What are the standard benefits packages in Canada?
Employees in Canada are entitled to social insurance contributions made by their employer, as well as the following benefits:
- Public holidays
- Annual paid time off
- Parental leave (usually unpaid)
Employers may offer additional benefits to their employees as they see fit. A local PEO can ensure that these benefits are compliant with local labor law and are well-documented and managed for your company.
Mandatory Benefits
The Canadian social security system offers the following benefits, which are regulated by both the federal government and the province where individuals are employed:
- Retirement
- Unemployment
- Disability
- Healthcare
Specific benefits and contribution rates vary significantly between each of Canada’s 13 provinces and territories. For example, public healthcare benefits are delivered by province.
All Canadian and foreign employees require a Social Insurance Number (SIN) to work in Canada and access government benefit programs. Foreign employees may apply for the SIN once they receive their work permit or study permit.
Private Health Insurance
Canadian healthcare is publicly funded nationwide, but it is run on the provincial level. To access public healthcare, an employee must hold a provincial healthcare card issued by the province’s health ministry. Due to this comprehensive system and the high quality of Canadian healthcare and medical professional training, less than 1% of healthcare needs are serviced outside the public system.
Other Benefits
Employers may feel free to offer additional benefits such as extended leave, transportation assistance, housing, or other allowances.
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