CANADA PEO & EOR
Hire in Canada without a local entity today
As a Global PEO & EOR service provider, we pride ourselves on our global reach, in-country knowledge, and ability to swiftly and efficiently mobilize workers around the world. Our robust PEO/EOR covers everything from global HR, payroll, compliance, in-country support, immigration, visas, and more.
Get started and hire in Canada today with Gibson Watts Global.
DID YOU KNOW
- The province of Quebec holds around 25% of Canada’s population and is unique in North America. Quebec is primarily French speaking and has a civil law legal system based on the Napoleonic Code from France.
- Around 24% of Canada’s population has a mother tongue that is neither English nor French
- Canada has the longest coastline in the world, and there are millions of lakes all around the country
Forget software,
this is expansion
with a human touch
Canada PEO Services
One of the world’s most desirable countries to live in
Canada consistently ranks among the world’s most desirable countries to live in, thanks to its high-quality education, universal healthcare, and progressive immigration policies. Its business environment reflects a blend of European and North American influences, supported by a highly developed mixed economy.
As the second-largest country globally, Canada offers a diverse landscape—from the rugged Rocky Mountains and vast prairies to vibrant, multicultural cities like Toronto, Vancouver, and Montreal. The nation’s reputation for friendliness, safety, and inclusivity makes it a top choice for both individuals and businesses seeking international opportunities.
Canada boasts the world’s 10th-largest economy by nominal GDP, estimated at approximately $2.14 trillion USD in 2024. In terms of purchasing power parity (PPP), Canada’s GDP is projected to be around $2.3 trillion USD in 2025, reflecting its robust economic performance.
The economy is diversified, with key industries including real estate, manufacturing, technology, and natural resource extraction. International trade plays a significant role, with the United States, China, and the United Kingdom being Canada’s top trading partners.
By choosing Gibson Watts Global as your Employer of Record (EOR) in Canada, you can navigate the complexities of this dynamic market with confidence. Our expertise ensures compliance with local regulations, allowing you to focus on expanding your business in one of the world’s most attractive destinations.
Working in Canada
Financial Year Dates
Canada’s financial year runs from 1st January to 31st December.
Minimum Wage
Minimum wage rates in Canada vary by province and territory. As of April 2025, rates range from CAD $14.00 to CAD $17.00 per hour. Employers must adhere to the minimum wage applicable in the employee’s province or territory.
Standard working hours
The standard workweek in Canada is typically 40 hours, usually divided into five 8-hour days. Federally regulated employees must not exceed an average of 40 hours per week over a period of two or more weeks.
Overtime
Overtime is generally paid at 1.5 times the employee’s regular hourly rate for hours worked beyond the standard workweek. The maximum number of hours an employee can work per day is typically 12, subject to certain exceptions.
Holiday Allowance
Employees are entitled to a minimum of two weeks of paid vacation annually after completing one year of employment. This increases to three weeks after five consecutive years and four weeks after ten consecutive years with the same employer.
Sick Leave
Federally regulated employees are entitled to up to 10 days of paid sick leave per year. Full-time employees accrue approximately 9.375 hours of paid sick leave for each month of continuous employment, up to a maximum of 75 hours.
Maternity & Paternity Leave
Employment Insurance (EI) provides maternity benefits of up to 15 weeks at 55% of average weekly earnings, up to a maximum of CAD $695 per week. Parental benefits can be taken as standard (35 weeks) or extended (61 weeks), with varying benefit rates.
Public Holiday
Canada observes several public holidays, which may vary by province and territory. National holidays include:
- New Year’s Day
- Good Friday
- Canada Day
- Labour Day
- Thanksgiving Day
- Christmas Day
Additional holidays may be observed depending on the province or territory.
Social Contributions
Employers and employees contribute to the Canada Pension Plan (CPP) and Employment Insurance (EI). As of 2025:
- Employers:
- CPP: 5.95% of pensionable earnings
- EI: 1.58% of insurable earnings
- Employees:
- CPP: 5.95% of pensionable earnings
- EI: 1.58% of insurable earnings
Contribution rates may vary by province and are subject to annual adjustments.
Income Tax
Canada’s federal income tax rates for 2025 are as follows:
- 15% on the first CAD $57,375 of taxable income
- 5% on the next CAD $57,375
- 26% on the next CAD $62,500
- 29% on the next CAD $70,000
- 33% on income over CAD $247,250
Provincial or territorial taxes apply in addition to federal taxes and vary by jurisdiction.
Health Care
Canada provides universal healthcare coverage through a publicly funded system known as Medicare. Healthcare services are administered at the provincial and territorial levels and are funded primarily through general tax revenues.
While basic medical services are covered, many Canadians have supplementary private insurance for services not covered by Medicare, such as dental care, vision care, and prescription medications. Employers often offer extended health benefits as part of their compensation packages.
Visas
Foreign nationals typically require a work permit to be employed in Canada. There are two main types: Canada
- Employer-specific work permit: Allows individuals to work according to specific conditions, such as the employer’s name, job location, and duration.
- Open work permit: Allows individuals to work for any employer in Canada (with some exceptions). This type of permit is often available to spouses of skilled workers or international students and certain residency applicants.
Foreign workers may apply under several pathways, including:
- Temporary Foreign Worker Program (TFWP): Requires a Labour Market Impact Assessment (LMIA).
- International Mobility Program (IMP): LMIA-exempt; includes intra-company transfers, trade agreements (e.g., CUSMA), and reciprocal employment.
13th salary?
Canada does not have a statutory requirement for a 13th-month salary. However, annual bonuses and performance-based incentives are common, particularly in corporate, finance, and technology sectors. These bonuses are typically discretionary and negotiated as part of the employment contract.
Cultural Information
- Canadian business culture emphasizes politeness, punctuality, and professionalism. Decision-making is often collaborative, and inclusivity is prioritized in team environments.
- Canadian cuisine is regionally varied, featuring French-Canadian influences (like poutine), Indigenous foods (such as bannock), and multicultural flavors from immigrant communities.
- Canada has a rich Indigenous heritage, comprising First Nations, Métis, and Inuit peoples. Respect for Indigenous cultures and land acknowledgment is increasingly integrated into public and corporate settings.
