Monday, May 17, 2010

Beginners Guide To Canadian Working Conditions & Entitlements

There are a great many things to consider when taking up employment in Canada. It is a big decision that will likely affect your entire family, so think carefully about your job offer before accepting. Before signing an employment contract, enquire about:

Salary and wages

Is the salary offered suited to the living costs for the city in which you’ll live? Will it rise with inflation? How often will it be reviewed?

Are there any bonuses, commissions or overtime payments? A lower hourly rate / annual salary may be offset by bonuses and commissions.

If the hiring company is from outside Canada, they may be assessing wages based on the cost of living in another country or even another province. This may be acceptable when the place where you live has a lower cost of living, but in the reverse situation it can make it very difficult for you to meet basic necessities.

Relocation

Will there be any relocation assistance available? What are the minimum and maximum benefit allowances for this, and will it be adequate if you need to move? Are you required to pay the fees yourself with reimbursement later? Relocation can be quite costly so be sure to discuss this matter up front.

Accommodation

Is accommodation included in your employment? Some employers will include benefits or lodging when you first move to a new location while you seek more permanent accommodation. Make sure you ascertain whether there are additional costs for this.

Working hours

How many hours a week are you expected to work, and will those hours be on shifts or rotations? Will you work the same days and hours each week, or will they change? What are your earliest possible starting and finishing times, and are you required to use a time card or computer clock-in?

Part time or seasonal

Are part time hours available? Are your working hours flexible in case you need to accommodate other things in your life? And can you take extended periods of leave, such as an entire semester for school, without losing your seniority or salary?

There are many other things to take into consideration when seeking employment. One of the best things you can do is to make a list of all possible questions you have and take it with you to the interview so that don’t forget anything. Signing an employment contract in Canada should be taken just as seriously as it would be in your home country, if not more so. Ask any questions you have ahead of signing, so there is no confusion after your move.

Holiday entitlements in Canada

In Canada, all employees are entitled to two weeks of paid holidays (annual leave) per year, either taken or received. This means that an employee can either take the two weeks off with pay, or get paid for two weeks more than he or she actually worked. After six years of employment with the same employer, an employee will be entitled to three weeks of paid vacation annually.

Vacation pay is calculated as a percentage of the gross wages an employee earns during the each year of employment. Where the vacation entitlement is two weeks, vacation pay is four percent of earnings in the entitlement year; where the entitlement is three weeks, the vacation pay is six percent of earnings.

You may not receive a full two week entitlement in your first year with a Canadian company; if you don’t work a full calendar year at a company, holiday pay is calculated on a pro rata basis. Though not required by law, many employers increase holiday time allowance in an employee’s third year with a company. This is dependent on the company and may be something to ask about when negotiating your salary package. Keep in mind that not all employers will allow unused holiday time to roll over into the next year. Some employers will allow you to carry over a maximum percentage of your holiday time to the next year, though this is not required by Canadian law.

Depending on the province, there are an additional six to 10 paid public holidays offered each year. Most local governments, banks, businesses and schools are also closed on these days, and these days may not be given on the actual day they fall, as is the case on ones that fall on weekends, in which case they may be given a day late or a day early to create a three-day weekend.

Joining a union in Canada

Canada is known for its almost 1000 different unions and their many members. The choice to join is up to each individual employee, but there are factors to consider and understand before making your decision.

Unions offer many benefits to workers, and Canada currently has more than 4 million union members across the country. Canada’s unions are the strongest in industries such as manufacturing and transport, and are relatively low-key in professions such as services and finance.

What exactly is a union?

Under the Labour Code of Canada, all employees have the right to form unions. They are a group of like-minded individuals or workers who come together to better bargain against company management in regards to issues like wages, hours or work and terms of employment, representing the workers’ best interests. Though many places are almost completely unionised, you do have the right to choose not to be a part of the union.

Certain types of employees, such as farm workers, domestic employees of families and managers, cannot be a part of a union or collective bargaining system. In these cases, should a dispute arise, other measures must be followed to try and come to a settlement.

Advantages of unions

For a tax-deductible fee, union members are generally better protected when disputes in wage, hours and terms of employment arise. You have better negotiating power than that of a single person. Some unions also have incentives like medical and dental benefits or will rally against a company for the right to such benefits.

Unions also pay their workers a percentage of their daily pay even when the workers do not work because of a strike. If you are out on the picket line with the rest of the union, you will receive a prorated amount of your wage. This can offset the financial strain that a strike or labour dispute can cause.

Disadvantages of unions

If the union strikes, you are a part of the strike. You may not always agree with what they decide upon, as only an 80% yes vote is required to carry out various actions within the union. As part of a union you may be unable to work other places that are not unionised.

Unions can work both for and against the worker. Dependent on the profession you are in, you should fully research the unions associated with it before deciding whether or not a union is something you should belong to.

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