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Basic Economic Summary

Canada is a country that is ranked 26th highest nominal per capita income globally with 16th highest ranking in human development index. This makes the economy the most preferred for business expansion, a highly globalized economy, and global hiring hubs in the fields that include science and technology, law, real estate, manufacturing, mining, and service sectors that employ about three-quarters of the country's workforce.


  • Local Languages: English, French
  • Capital: Ottawa
  • Economic Hubs: Toronto, Ottawa, British Columbia, Brampton
  • Currency: Canadian Dollar (CAD)
  • Population (2021): 38.24 million
  • Time Zone: UTC - 3.5 to -8, UTC - 2.5 to - 7 (Summer, DST)
  • Date Format: yyyy/mm/dd

Useful Information

  • GDP Per Capita: 52,791
  • Exchange Rate (CAD/USD): 0.79
  • PISA Ranking (2018): 8th
  • Number of University Graduates (2018): 317,913

* Information mentioned above are bound to change yearly

Local Universities

Top Local Universities

University Rankings
University of Toronto Ranking in Canada: 1

World Ranking: 17

University of British Columbia Ranking in Canada: 2

World Ranking: 28

McGill University Ranking in Canada: 3

World Ranking: 57

University of Alberta Ranking in Canada: 4

World Ranking: 67

University of Waterloo Ranking in Canada: 5

World Ranking: 89

Further details about the universities in Canada can be found here.

Salary Data

Average Salary of Jobs (Per Month)

Job Title Average Salary (in CAD)
Chartered Accountant 104,000
Administrative Assistant 65,800
Pilot 205,000
Architect 147,000
Business Analyst 154,000
Project Manager 148,000
Engineer 109,000

More information about average salaries in Canada can be found on Salary Explorer.

Talent Sourcing Tips


Employer Payroll Tax

Employers need to contribute 7.46% of the wages to social security.

Employee Payroll Tax

Employees need to contribute 6.83% of the wages to social security.

Employee Income Tax

Income Group (in CAD) Taxes
0 - 49,020 15%
49,020.01 - 98,040 20.5%
98.040.01 - 151,978 26%
151,978.01 - 216,511 29%
216,511.01 - above 33%

The employee payroll and income tax can be found here.

Minimum Wage & Payroll

Minimum Wage

The minimum wage in Canada is CAD 14.25 per hour

Payroll Cycle

The payroll cycle followed in Canada is bi-weekly, bi-monthly or monthly. The pay dates are decided between employer and employee. 


13th month salary
The 13th month salary is not mandatory in Canada.

Employee Stock Options

It is not mandatory to provide employee stock options in Canada, however, there are rules and regulations that ensure uniformity amongst employers that provide stock options to their employees. The maximum amount of stock options that an employer can provide the employees is CAD 200,000 per employee a calendar year. The granted stock options become exercisable and based on the fair market value of the underlying shares at the time they are granted.

There are provisions as per taxation on employee stock options in Canada. Under the employee stock option rules in the Income Tax Act, employees who exercise stock options must pay tax on the difference between the value of the stock and the exercise price paid.

Learn more about the ESOP taxations here.

Working Hours & Statutory Leave

Working hours

The usual working hours in Canada for an employee is between 08:00 to 08:30 to 17:00 with a short lunch break of 30 minutes. It's about eight hours in a day or 40 hours in a week. 

Overtime pay

The overtime pay is one and a half times the employee’s regular rate of pay. For more information on the overtime pay by province, take a look at this guide.

Public Holidays

There are a total of 12 public holidays in Canada. A list of the public holidays in Canada can be found here.


Annual Paid Leave

An employee is entitled to receive a minimum of two weeks of vacation for every year of employment.

Sick Leave

According to Canada Labor Code, you are allowed 5 days of sick leave and 3 paid days after 3 months of continuous employment. For province wise sick leave rules, view the page here.

Parental Leave

  • Maternity Leave

A woman is entitled to up to 17 weeks of maternity leave. This leave can begin any time during the period that begins 13 week before the expected date of birth and ends 17 weeks after the actual date of birth.

  • Paternity Leave 

Paternity Leave of about 5 weeks is given to fathers to take time off work to take care of their newborns. 

Bereavement Leave

As an employee, you are entitled to 5 days of bereavement leave in case of the death of an immediate family member. You can take this leave for over more than one period, starting from the date the death occurs to 6 weeks after the date of the :- 

  • funeral
  • the burial, or
  • the memorial service of the immediate family member

Offboarding & Termination

Termination Process

An employer must provide an employee with at least two weeks written notice of their intention to terminate the employment of an employee. Thereafter, the employer must pay the employee two weeks wages at a regular rate. 

However, federally regulated employees do not have to give their employer notice if they choose to quit. 

Notice Period

Employees with a continuous employment of at least one month but less than two years are entitled to at least one week's notice from their employer. Employee’s with two years continuous employment or more are entitled to one week’s notice for each complete year, up to a maximum of 12 weeks’ notice.

Severance Pay

An employee has the right to collect severance pay if they have completed at least 12 consecutive months of continuous employment before their layoff or dismissal resulted in a termination of employment.

They are entitled to 2 days regular wages for each full year

Probation period

The probation period recognised by law typically consists of the first three months of the worker’s employment with a new employer.


The Employment Insurance (EI) program in Canada provides temporary income support to unemployed workers who are looking to upgrade their skills or find a new job. The EI also ensures that support and special benefits are provided to workers who are unable to work in specific events that include illness/sickness, pregnancy, family members/dependents who are critically ill or who are at risk of death, etc. To avail of the benefits of EI, the employees must pay premiums regularly and ensure that they have met the qualifying criteria and entitlement conditions. 

Further details on insurance benefits in Canada can be found here.


The standard federal Goods and Services Tax (GST) rate and the VAT rate is 5%

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