Country Payroll Guide Canada – Nunavut

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Key Facts

Capital
Iqaluit
Date format
yyyy/mm/dd
Currency
Canadian Dollar (CAD)
VAT
the standard rate is 5%

Contributions

Employers

National Pension
National Pension - 5.45%
Employment Insurance
Employment Insurance - 2.21%
Total Employment Cost
Total Employment Cost - 7.66%

Employees

National Pension
National Pension - 5.45%
Employment Insurance
Employment Insurance - 1.58%
Total Employee Cost
Total Employee Cost - 7.03%

Minimum Wage

Minimum Wage
The minimum wage in Nunavut is 16 CAD per hour.

Payroll

Payroll Cycle
Bi-Weekly, Monthly
13th Salary

There are no provisions in the law regarding 13th salaries.

Income Tax

Employee Income Tax (1)
Up to 46,740 CAD - 4%
Employee Income Tax (2)
46,740 - 93,480 CAD - 7%
Employee Income Tax (3)
93,480 - 151,978 CAD - 9%
Employee Income Tax (4)
Over 151,978 CAD - 11.5%

Working Hours

General Working Hours

40 hours per week.

Overtime

Overtime cannot exceed 20 hours per week, and must be paid at least 150% of the employee’s regular wage.

Leave

Paid Time Off
  • 1 to 5 years = 2 weeks annual leave
  • More than 5 years = 3 weeks annual leave
Public Holidays

11 public holidays.

Sick Days

Entitlements for employees’ sick leave are contained in collective agreements.

Maternity Leave

Once an employee has completed one year of employment, they are entitled to 17 weeks of unpaid maternity leave in the event of a pregnancy.

Paternity Leave

Entitlements for employees’ paternity leave are contained in collective agreements.

Parental Leave

37 weeks of unpaid parental leave, once the employee has provided at least 4 weeks written notice.

Other Leave

Compassionate Leave: 8 weeks of unpaid leave in the event of serious illness or death of an immediate family member.

Termination

Termination Process

The employer must provide reasonable cause for the termination of an employee. A warning must be given to an employee in the case of poor performance, before dismissal.

Employees must provide the employer with written notice in the event of them leaving. Fixed-term contracts may not be terminated by law.

Notice Period

The following notice periods are required:

  • Under 90 days = None
  • Between 90 days and 3 years = 2 weeks
  • 3 years or more = For every year after 3 years an additional week is required up to 8 weeks in total
Severance Pay

Severance payment is not required if the employer has provided the proper notice.

Probation Period

6 months.

Visa

Employment Visa

Canada has two main types of work permits — open work permit and employer-specific work permit.

The country’s Immigration Office issues open work permits to any immigrant who wants to work for an employer for a fixed amount of time.

Employer-specific permits allow people to work for only one specific employer in a certain location.