How to enable Statutory Holiday Pay in the Portal

Statutory holiday pay feature ensures eligible employees are paid for recognized holidays according to federal, provincial, and territorial employment standards.

In Canada, the rules for statutory holiday pay vary by jurisdiction and determine:

Which holidays are considered statutory and how they are observed
How far back earnings are considered when calculating entitlement
Which earning types are eligible to be included in the calculation

Corfix supports statutory holiday pay calculations for all Canadian provinces and territories.

How does Corfix calculate Statutory Holiday Pay?

Entitlement Amount Calculations

Corfix calculates statutory holiday pay based on jurisdiction-specific rules. Each province or territory defines:

The length of the earnings lookback period (such as preceding 3 weeks, 4 weeks, or 30 calendar days)
The divisor used to calculate the entitlement (such as average hours or wages worked during lookback period)
Which earning types are eligible (such as salary, bonuses and vacation pay)

Prorations

In some cases, the earnings lookback period overlaps partially with one or more pay periods. When this occurs, Corfix prorates earnings based on the portion of the pay period that falls within the eligible date range.

For example, if a calculation includes 5 days of a 30-day pay period, earnings from that pay period are prorated at 5/30.

Statutory Holiday Pay on Statutory Holiday Pay

Some jurisdictions require statutory holiday pay from one holiday to be included as eligible earnings for another holiday.

For example, statutory holiday pay for Christmas may be included when calculating Boxing Day, and both may be included for New Year’s Day.

Corfix automatically accounts for statutory holiday pay earned in both prior and current pay periods when required.

Limitations

Eligibility

Corfix does not currently assess employee eligibility for statutory holiday pay. If the statutory holiday pay tax property is applied to a work assignment, the employee is assumed to be eligible.

Industry-Specific Rules

Certain industries, such as construction, may have additional statutory holiday pay rules. Corfix does not currently apply industry-specific variations.

How to Set Up Statutory Holiday Pay Configuration

To calculate statutory holiday pay:

Select and navigate to the employee's profile you want to update.
Select Stat Holiday Pay
Create a Stat Pay Config
Click Create Stat Pay Config.
In Effective From, enter the date this setting should begin.
Set Auto Calculate to:
- Do not calculate: indicates in payroll that a statutory holiday falls within the pay period but does not automatically calculate the statutory holiday pay amount
- Provincial rules only: calculates statutory holiday pay based on provincial rules and eligible earnings for the employee
  - (Optional) Override the Stat Holiday Province: Use the Stat Holiday Province dropdown to apply a different province’s stat pay rules than the employee’s default Province of Employment. Default is the worker's Province of Employment
  - (Optional) Use custom look back period: Use this setting to control how far back the system looks at earnings for the calculation:
    - Before Holiday Day: Looks at earnings up to the day before the holiday.
    - Before Holiday Week: Looks at earnings up to the start of the week containing the holiday.
    - Before Holiday Pay Period: Looks at earnings up to the start of the pay period that includes the holiday.
- Fixed hours: calculates statutory holiday pay using a fixed number of hours and a selected pay rate.
  - Enter the fixed hours to be used to calculate the statutory holiday pay
    - Select a pay rate rule. If employee has multiple pay rates, this setting determines which one is used for the statutory pay calculation. Choose between:
      - Highest rate
      - Highest expected hours per week
      - Highest expected weekly amount
      - Earliest effective from
      - Latest effective from
- Higher of hours or provincial rules: calculates statutory holiday pay by comparing the hours-based amounts and provincial rules calculations, applying the amount that is greater
  - Enter the fixed hours to be used to calculate the statutory holiday pay for comparison against provincial rules calculations
    - Select a pay rate rule. If employee has multiple pay rates, this setting determines which one is used for the statutory pay calculation. Choose between:
      - Highest rate
      - Highest expected hours per week
      - Highest expected weekly amount
      - Earliest effective from
      - Latest effective from
Click Save to apply and save the configuration.

What happens if statutory holiday pay was not configured?

If statutory holiday pay was not configured, the system will not automatically identify or calculate the statutory holiday pay amount. An admin can manually add statutory holiday pay to a payroll. If it was missed in a prior payroll, the amount can be added to the next recurring payroll or paid through an off-cycle payroll.

What happens if an employee is not eligible for statutory holiday pay?

If an employee does not meet the eligibility criteria for statutory holiday pay, the admin should manually override the statutory holiday pay amount to reflect the correct entitlement, including setting it to $0 if required.

What if an admin disagrees with the statutory holiday pay calculation?

If the calculated statutory holiday pay amount is not correct, the admin can manually override the amount on the payroll.

To prevent automatic calculations going forward, the admin can also create or update a statutory holiday pay configuration and set to Do not calculate. This will still notify the admin when a statutory holiday occurs, but the system will not automatically calculate the statutory holiday pay amount.

Why didn’t statutory holiday pay auto-calculate?

Statutory holiday pay may not auto-calculate if this is the employee’s first payroll or if no payrolls were processed for the employee during the required lookback period. In these cases, the system does not have enough information to calculate the entitlement automatically.