Computation of Vacation Pay. Where an employee's vacation pay for the current year will be reconciled after the end of the year and paid out by the end of January. It will be computed as a percentage of their "total wages earned" in the previous year, such "total wages earned" shall include the amount of vacation pay the employee received in the previous year. The vacation pay calculation under the Labour Agreement will take place after the completion of the Vacation Year based on the following rules: 1) The Vacation Year for vacation pay purposes and time off entitlements will commence with the beginning of the first pay period that is paid in the new calendar year. This is intended to comply with Revenue Canada remittances for the taxation year. 2) The Vacation Year for vacation pay purposes will end on the last day of the last pay period that is paid in the calendar year. 3) The vacation pay formula will apply as follows: Example based on calculation for the 2016 Vacation Year. 4) The Vacation Pay Makeup amount will be paid within three pay periods after completion of the Vacation Year. 5) In order to minimize the impact of Card Rate changes on the Vacation Pay Calculation the annual compensation review under the Labour Agreement will occur on the first day of the Vacation Year.
Appears in 4 contracts
Samples: Labour Agreement, Labour Agreement, Labour Agreement
