provinces mandate paid sick days, while others only require unpaid leave:

Province/Territory	Paid Sick Days	Unpaid Sick Days	Notes
Federal	10 days/year	-	First 3 days paid at 100%, next 7 at 100%
Ontario	3 days/year	-	Started 2022
British Columbia	5 days/year	3 days/year	Paid leave started 2022
Alberta	0	5 days/year	Only unpaid
Quebec	2 days/year	Up to 26 weeks	Unpaid for serious illness
Manitoba	3 days/year	3 days/year	-
Saskatchewan	0	12 days/year	Only unpaid
Nova Scotia	0	3 days/year	Only unpaid
New Brunswick	0	5 days/year	Only unpaid
Prince Edward Island	3 days/year	3 days/year	-
Newfoundland & Labrador	0	7 days/year	Only unpaid

Note: These are minimum legal requirements. Many employers provide more generous sick leave.

Employer sick leave policies

Beyond legal minimums, employers often provide additional sick leave:

Entry-level jobs: 3-5 paid sick days/year
Professional roles: 5-10 paid sick days/year
Government/union jobs: 10-15+ paid sick days/year (often accumulate)
Some companies: "Unlimited" sick days (use responsibly)

How sick leave works

When to use sick leave:

You're too sick to work
Medical/dental appointments
Caring for sick family member (some provinces)
Mental health days (if policy allows)

Process:

Notify your manager as soon as possible (before work starts)
Most employers don't require doctor's note for 1-3 days
Doctor's note required for extended absence (3+ days typically)
Track your sick days to avoid exceeding allowance

What if you run out of sick days?

If you've used all your sick days and are still ill:

Short-term: Take unpaid leave or use vacation days
Long-term (weeks/months): Apply for:
- EI sickness benefits (up to 26 weeks at 55% pay)
- Short-term disability insurance (if provided by employer)
- Long-term disability insurance (for serious illness)

Sick leave vs. disability leave

Sick leave: Short absences (1-10 days), paid or unpaid depending on province/employer
Short-term disability: 2 weeks to 6 months, typically 60-70% of salary (through insurance)
Long-term disability: 6+ months, typically 60-70% of salary (through insurance)

⚠️ Don't abuse sick leave

While you're entitled to sick leave, excessive or suspicious absences can:

Damage your reputation
Lead to disciplinary action
Affect your performance reviews
Result in termination (if pattern of abuse)

Use sick leave honestly and responsibly.

Public holidays

Statutory holidays by province

Public holidays (also called statutory holidays) are paid days off. The number varies by province:

Province/Territory	Number of Holidays	Notable Holidays
Federal	10	National Day for Truth and Reconciliation (Sept 30)
Ontario	9	Family Day (3rd Mon in Feb)
British Columbia	10	BC Day (1st Mon in Aug)
Alberta	9	Family Day (3rd Mon in Feb)
Quebec	8	Saint-Jean-Baptiste Day (June 24)
Manitoba	9	Louis Riel Day (3rd Mon in Feb)
Saskatchewan	10	Saskatchewan Day (1st Mon in Aug)
Nova Scotia	6	Fewest statutory holidays

Common public holidays across Canada

New Year's Day – January 1
Good Friday – Friday before Easter
Victoria Day – Monday before May 25
Canada Day – July 1
Labour Day – First Monday in September
Thanksgiving – Second Monday in October
Christmas Day – December 25

How public holidays work

If the holiday falls on a workday:

You get the day off with full pay
No vacation day is deducted
If you must work, you get premium pay (1.5x or 2x regular wage + day off in lieu)

If the holiday falls on a weekend:

Some provinces/employers give you Monday off instead
Some provinces don't provide a substitute day off
Check your employment contract

Eligibility:

You must have worked a minimum period before the holiday (varies by province)
You must work your scheduled day before and after the holiday (unless excused)
Part-time and casual employees may be eligible for holiday pay

Employment Insurance (EI) overview

What is EI?

Employment Insurance (EI) is a federal program that provides temporary financial assistance to:

People who lose their jobs through no fault of their own
New parents (maternity and parental leave)
People who are sick or injured
People caring for seriously ill family members
People caring for critically ill children

How EI is funded

EI is funded through payroll deductions:

You pay: 1.66% of your earnings (2024 rate)
Your employer pays: 2.32% of your earnings (1.4× your contribution)
Maximum annual premium: $1,049 (if you earn over $63,200)

Example (for $60,000 salary):

Your EI premiums: $60,000 × 1.66% = $996/year ($83/month)
Employer contribution: $60,000 × 2.32% = $1,392/year

Types of EI benefits

Regular benefits: If you lose your job (unemployment)
Maternity benefits: For biological mothers (15 weeks)
Parental benefits: For new parents (40-69 weeks, can be shared)
Sickness benefits: If you're too sick to work (26 weeks)
Compassionate care benefits: Caring for dying family member (26 weeks)
Family caregiver benefits: Caring for seriously ill family member (up to 35 weeks)
Parents of critically ill children: Up to 35 weeks

Who is eligible for EI?

To qualify for any EI benefit, you must:

Have a valid Social Insurance Number (SIN)
Have paid EI premiums (through your paychecks)
Have worked a minimum number of insurable hours in the past 52 weeks
Be legally entitled to work in Canada

Required hours vary by:

Type of benefit (regular, maternity, sickness, etc.)
Your location's unemployment rate
Whether you're a new entrant or re-entrant to the workforce

How much does EI pay?

Standard rate: 55% of your average insurable weekly earnings

Maximum weekly benefit: $668/week ($2,893/month) in 2024

Example calculations:

If you earned $60,000/year ($1,154/week):
- EI pays: $1,154 × 55% = $635/week ($2,752/month)
If you earned $100,000/year ($1,923/week):
- EI pays: Maximum $668/week ($2,893/month)
If you earned $40,000/year ($769/week):
- EI pays: $769 × 55% = $423/week ($1,833/month)

How to apply for EI

Gather documents:
- Social Insurance Number (SIN)
- Record of Employment (ROE) from your employer
- Banking information for direct deposit
Apply online: Service Canada EI application
Or apply in person: Visit a Service Canada office
Wait for decision: Usually 28 days, but can be longer
Complete bi-weekly reports: Report your job search activities and any income

EI regular benefits (unemployment)

Who qualifies?

You can receive EI regular benefits if:

You lost your job through no fault of your own (laid off, position eliminated, contract ended)
You've worked 420-700 insurable hours in the past 52 weeks (depends on your region's unemployment rate)
You're actively looking for work and available to work
You haven't refused reasonable job offers

Reasons you may NOT qualify

You quit your job without "just cause"
You were fired for misconduct
You refused reasonable job offers
You're self-employed (unless you opted into EI)
You're receiving severance pay that covers the entire period

How long can you receive benefits?

Duration: 14 to 45 weeks, depending on:

Your region's unemployment rate (higher unemployment = longer benefits)
How many insurable hours you worked in the past year

Example (Toronto, unemployment rate ~7%):

Worked 700 hours: 19 weeks of benefits
Worked 1,000 hours: 25 weeks of benefits
Worked 1,500+ hours: 35 weeks of benefits

How much will you receive?

55% of your average weekly earnings
Maximum: $668/week ($2,893/month)
Benefits are taxable income (tax is not deducted automatically, but you'll owe tax when you file)

Waiting period

There is typically a 1-week waiting period before you start receiving benefits. You don't get paid for this week.

Requirements while receiving EI

To keep receiving benefits, you must:

Submit bi-weekly reports online (every 2 weeks)
Report all income earned (even part-time or casual work)
Report all hours worked
Actively search for work and keep a record of your job search
Be available and willing to work
Accept reasonable job offers

If you fail to meet these requirements, your benefits may be stopped.

Working while on EI

You can work part-time while receiving EI:

You keep 50 cents of EI benefits for every dollar you earn
As long as you earn less than 90% of your previous weekly earnings
You must report all earnings in your bi-weekly report

Example:

Your EI benefit: $600/week
You work part-time and earn $200/week
EI deducts 50%: $600 - ($200 × 0.5) = $500/week from EI
Total income: $200 (work) + $500 (EI) = $700/week

💡 EI fraud is serious

Service Canada actively investigates EI fraud. If you:

Fail to report income or hours worked
Make false statements on your reports
Claim you're looking for work when you're not

Penalties include:

Repaying all benefits received
Fines and penalties (up to 3× the amount improperly received)
Ban from receiving future EI benefits
Criminal charges in serious cases

Always be honest on your EI reports.

EI maternity and parental benefits

Maternity benefits

Who qualifies: Biological mothers (including surrogate mothers)

Duration: 15 weeks

When to apply: Up to 12 weeks before your due date

Payment: 55% of average weekly earnings, up to $668/week

Required hours: 600 insurable hours in the past 52 weeks

Parental benefits

Who qualifies: Biological and adoptive parents (either parent or both can share)

You have two options:

Standard parental benefits

Duration: 40 weeks (up to 12 months total with maternity)
Payment: 55% of average weekly earnings
Maximum: $668/week
Can be taken by one parent or shared between both

Extended parental benefits

Duration: 69 weeks (up to 18 months total with maternity)
Payment: 33% of average weekly earnings
Maximum: $401/week
Can be taken by one parent or shared between both

Required hours: 600 insurable hours in the past 52 weeks

How maternity + parental works

Typical scenario:

Mother takes 15 weeks maternity leave (biological mother only)
Then either parent (or both sharing) takes 40 weeks standard parental leave
Total: Up to 55 weeks (about 12-13 months)

Sharing parental leave:

Parents can split the 40 (or 69) weeks however they want
Can take leave at the same time or consecutively
Must decide on standard or extended at the start (can't change)

Example (standard benefits):

Mother takes 15 weeks maternity + 25 weeks parental = 40 weeks total
Father takes 15 weeks parental
Total family leave: 55 weeks

Combining EI with employer top-up

Many employers offer maternity/parental leave top-up:

Employer pays the difference between EI (55%) and a higher percentage (often 75-95%)
Usually for a limited time (6-17 weeks typically)
Check your employment contract or collective agreement

Example:

Your salary: $80,000/year ($1,538/week)
EI pays: 55% = $668/week (maximum)
Employer top-up to 85%: $1,308/week
Employer pays: $1,308 - $668 = $640/week additional
Top-up period: First 15 weeks only

Job protection during leave

Most provinces provide job-protected leave separate from EI:

Maternity leave: 17-18 weeks (varies by province)
Parental leave: 61-63 weeks (varies by province)
Your employer must give you your job back (or equivalent position)
Benefits continue during leave (you usually pay your share)
Seniority and pension continue to accrue

Important: Job protection is provincial, not federal. Check your province's employment standards.

💡 Plan your parental leave strategy

Standard vs Extended benefits:

Standard (40 weeks at 55%): Higher payment, shorter leave
Extended (69 weeks at 33%): Lower payment, longer leave

Calculate total income for both options before deciding.

Example (earning $60,000/year):

Standard: $635/week × 40 weeks = $25,400 total
Extended: $381/week × 69 weeks = $26,289 total

Extended gives slightly more total, but spread over longer period = less per month.

EI sickness benefits

Who qualifies?

You can receive EI sickness benefits if:

You're unable to work due to illness, injury, or quarantine
You've worked 600 insurable hours in the past 52 weeks
Your regular weekly earnings have decreased by more than 40%
You have a medical certificate from a doctor

Duration and payment

Duration: Up to 26 weeks (increased from 15 weeks in December 2022)
Payment: 55% of average weekly earnings
Maximum: $668/week ($2,893/month)
Waiting period: 1 week (not paid)

When to use sickness benefits

Use EI sickness benefits for:

Surgery and recovery
Serious illness or injury
Cancer treatment
Mental health crisis requiring extended time off
Pregnancy complications (before maternity leave starts)
Quarantine due to infectious disease

Don't confuse with:

Paid sick days: Short absences (1-10 days) covered by employer
Short/long-term disability: Insurance through your employer (typically 60-70% of salary)

Medical certificate requirement

You must provide a medical certificate from your doctor stating:

That you're unable to work due to medical reasons
Expected duration of illness/recovery
When you'll be able to return to work

Can you work while receiving sickness benefits?

Generally no. Sickness benefits are for people who cannot work at all due to illness.

However, you may be able to work part-time if:

Your doctor approves
You're gradually returning to work
Your earnings are below your normal income

You must report any work or income on your bi-weekly reports.

What happens after 26 weeks?

If you're still unable to work after 26 weeks of EI sickness benefits:

Apply for CPP Disability Benefits: Long-term disability through Canada Pension Plan (CPP-D)
Use employer disability insurance: If you have long-term disability coverage
Apply for provincial disability support: Varies by province (ODSP in Ontario, etc.)

⚠️ Employer obligations during sick leave

While on EI sickness benefits:

Your employer must hold your job (in most provinces) for a certain period
Job protection varies: 17 weeks (Ontario) to no protection (some provinces)
Benefits may continue (you pay your share)
Seniority continues to accrue

Check your province's employment standards for job protection details.

Other EI benefits

Compassionate care benefits

Purpose: Care for a family member who is gravely ill with significant risk of death within 26 weeks

Duration: Up to 26 weeks
Payment: 55% of average weekly earnings (max $668/week)
Required hours: 600 insurable hours
Can be shared: Multiple family members can share the 26 weeks
Medical certificate required from doctor

Family caregiver benefits

For adults:

Care for seriously ill or injured adult family member
Duration: Up to 15 weeks
Payment: 55% of average weekly earnings
Can be shared among family members

For children:

Care for critically ill or injured child under 18
Duration: Up to 35 weeks
Payment: 55% of average weekly earnings
Can be shared among family members

EI benefits for self-employed

Self-employed people can opt into the EI program to access:

Maternity benefits
Parental benefits
Sickness benefits
Compassionate care benefits
Family caregiver benefits

Important notes:

You cannot access regular EI benefits (unemployment) as self-employed
You must register and pay EI premiums for at least 12 months before claiming
Once you opt in, you cannot opt out
You pay both employee and employer premiums (about 2.4% of your net self-employment income)

Registration: Register through your Service Canada account or by calling 1-800-206-7218

How to appeal an EI decision

If your EI claim is denied, you can:

Request reconsideration: Ask Service Canada to review your case (within 30 days)
Appeal to the Social Security Tribunal: If reconsideration is denied (within 365 days)
Get free help: Community legal clinics can help with appeals

Common reasons for denial:

Quit your job without just cause
Fired for misconduct
Not enough insurable hours
Not available to work
Refused reasonable job offer