In Ontario, Do You Accrue Vacation Time While On Maternity Leave?

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In Ontario, employees can accumulate vacation time while on job-protected leave, such as pregnancy or parental leave. However, the wording of an employment contract or offer letter must be considered to determine whether the employee also earns vacation time. Under the Ontario Employment Standards Act (ESA), employees are entitled to vacation both during periods of active and inactive employment. Employees are entitled to a minimum of two weeks of vacation.

To qualify for parental leave in Ontario, an employee must have worked 13 weeks for their employer. However, those 13 weeks do not have to be active; they could be laid off, on vacation, or on another leave during all or part of that 13. Maternity leave is job-protected leave available to pregnant employees in Ontario. While it is unpaid time off of work, employees on maternity leave are still entitled to participate in their employer’s benefit plans and can.

In Ontario, employees continue to accrue vacation time when they are on a protected leave of absence, just as they continue to accrue service credits and seniority during the leave. Employees do not accrue vacation pay on vacation days while on mat leave, but it is counted in determining their vacation when they return to work.

In Canada, employers do not have to pay wages to someone who is on pregnancy leave. All new parents have the right to take parental leave – unpaid time off. If your total length of employment (including the time spent on pregnancy leave) exceeds 5 years, then you would qualify for 3 weeks of vacation time.

In summary, employees in Ontario can accumulate vacation time while on maternity and parental leave. However, the wording of an employment contract or offer letter must be considered to determine whether the employee also earns vacation time.

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What Are Employer Obligations During Maternity Leave In Ontario
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What Are Employer Obligations During Maternity Leave In Ontario?

In Ontario, under the Employment Standards Act (ESA), employees have specific rights and employer obligations during maternity leave. Maternity leave, often referred to as pregnancy leave, is up to 17 weeks long, which can commence as early as 17 weeks before the expected due date or as late as the day of birth. While employers are not mandated to pay wages during this unpaid leave, they must maintain the employee’s participation in benefit plans like pension, life insurance, and extended health benefits.

Pregnant employees must inform their employer at least two weeks before concluding their pregnancy leave if they intend to take parental leave. Employers are also required to reinstate employees to their original job or provide an equivalent position upon their return. Furthermore, while salary top-ups during maternity leave are not a requirement, some employers may opt to provide additional wage support.

Relevant to this section, pregnant employees can take up to 17 weeks of unpaid leave. The ESA ensures protection from dismissal or penalties when taking maternity or parental leave. Employees should be aware of their rights and obligations under the ESA, which governs various employment matters, including termination and minimum wage. Effective communication between the employee and employer is crucial during this leave period.

Do Federal Holidays Count During Maternity Leave
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Do Federal Holidays Count During Maternity Leave?

Holidays authorized under 5 U. S. C. 6103 or by Executive Order, as well as non-workdays established by Federal statute, will not count toward the 12-week entitlement for Family and Medical Leave Act (FMLA) leave. Eligible federal employees are entitled up to 12 administrative weeks of Paid Parental Leave (PPL) for qualifying births or placements while maintaining a parental role. Notably, PPL is a distinct category of paid leave and separate from accrued sick or annual leave.

When an employee takes FMLA leave for an entire week, with a holiday included, that week is fully counted as FMLA leave, regardless of the holiday. This was reinforced by the Federal Employee Paid Leave Act (FEPLA), effective October 1, 2020, which allows qualified federal employees up to 12 weeks of paid parental leave associated with a qualifying birth or placement. The law emphasizes that time in non-duty status, such as holidays, does not contribute to the 12-week work obligation.

Moreover, employees on maternity leave continue to accrue their usual holiday entitlements, and unutilized holidays can be carried over into subsequent leave years. Overall, these provisions aim to support employees during significant life events while clarifying how different types of leave are categorized and accounted for.

Do You Accrue Vacation Time On Maternity Leave
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Do You Accrue Vacation Time On Maternity Leave?

Maternity leave typically does not allow for the accrual of vacation time; however, employees are entitled to time off without pay during this period. Company policies may permit employees to "borrow" vacation time from the following year. The impact of maternity or parental leave on vacation entitlement depends on the employer’s vacation policy, which may align with employment standards legislation. Employees may not accrue vacation during unpaid leave, but can opt to use accrued paid leave (sick, personal time, vacation) during Family and Medical Leave Act (FMLA) leave.

While the law does not mandate that PTO accrues during FMLA, it does require that benefits earned before leave be retained. Eligible employees can take up to 12 weeks of parental leave for qualifying events, while maternity leave must be used consecutively, typically for up to six weeks post-childbirth. Employers may treat employees on paid leave similarly to others on paid time off, but policies vary. Employees generally do not earn PTO during a full pay period of unpaid leave.

It's wise to utilize accrued vacation or sick time to maximize benefits during maternity leave, but policies around PTO accumulation during FMLA are at the employer's discretion. Upon return, employees typically regain vacation time as if leave had not occurred.

Do Employees Accrue Vacation Time Over Pregnancy Leave In Ontario
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Do Employees Accrue Vacation Time Over Pregnancy Leave In Ontario?

Yes, in Ontario, employees do accrue vacation time during maternity leave, although they do not receive vacation pay during this period. Maternity leave is an unpaid leave of absence that can begin before childbirth or on the day of birth, lasting up to a maximum of 17 weeks according to the Ontario Employment Standards Act (ESA). During both active and inactive employment, employees are entitled to a minimum of two weeks of vacation annually. They are eligible to accumulate vacation time while on a job-protected leave, which includes pregnancy and parental leave.

This accumulation is tied to the length of employment, meaning an employee may qualify for vacation time once their leave ends. While employees continue to earn vacation time during maternity leave, it’s essential to check their employment contract regarding vacation pay entitlements. If an employee has accrued unpaid vacation before maternity leave, it could be addressed as a lump sum payment after their last active workday.

Furthermore, those with less than five years of service are entitled to two weeks of vacation each 12-month period, while those with over five years may be eligible for three weeks. Overall, while on unpaid leave, employees do garner vacation time, factoring into their total vacation entitlement upon return.

Do Paid Holidays Count Towards Maternity Leave On Reddit
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Do Paid Holidays Count Towards Maternity Leave On Reddit?

When a holiday occurs during a scheduled work week and an employee is on a full week of leave, that holiday will count against their 12-week Family and Medical Leave Act (FMLA) or California Family Rights Act (CFRA) entitlement. Employees generally do not receive holiday pay during FMLA leave, as no federal law mandates it. However, holidays are considered non-workdays and thus do not add to the total of Paid Parental Leave (PPL) entitlements if days fall within that leave period.

For example, if an employee's due date is December 26 and they wish to take Paid Parental Leave from December 11, 2021, through March 2022, they should note that holidays will eat into their FMLA allowance. Employees may use other types of leave, such as paid time off (PTB) or sick leave, before PPL begins. Furthermore, holidays do not extend PPL duration, so if an employee has scheduled off days while on leave, those do not affect the end date of their parental leave.

Employers differ in how they apply holiday benefits, so employees should confirm how their specific workplace accounts for public holidays and whether they are counted against their leave balance—specifically, if they apply to PPL or FMLA.

What Happens To Vacation Pay During Maternity Leave In Ontario
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What Happens To Vacation Pay During Maternity Leave In Ontario?

In Ontario, employees do not accrue Vacation Pay during Maternity Leave, but they do accrue Vacation Time while on Pregnancy Leave. Maternity Leave is an unpaid leave, with benefits mainly covered by Employment Insurance (EI). As of January 1, 2024, maternity leave pay is 55% of insurable earnings, up to a maximum of $61, 600. The Employment Standards Act (ESA) dictates that employees earn a percentage of their wages as vacation—4% for two weeks and 6% for three weeks.

While on a protected leave, such as maternity or parental leave, employees continue to accumulate vacation time along with service and seniority credits. Maternity Leave allows employees to defer accrued vacation time until their leave ends. If an employer’s vacation policy aligns with ESA standards, employees benefit from accrued vacation time during their leave, though vacation pay specifics may depend on their employment contract.

In summary, Ontario employees earn vacation time while on maternity leave, but not vacation pay. After returning to work, employees are entitled to vacation time equivalent to the period they were away, although actual vacation pay is influenced by individual contract terms. It’s crucial for employees to review their contracts to clarify their vacation entitlements. Additionally, while on maternity leave, employees retain their seniority and benefit participation, emphasizing that time taken off is treated as continuous service.

Do You Accrue A Holiday On Unpaid Leave
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Do You Accrue A Holiday On Unpaid Leave?

Annual leave typically does not accrue during unpaid leave, but employers may allow paid or unpaid holiday leave during this absence, which should be clearly outlined in the employee handbook. In the UK, employees on unpaid leave continue to accrue statutory annual leave, amounting to 28 days, including bank holidays. The law around unpaid leave is minimal, but the Working Time Regulations 1998 (WTR) specify that every worker is entitled to 5. 6 weeks of holiday annually.

While unpaid leave does not confer the right to payment, employees are still entitled to this holiday accruement. Benefits like contractual holiday entitlement and pension contributions may not accumulate during unpaid leave, so employers need to clarify these impacts to prevent misunderstandings. For instance, if an employee takes unpaid leave, they may accrue 0. 75 vacation days, but holiday pay is not provided for sick leave taken before or after a holiday.

Accrued leave is calculated based on weeks worked, averaging 2. 923 hours per week for full-time employees. If employees have taken their full holiday entitlement upon leaving, they may claim overpaid holiday pay; however, any deductions from final wages require written agreement. Unpaid leave should be exhausted after all accrued time; exceptions exist, particularly for FMLA leave, which is also unpaid, yet may involve the use of accrued paid leave.

Do You Have To Work 13 Weeks For Maternity Leave In Ontario
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Do You Have To Work 13 Weeks For Maternity Leave In Ontario?

In Ontario, employees are eligible for parental leave after working for the same employer for at least 13 weeks, which can include periods of layoff, vacation, or other leaves. Maternity leave, specifically for biological mothers, also requires that the employee has worked 13 weeks immediately prior to the expected birth date, but the 13 weeks do not need to be worked actively. Maternity leave can last up to 17 weeks and is unpaid, with no obligation for the employer to provide wages during this time.

Employees maintain their benefits while on leave. According to the Employment Standards Act, maternity leave should start no earlier than 17 weeks before the due date. Maternity benefits can be accessed through Employment Insurance (EI), which provides a portion of previous earnings.

In summary, to qualify for maternity leave in Ontario, an employee must have commenced employment at least 13 weeks prior to the expected birth date, regardless of whether they were actively working during those weeks. Such leave must be taken in a continuous block and provides job protection during the absence. Both parental and maternity leaves are essential rights for employees in Ontario to support their family needs around childbirth and child-rearing.

Does Vacation Accrue While On Maternity Leave In Quebec
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Does Vacation Accrue While On Maternity Leave In Quebec?

In Canada, specifically regarding maternity and parental leaves, vacation time continues to accrue while on unpaid leave, including the 18 weeks of maternity leave, 5 weeks of paternity leave, and up to 26 weeks of sick leave within a 12-month timeframe. However, the vacation pay is calculated based on earnings, and since there are no wages during maternity leave, the vacation pay earned during this period is unpaid. In Quebec, if a pregnancy loss occurs after 20 weeks, the mother is entitled to 18 weeks of maternity leave with compensation through the RQAP.

During maternity and paternity leave, employees don't lose vacation days, but they do not accumulate vacation during parental leave, which is distinct from other unpaid leaves. Employees must take accrued vacation within 12 months of the end of the reference year. Though entitled to vacation, benefits like pay may decrease if vacation pay is received during leave, affecting both wage earners and self-employed workers. Additionally, all workers, irrespective of employment type, have the right to maternity leave without pay under the Act Respecting Labour Standards.

Upon returning, employees are entitled to the same vacation time as if the leave was not taken, but the vacation pay amount will reflect only the periods of work prior to leave, influenced by the leave type and duration selected.

Do You Accrue A Holiday When On Maternity Leave
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Do You Accrue A Holiday When On Maternity Leave?

During maternity leave, holiday entitlement continues to accrue, allowing you to either take it at the end of your maternity leave or as payment in lieu if you don't return. It's advisable to discuss with your employer the amount of holiday accrued before and during maternity leave, the timeline for taking it, and any carryover options. Eligible employees can receive up to 12 weeks of paid parental leave (PPL) per qualifying birth, and while on paid leave, holiday accrual typically continues. However, if on unpaid leave, accrual often ceases.

Employees are allowed to carry over their statutory entitlement (5. 6 weeks or 28 days) into the next holiday year if unable to take leave during maternity. Although the law doesn't permit carrying over statutory leave from one holiday year to the next, the right to accrue holidays remains intact throughout maternity leave, including bank holidays. You cannot take holiday during maternity leave, but employers often permit taking accrued holiday at the end. Employment rights are protected during Statutory Maternity Leave, including pay rises and the right to return to work.

While on unpaid parental leave, employees generally do not accrue holiday. Planning ahead and understanding your rights helps in managing maternity and holiday entitlements effectively.


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Freya Gardon

Hi, I’m Freya Gardon, a Collaborative Family Lawyer with nearly a decade of experience at the Brisbane Family Law Centre. Over the years, I’ve embraced diverse roles—from lawyer and content writer to automation bot builder and legal product developer—all while maintaining a fresh and empathetic approach to family law. Currently in my final year of Psychology at the University of Wollongong, I’m excited to blend these skills to assist clients in innovative ways. I’m passionate about working with a team that thinks differently, and I bring that same creativity and sincerity to my blog about family law.

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