Necessary info to pay New Brunswick staff accurately & on time

If you’re a business in New Brunswick (NB) or an organization with employees in the province, you’ve come to the right place for the intel you need to know! We understand that Canadian businesses like yours may appreciate a hand up when it comes to navigating the intricacies of payroll legislation. And truth be told, assisting local businesses to help them remain compliant is kind of our jam…

Today, we’re here to answer some of the questions most commonly asked of our own payroll pros, including minimum wage, overtime, paid public holidays, employee leaves, and more… and we haven’t forgotten about those recent legislation changes either!

Minimum wage

NB employers are required to pay employees at least minimum wage for each hour of work, including those who are paid by salary, commission, and for piecework. There are also different minimum wage rates applicable to different employee occupations.

Here’s what employers need to know about minimum wage in NB:

• NB has a general minimum wage rate, which employers should note increased on April 1, 2024.
• There’s a special minimum wage rate for employees in certain categories of government construction work.
• There’s a special minimum wage rate for employees who are counselors or program staff at residential summer camps.

Payworks pro tip: within the Payworks application, there are minimum wage warnings and pop-up reminders to help payroll professionals and business owners stay on top of changing legislation throughout the year.

For more information on minimum wage in NB, visit: https://www2.gnb.ca/content/dam/gnb/Departments/petl-epft/PDF/es/FactSheets/MinimumWageOvertime.pdf?random=1718125204577.

Overtime & legislated breaks

Overtime is regulated on a weekly basis, at 44 hours per week. Under the Occupational Health and Safety Act, employers are legislatively required to provide a weekly rest period that consists of a minimum of 24 consecutive hours. Employers are also required to allow employees who’ve worked five consecutive hours a minimum of one half hour food and rest break. For more information on legislated breaks in NB, visit: https://www2.gnb.ca/content/gnb/en/corporate/promo/immigration/working-in-nb/employee-rights-and-obligations.html#:~:text=All%20employees%20are%20entitled%20to%20food%20and%20rest%20breaks%20under,five%20consecutive%20hours%20of%20work.

There’s a minimum overtime wage which qualifying employees in the province must be paid, and like the general minimum wage, this rate changed in 2024 as well.

Here’s what employers need to know about the overtime rate in NB:

• Eligible employees are to be paid at least one and a half times minimum wage for each hour of overtime worked.
• As of April 1, 2024, the minimum overtime wage rate is $22.95 per hour.
• Banking overtime is not permitted in NB.

For more information on overtime in NB, visit: https://www2.gnb.ca/content/dam/gnb/Departments/petl-epft/PDF/es/FactSheets/MinimumWageOvertime.pdf.

Payworks pro tip: for an overview of overtime and the steps to consider in making a strategic plan that clearly defines overtime, visit: https://blog.payworks.ca/overview-of-overtime-employers-should-have-a-strategic-plan-that-clearly-defines-overtime.

Paid public holidays & holiday pay

In NB, there are eight paid public holidays where eligible employees either don’t work but still receive their regular day’s pay, or do work and receive their regular day’s pay in addition to one-half times their regular wage rate for the hours worked.

Another one of NB’s unique legislative elements is the employee eligibility criteria for holiday pay. In the 12 months prior to the public holiday, an employee has to have been employed for a minimum of 90 calendar days (which includes non-working days) in order to receive it. The employee also has to have worked their regularly-scheduled shift both before and after the public holiday (although employers should note that the shift doesn’t have to immediately proceed or follow the holiday). NB employers should also be aware that for employees who work on a public holiday, there has to be agreement to do so from the employee. There are also two exceptions to qualifying for holiday pay in NB, which are:

• The employee cannot have a superseding agreement in which they decide the days to work or not.
• There are specific occupations exempt by legislation (for a list of occupations, NB employers should contact the Employment Standards Branch).
  
  

Here’s a list of the public holidays in NB:

1. New Year’s Day
2. Family Day
3. Good Friday
4. Canada Day
5. New Brunswick Day
6. Labour Day
7. Remembrance Day
8. Christmas Day

Payworks pro tip: By using Payworks’ Time Management solution’s Stat Pay Calculator, public holiday pay can be calculated in under five clicks! The number of stat holiday days are entered for the pay period and from there, the statutory holiday pay is calculated on your behalf for each employee and based on your businesses’ jurisdictional legislation. These tallies can be reviewed and then applied to payroll, with the Stat Pay Calculator values visible on the Pay Grid. Another intuitive feature is that our Time Management solution will apply employee eligibility rules surrounding public holiday pay to the Stat Pay Calculator.

For more information on paid public holidays in NB, visit: https://www2.gnb.ca/content/dam/gnb/Departments/petl-epft/PDF/es/FactSheets/PublicHolidaysVacation.pdf.

Employee leaves

There are a number of Employment Standard leaves of which NB employers should be aware, including…

Bereavement leave

Many jurisdictions across Canada have legislation surrounding an employee leave in the event of a death of a close family relationship. In NB, employers are legislatively required to provide up to five consecutive days of unpaid leave, which is to start no later than the day of the funeral.

Family responsibility leave

Employers are required to provide up to three days per calendar year to employees who request a leave of absence for the health, care, or educational needs of those in a close family relationship.

Maternity and child care leave

All parents are entitled to childcare leave in NB, while any pregnant employee is entitled to maternity leave.

For more information on maternity and childcare leave in the province, visit: https://www2.gnb.ca/content/dam/gnb/Departments/petl-epft/PDF/es/FactSheets/MaternityChildCareLeave.

For more information on Employment Standard leaves in NB, visit: https://www2.gnb.ca/content/dam/gnb/Departments/petl-epft/PDF/es/FactSheets/OtherLeaves.pdf.

WorkSafeNB– updates as of July 1, 2024

NB employers are subject to WorkSafeNB premiums, which “cover all current and future costs associated with that year’s workplace injuries, including health care, rehabilitation and wage replacement benefits.” According to WorkSafeNB’s website, rates are set using a combination of components that includes grouping and assessing employers in similar industries and accident risk profiles and ensuring coverage for all safety and prevention programs and administrative expenditures.

For more information on WorkSafeNB’s industry assessment rates and premium rate guide, visit: https://www.worksafenb.ca/employers/insurance/understanding-your-rate/.

Benefit enhancements to WorkSafeNB that took effect July 1, 2024

As of July 1, 2024, WorkSafeNB increased the loss of earnings benefit and adjusted the maximum annual earnings.

• The wage loss benefit for injured workers has increased from 85% to 90% of net earnings.
• The maximum annual earnings on which an employer would pay premiums has increased to $82,100.

For more information on the benefit enhancements to WorkSafeNB, visit: https://www.worksafenb.ca/about-us/news-and-events/news/2024/worksafenb-announces-significant-benefit-enhancements-for-new-brunswick-workers-1/#:~:text=Once%20passed%2C%20starting%20July%201,Maximum%20Annual%20Earnings%20(MAE)..

Our in-house payroll pros receive questions pertaining to Canadian legislation (like these!) from our clients – who love our one-to-one service model and being assigned a designated, knowledgeable rep who’s there to answer their call.

To stay better-informed on payroll changes, download the Payworks Payroll Guide: a comprehensive resource that contains both legislative and regulatory info to keep you and your business up to date on the information you need to pay your employees on time and with confidence. Get your FREE copy: https://www.payworks.ca/landing-pages/campaigns/payroll-guide.