Stat Holidays and Holiday Pay in Ontario

Understanding Stat Holiday Pay in Ontario (2025–2026)

Statutory holiday pay, also known as public holiday pay, is the amount most employees in Ontario are entitled to receive when a public holiday occurs.

It is distinct from vacation pay, which follows separate rules under Ontario’s Employment Standards Act, 2000 (ESA).

Eligibility for Statutory Holiday Pay

Not all employees automatically qualify for statutory holiday pay in Ontario.

To be eligible, employees must meet the following ESA requirements:

• They must work their entire scheduled shift on the public holiday (if required or agreed).
• They must meet the “Last and First Rule.”

The “Last and First Rule” means the employee must work both the last regularly scheduled workday before and the first regularly scheduled workday after the public holiday, unless they have reasonable cause for missing one of those days (for example, illness or family emergency).

Even if an employee does not meet the eligibility criteria, they may still qualify for premium pay for hours worked on the public holiday.

Premium Pay for Statutory Holidays

If an employee works on a public holiday, they are entitled to 1.5 times (1½×) their regular rate of pay for every hour worked.

Alternatively, the employer and employee may agree in writing to substitute the holiday for another working day.

Example: If an employee normally earns $20/hour, their premium pay for working on a public holiday is $30/hour in addition to (or instead of) public holiday pay, depending on the arrangement.

Substitute (Alternative) Holidays

A substitute holiday may be provided when:

• A public holiday falls during an employee’s vacation, or
• The employee agrees to work on the public holiday in exchange for another paid day off.

Under the ESA, the substitute holiday must generally be taken within three months of the public holiday, or within 12 months if both parties agree in writing.

Special Rules for Certain Industries

Certain industries and occupations have special statutory holiday rules under Ontario’s ESA, including:

• Hotels, motels, and tourist resorts
• Restaurants and taverns
• Hospitals, nursing homes, and healthcare facilities
• Continuous operations (such as manufacturing or utilities)

These industries may operate differently when employees are required to work on public holidays, and employers must review the ESA special industry rules to ensure compliance.

Holiday Pay on Termination

If an employment relationship ends before a substitute holiday is taken, the employer must pay the employee their public holiday pay as part of their final wages.

This ensures employees are properly compensated for earned but untaken public holidays upon termination.