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Alberta Minimum Wage Increase

Payroll
In 2016, the Alberta Government made a commitment to increase the minimum wage to $15.00. Workers will see an increase in their hourly pay from $13.60 to $15.00 starting October 1st, 2018. This is the third and final pledged hike implemented by Premier Notley’s government to increase minimum wage to $15.00. The new wage increase being in effect will also remove any lower minimum wage brackets for liquor servers and adolescents.  Minimum Wage Rates for 2017-2018 Most employees (general minimum wage) - from $13.60/hour to $15.00/hour Salespersons (including land agents and certain professionals) - from $542.00/week to $598.00/week Domestic employees (living in their employer's home) - from $2,582.00/month...

Ontario New Pay Transparency Legislation

Payroll
Bill 3 will bring more transparency on the hiring processes for women looking for jobs in the Province of Ontario.  Women will have more information regarding compensation and how it compares to their male counterparts, giving women more negotiating power during the hiring process. The bill is set to become law on January 1st, 2019.  At which point Ontario will: Require all publicly advertised job postings to include a salary rate or range Bar employers from asking a job candidate about their past compensation Prohibit reprisals against employees who discuss or disclose compensation Establish a framework to require larger employers to track and report compensation gaps based on...

Effective Communication and Payroll

Payroll
Along with mathematical and technical skills, written and oral communication skills are essential to the payroll professional in today’s workplace.  Effective communication enables the payroll department to be legislatively compliant, increase productivity and create good working relationships with other departments within the business.   How is communication used by the payroll professional? It is used as an education tool to gain the support of other departments through communicating legislative requirement and deadlines. It is used to keep employees up to date on changes to payroll and benefits, which in turn typically increases overall morale.   5 ways you can improve communication Consider your audience – who are you...

Alberta Employment Standards Legislation Changes 2018

Payroll
Bill 17: The Fair and Family-Friendly work place Act came into effect as of January 01st, 2018 in Alberta. As of January 1st a few things have changed Compressed work weeks Overtime Banking Agreements General Holiday Pay Vacations and Vacation pay Termination and Temporary layoff Youth employment Legislated Leaves and Leave Eligibility The compressed weeks as of January 01st will be known as ‘Averaging Agreement’. This requires the support of the majority of affected employees to be in effect. The term of agreement cannot exceed 2 years unless part of a collective Agreement. Overtime rules and banking have also had some changes. The rules regarding overtime hours worked...

Changes to Employment Insurance Program Announced for 2018

Payroll
The federal government recently announced a new Employment Insurance (EI) premium rate amount as well as some new investment changes to the program that will provide a greater benefit to Canadians. The new rate for 2018 for employees is $1.66 for $100.00 of insured earnings which equates to an increase of $0.03 while the employer rate will increase to $0.04.  While this is a slight increase for 2018, it still represents a reduction of $0.22 from the 2016 rate of $1.88.  It is also lower than the projected rate of $1.68 per $100.00 of insurable earnings that was included in Budget 2017.  The Canada Employment Insurance Commission has...

Effectively Managing in a Unionized Environment

Payroll
Did you know that the public sector in Canada is 75% unionized, compared to only 17% in the private sector?  The key difference between a unionized and a non-unionized environment is the presence of a collective agreement.  A collective agreement is a negotiated contract that spells out the general rules and responsibilities for all parties. The payroll department must maintain compliance with the more than 200 Federal and Provincial regulatory requirements or there is a risk of fines and penalties which can be costly.  There are 4 key strategies which will help the payroll professional to effectively achieve their goals in a unionized environment:       Make...

Basic Exemption Changes in PEI and Saskatchewan

Payroll
Starting July 1, 2017 you may have noticed some changes with your payroll if you’re in the province of Saskatchewan or Prince Edward Island (PEI). Here are some of the changes for you to look for: Prince Edward Island - On April 7, 2017 the PEI budget announced that as of January 1, 2017 personal tax exemptions will increase from $8,000.00 to $8,160. For the first six months of the year a basic exemption of $8,000.00 was applied, so a pro-rated exemption of $8,320 will be apply for the remainder of 2017 commencing on the first payroll in July.  Starting January 1, 2018 the basic provincial exemption for...

Taxable Benefit – Automobile

Payroll
Do your employees receive an employment related benefit? The Canada Revenue Agency (CRA) considers a benefit to mean when the employer pays or gives something personal in nature to the employee. The result of the personal benefit is a taxable benefit. One of the most common taxable benefits is related to the use of an employer provided automobile or employee owned vehicle.  An employer provided automobile results in a taxable benefit to the employee when the vehicle is available to the employee for personal use. Both Federal and Quebec Tax Acts require the benefit to be reported as such. When calculating the benefit of an employer provided automobile,...

Budget 2017: Budget season is upon us again

Payroll
On March 22, 2017, the Canadian Minister of Finance introduced the Federal Budget for 2017-18. This plan is to build a world leading, innovation economy, create jobs, and grow the middle class. What will change, from a payroll stand point? Income Taxes: Distributing electronic T4 information slips without express consent. This will make getting your T4 easier and faster. Caregiver Credit: Simplifying the existing system of tax measures for caregivers by replacing the existing caregiver credit, infirm dependant credit and family caregiver tax credit with a new Canada Caregiver Credit.  This will better support to those who need it most. https://www.budget.canada.ca/2017/docs/plan/chap-04-en.html#Toc477707488 Tuition Tax credit: Extending the eligibility criteria...

Alberta Minimum Wage

Payroll
The minimum wage is the basic labour standard at which an employer can pay to the employees. It can also affect the rate at which other employees are being compensated. Many unions use the minimum wage as a starting point in which to negotiate wages. The government of Alberta is committed to increase the minimum wage to $15 per hour by 2018. This will apply to adults, liquor servers, and young people. Starting October 1, 2016 the minimum wage in Alberta will rise by $1.00 from $11.20 to $12.20, in October 1, 2017 to $13.60 and October 1, 2018 to $15.00 Among other changes, employees working for 3...