Overtime may seem like a simple concept, but when you start flipping through the rules, you may find it is actually quite complex. Employers often make mistakes when it comes to overtime rules.

In Saskatchewan, overtime is governed by The Saskatchewan Employment Act (the "Act"), which sets out requirements for when employers must pay an employee overtime. As a general rule, employers are required to pay employees who are eligible for overtime 1.5 times their hourly wage if they require or permit an employee to work overtime. An employee is to receive overtime pay when they work more than eight hours in a day or more than 40 hours in a week (whichever is greater). The weekly overtime threshold reduces to 32 hours in a week with a statutory holiday.

Mistake #1: Thinking an Employee Can Waive Their Right to Overtime

One of the most common mistakes employers make is thinking an employee can waive their right to overtime.

An employee cannot agree (verbally or in writing) to work for straight pay when they would otherwise be entitled to overtime. As with other minimum standards under the Act such as minimum wage, vacation entitlements and scheduling requirements, an employee cannot waive this right. Any attempt to waive this right is invalid and an employee is entitled to the overtime owed.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.