Key Labor Facts for Employment and Employees in New Brunswick

As an employer in New Brunswick, staying informed about key labor regulations is crucial for compliance and fostering a fair workplace. This comprehensive guide covers essential employment standards, minimum wage requirements, overtime rules, rest periods, holiday entitlements, vacation policies, termination procedures, and other critical aspects of labor law in the province.

Key Labor Facts in New Brunswick

Minimum Wage and Compensation

As of April 1, 2024, the general minimum wage in New Brunswick is $15.30 per hour. This rate applies to most employees, with specific rates for certain industries and positions. Employers must ensure that all workers, including those paid by salary, commission, or piecework, receive at least the minimum wage for each hour worked. Special minimum wage rates exist for certain categories of government construction work and for employees who are counselors or program staff at residential summer camps.

Hours of Work and Overtime

The standard workweek in New Brunswick is 44 hours. Employees are entitled to overtime pay at 1.5 times their regular wage for hours worked beyond 44 per week. As of April 1, 2024, the minimum overtime wage rate is $22.95 per hour. It’s important to note that banking overtime is not permitted in New Brunswick, meaning all overtime must be paid out rather than accumulated as time off.

Employers must provide employees with a pay statement for each pay period, detailing hours worked, wage rate, earnings, and deductions. This transparency ensures that employees understand their compensation and helps prevent disputes over pay.

Rest Periods and Breaks

New Brunswick labor laws mandate that employees receive at least 24 consecutive hours off work each week. Additionally, workers are entitled to a 30-minute unpaid meal break after 5 consecutive hours of work. These rest periods are crucial for maintaining employee well-being and productivity.

Employers must also provide a work schedule to employees at least one week in advance, allowing workers to plan their personal lives and maintain a healthy work-life balance.

General Holidays and Holiday Pay

New Brunswick recognizes seven general holidays: New Year’s Day, Good Friday, Canada Day, New Brunswick Day, Labour Day, Remembrance Day, and Christmas Day. Eligible employees are entitled to take these days off with holiday pay, provided they meet certain criteria outlined in the Employment Standards Act.

Holiday pay calculations can be complex, especially for employees with varying schedules or those who work on the holiday. Employers should familiarize themselves with the specific rules governing holiday pay to ensure compliance and fair compensation.

Vacation Entitlement and Pay

Employees in New Brunswick earn 2 weeks of vacation after each 12-month period of employment, increasing to 3 weeks after 8 years of continuous service with the same employer. Vacation pay is calculated at 4% of gross wages for employees entitled to 2 weeks of vacation and 6% for those entitled to 3 weeks.

Employers must grant vacation time within 4 months of the employee becoming entitled to it and should keep accurate records of vacation accrual and usage. It’s also important to note that vacation pay must be paid out on termination if unused.

Termination Notice and Severance

Notice periods for termination in New Brunswick range from 1 to 8 weeks, depending on the length of employment. The scale is as follows:

– 3 months to 1 year: 1 week

– 1 year to 3 years: 2 weeks

– 3 years to 5 years: 3 weeks

– 5 years to 10 years: 5 weeks

– 10 years or more: 8 weeks

Employers must provide written notice or pay in lieu thereof when terminating an employee without cause. It’s crucial to document the reasons for termination and ensure that the process complies with employment standards and human rights legislation.

Workplace Safety and Employee Rights

New Brunswick employers are obligated to provide a safe and healthy workplace, including proper training and equipment. Employees have the right to refuse unsafe work without fear of reprisal, and employers must have procedures in place to address workplace hazards and incidents.

Discrimination based on protected grounds such as age, race, gender, sexual orientation, disability, and other factors is prohibited in all aspects of employment. Employers must accommodate employees with disabilities up to the point of undue hardship and implement mandatory workplace harassment policies.

Leave Provisions and Job Protection

Parental and maternity leave provisions are in place, with job protection for eligible employees. As of December 2, 2024, employees are no longer required to provide a medical certificate for the first two consecutive days of paid sick leave, reducing the burden on both employees and healthcare providers for short-term illnesses.

Employers should be aware of various other leave entitlements, such as bereavement leave, family responsibility leave, and domestic violence leave, ensuring that their policies align with provincial standards.

Additional Employment Standards

– Employers must keep employment records for at least 36 months after the work is performed.

– Youth employment has specific regulations, including restrictions on working hours for those under 16 years old.

– Employers must comply with privacy laws regarding employee personal information.

– Reasonable notice or pay in lieu of notice is required for temporary layoffs exceeding 6 days.

– Employers are required to reimburse employees for work-related expenses.

– Deductions from wages are limited to those required by law or authorized in writing by the employee.

– Employers must provide tools and equipment necessary for the job, or compensate employees who provide their own.

– Tips and gratuities belong to employees and cannot be withheld by employers.

– Employees have the right to request flexible work arrangements after 6 months of continuous employment.

Staying updated on these standards is essential for legal compliance and maintaining a positive work environment. Employers should regularly review and update their policies to ensure they align with current labor regulations in New Brunswick. By understanding and implementing these key labor facts, employers can create a fair, compliant, and productive workplace that benefits both the business and its employees.