PEI (Prince Edward Island) Provincial Payroll Information
This page provides provincial payroll information for the province of Prince Edward Island. Click one of the links below to move directly to the corresponding section. To view Federal information, please click here.
Choose a Topic:
Minimum Wage Hours of work Worker's Compensation Leaves Statutory Holidays Minimum Age Pay Statements Terminations Vacationable Earnings
- TD1 - Basic Personal Amount - Every person employed in PEI and every pensioner residing in the province can claim the personal exemption amount of $13,500 for 2024 (up from $12,000 for 2023).
- Federal Basic Exemption - The Federal Basic Exemption amount is $15,705 in 2024 (up from $15,000 in 2023).
Note: This information is meant to serve as a guide only. Readers are encouraged to consult the full legislation of PEI's Employment Standards Act. Here are some online resources:
- Guide to the Employment Standards - Government of Prince Edward Island
- Employment Standards Act - Government of Prince Edward Island
- Employment Standards Act - CanLII
Minimum Wage in PEI
The province of Prince Edward Island has one wage rate standard as follows:
| Parties Applicable (requirements) | Wage Rate |
|---|---|
| General | $15.00 as of October 1, 2023 (rising to $15.40 on April 1, 2024). |
The maximum amounts that may be deducted from the wages of an employee where the employer furnishes board and lodging are as follows:
| Requirement | Rate |
|---|---|
| Board only | $45.00/week |
| Lodging only | $25.00/week |
| Board and Lodging | $56.00/week |
| Meals | $3.75/meal |
Hours of Work in PEI
The type of employee excluded from this legislature are truck drivers, ambulance drivers, fish processors, etc.
| Period | Rate |
|---|---|
| Maximum | The standard number of hours of work that an employer may require of an employee during a work week is 48 hours. * |
| Overtime | Any hours more than 48.00 hours/week. |
| Overtime Rate | 1 and 1/2 times the employee's regular rate of pay. |
| Break Period | 1/2 hour per consecutive 5 hours worked. |
| Rest Period | 24.00 consecutive hours/week and wherever possible shall include Sunday. |
* In most positions, the standard work week is 48 hours after which the employee is eligible for time and one-half their regular rate of pay (certain industries have exemptions to the standard work week). Please refer to PEI's Standard Work Week Exemption Order for more information.
Worker's Compensation in PEI
The Maximum Assessable Earnings amount for 2024 is $78,400 (up from $65,000 in 2023).
| Included | |
|---|---|
| Allowances (if taxable) | Pay in lieu of notice (if taxable) |
| Bonuses paid in cash | Pre-retirement with pay |
| Call back pay | Regular salary or wages/overtime |
| Call in pay | Shift premium |
| Clothing allowances (if taxable) | Short-term disability (employer-paid) when reported as income |
| Commissions | Sick pay |
| Gifts (if taxable) | Standby pay |
| Gratuities and tips (if taxable) | Temporary lay-off with pay |
| Long-term disability (employer-paid) when reported as income | Travel allowances (if taxable) |
| Maternity with pay | Vacation/Statutory Holiday Pay |
| Moving allowances (if taxable) | WCB-top up |
| Taxable Benefits such as: | |
| Board & lodging | Loans |
| Company car | Employer paid RRSP contributions |
| Life insurance | |
| Excluded | |
| Company loans | Provincial medical premiums |
| Directors' fee | Retiring allowance |
| Employer-provided automobiles | Severance pay |
| Group Life insurance | Sick pay on termination |
| Long-term disability paid by the employer | Stock options |
| Private health care | WCB award |
Leaves of Absence in PEI
| Adoption Leave | |
|---|---|
| Time with Employer | At least 20 weeks in the 52 weeks prior to the start date of the leave. |
| Required Notice | Four weeks written notice. |
| Length of Leave | 62 weeks. |
| Paid | No. Other federal programs may provide income replacement. |
| Bereavement Leave | |
| Time with Employer | N/A |
| Required Notice | N/A |
| Length of Leave | Three day leave for death of an immediate family member. |
| Paid | One day paid and up to 2 days unpaid (if the deceased is an immediate family member) or up to three days unpaid (if the deceased person was an extended family member). |
| Compassionate Care Leave | |
| Time with Employer | N/A |
| Required Notice | Supply medical certificate stating family member has a medical condition with risk of death in within 26 weeks. |
| Length of Leave | 28 weeks. |
| Paid | No. Other federal programs may provide income replacement. |
| Court Leave | |
| Time with Employer | N/A |
| Required Notice | N/A |
| Length of Leave | Any period that the employee is absent from work as a result of being involved with court and jury duties. |
| Paid | No. |
| Critically Ill Child Leave | |
| Time with Employer | 3 months. |
| Required Notice | A medical practitioner's certificate regarding the critically ill child. If this is not possible, the certificate can be issued as soon as practicable. |
| Length of Leave | Up to 37 weeks. |
| Paid | No. Other federal programs may provide income replacement. |
| Crime-Related Disappearance or Death of Child Leave | |
| Time with Employer | 3 months. |
| Required Notice | N/A |
| Length of Leave | Up to 52 weeks, commencing the first day of the work week during which the child disappears. Up to 104 weeks if the child dies. |
| Paid | No. Other federal programs may provide income replacement. |
| Family Leave | |
| Time with Employer | 6 months. |
| Required Notice | N/A |
| Length of Leave | Up to three days. |
| Paid | No. |
| Maternity Leave | |
| Time with Employer | At least 20 weeks in the 52 weeks prior to the start date of the leave. |
| Required Notice | Four weeks written notice. |
| Length of Leave | 17 weeks. |
| Paid | No. Other federal programs may provide income replacement. |
| Parental Leave | |
| Time with Employer | At least 20 weeks in the 52 weeks prior to the start date of the leave. |
| Required Notice | Four weeks written notice. |
| Length of Leave | 62 weeks. |
| Paid | No. Other federal programs may provide income replacement. |
| Reservists Leave | |
| Time with Employer | 6 months. |
| Required Notice | As soon as is reasonable and practical. |
| Length of Leave | The period necessary to accommodate the period of service for which the employee is required to be absent from work. |
| Paid | No. |
| Sick Leave | |
| Time with Employer | 3 months. |
| Required Notice | The employer may require the employee to provide the employer with a doctor's certificate. |
| Length of Leave | Three days. |
| Paid | No. |
| Voting Leave | |
| Time with Employer | N/A |
| Required Notice | N/A |
| Length of Leave | One hour for Provincial elections and three hours for Federal elections. |
| Paid | According to the Canada Elections Act, any eligible voter must have three consecutive hours to exercise their right to vote in a Federal eledtion on an election day. If an employee does not have three consecutive hours because of their work schedule, they must be granted the hours accordingly with pay. |
Statutory Holidays in PEI
| Holiday | 2024 | 2023 | 2022 | 2021 | Day Observed |
|---|---|---|---|---|---|
| New Year's Day | Mon., January 1 | Sun., January 1 | Sat., January 1 | Fri., January 1 | January 1 |
| Islander Day | Mon., February 19 | Mon., February 20 | Mon., February 21 | Mon., February 24 | 3rd Monday in February |
| Good Friday | Fri., March 29 | Fri., April 7 | Fri., April 15 | Fri., April 2 | The Friday before Easter Sunday |
| Canada Day | Mon., July 1 | Sat., Jul. 1 | Fri., Jul. 1 | Thu., Jul. 1 | July 1 |
| Labour Day | Mon., September 2 | Mon., September 4 | Mon., September 5 | Mon., September 6 | The First Monday in September |
| Remembrance Day | Mon., November 11 | Sat., November 11 | Fri., November 11 | Thu., November 11 | November 11 |
| Christmas Day | Wed., December 25 | Mon., December 25 | Sun., December 25 | Sat., December 25 | December 25 |
According to the Canadian Labour Standards Code, whenever the following holidays land on a Saturday or Sunday, New Year's Day, Canada Day, Christmas Day the employer must grant his or her employee a holiday with pay on the next working day immediately preceding or following the holiday, providing that the holiday is a provincial requirement. If a statutory holiday is worked on a regularly scheduled work day then the employee must receive either their regular pay plus time and a half or their regular wages plus a day off with pay before their annual vacation.
According to the Retail Business Holidays Act, retail business practices are prohibited on a holiday such as Boxing Day, Christmas Day, Good Friday, Labour Day, Thanksgiving Day, Remembrance Day, New Year's Day and every Sunday. The exceptions are the last Sunday in November and all Sundays in December that are prior to Christmas Day - these days are specifically excluded. On these Sundays, retail businesses are permitted to operate.
How to Calculate Statutory Holiday Pay...
Minimum Age in PEI
A child under 16 is permitted to be hired as long as the work is not in any way harmful to the child. Unless there is special permission provided, an employer cannot hire a child under 16 for more than three hours on a school day or eight hours on any other day. The child is also not allowed to work more than 40 hours in a week or work any hours between 11:00 p.m. and 7:00 a.m. Work during regular school hours is not permitted with the exceptions being that of a recognized apprenticeship or vocational training program.
Pay Statements in PEI
For Prince Edward Island, the pay is required at least every 16 days. At most, this pay can exclude 5 working days up to the day that the pay goes out. By legislation, PEI pay statements must contain the following (though employers may include additional items):
| Pay Statement Inclusions | |
|---|---|
| Dates of pay periods | Other earnings and payments (incl. bonus, commissions, living allowance) |
| Itemized Deductions | Total hours worked |
| Gross earnings | Vacation pay with gross amount |
| Net pay | Pay in lieu of notice with gross amount |
| Employee and employer name | Statutory, public, general and holiday pay hours |
| Employer address | Overtime hours and rate |
| Rate of pay | |
Termination Notice in PEI
| Length of Employment | Written Notice Required (Employer) | Written Notice Required (Employee) |
|---|---|---|
| Under 6 months | None | None |
| Between 6 months and 5 years | 2 weeks or 2 weeks pay in lieu of notice | 1 week |
| Between 5 and 10 years | 4 weeks | 2 weeks |
| Between 10 and 15 years | 6 weeks | 2 weeks |
| Over 15 years | 8 weeks | 2 weeks |
Group Termination - There is no provincial legislation stating required notice periods.
Vacationable Earnings in PEI
| Included | |
|---|---|
| Work related bonuses (cash) | Pay in lieu of notice/Termination pay |
| Bonuses (work related) | Regular salary/wages/retroactive |
| Call in pay | Severance/Plant severance (if employer has policy of paying out unlegislated vacation pay) |
| Call back pay | Statutory - Company Holidays (floaters) |
| Sick pay - Sick days | Commissions earned at employer's premises (if employee paid combination of salary and commission, majority earned is salary) |
| Standby pay | Commissions earned by a route salesman (if employee paid combination of salary and commission, majority earned is salary) |
| Shift premium | Commissions earned away from employer's premises (if employee paid combination of salary and commission, majority earned is salary) |
| Overtime pay | Statutory - General Holidays |
| Taxable Benefits such as: | |
| Board & lodging | |
| Excluded | |
| Profit Sharing | Allowances (Car, clothing, housing, moving, travel, meals, tools) |
| Discretionary bonuses (cash) | Previously paid vacation pay |
| Directors' fees | Gifts (cash or in kind) and awards |
| Tips and Gratuities | Maternity leave top-ups |
| Retiring allowance | |
| Taxable Benefits such as: | |
| Company car | Interest-free loans |
| Parking | Company-paid RRSP contributions |
| Provincial Medical | Group term life insurance |
| Stock options | |
| Length of employment | Entitlement |
|---|---|
| After first year and up to to 8 years | 2 weeks or 4% |
| 8 years or more | 3 weeks or 6% |
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