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Canada has a thriving economy, with strong real growth forecasts for 2022 (3.8 percent) and 2023 (2.6 percent). With a well-educated and highly skilled professional workforce, and business-friendly laws and regulations, Canada is an ideal location for hiring international employees.
Closely connected to both European and other North American markets, many businesses find that Canada is the ideal launchpad for their North American expansion.
38.232M (Labor Force 21 million)
Ottawa
English and French
Canadian Dollars (CAD$)
$52,022
23rd in the world
CAD$17.30/hour
CAD1,050/Month
3-4 weeks
Open-ended employment contracts are the most common type of contract in Canada. They offer ongoing employment with no fixed end date, and if the employer wishes to end the contract they will need to terminate the employment. Fixed-term contracts are also available, and will end on a specified date in the contract.
The best type of employment contract depends on the job role and specific circumstances. For the vast majority of roles, an open-ended contract is the most suitable. however, there are some circumstances where an alternative like a temporary contract may be more suitable.
Like other advanced economies, Canada has strong labor laws protecting both the employee and the employer. Canada’s labor laws are complicated by differences in legislation at the federal and provincial levels.
Regardless of provincial variations, employers must meet certain Minimum Employment Rights when hiring in Canada. As an employer, it’s crucial that you have a firm grasp of your obligations before making any hiring decisions.
Sharing a 9,000km border with the U.S. has led to the development of close cultural ties with the world’s largest economy. Canada’s corporate culture also shares similarities with British and, to a lesser extent, French customs. Doing business in Canada is straightforward, especially for those organizations already familiar with American and Northern European business customs.
A handshake is the go-to business greeting and diversity and inclusion are becoming increasingly important concerns for decision makers. Equalities legislation (potentially both Provincial and Federal) will have implications for the selection of candidates and the interview process – see below.
Recruitment is primarily completed online in Canada. Jobs portals such as Robert Half, Indeed and Workopolis as well as social media platforms such as LinkedIn are popular.
Differences in provincial labor laws complicate the process. For an in-depth breakdown see the Complete Guide to Labor & Employment Laws in Canada.
To simplify the process and mitigate risk, many companies looking to hire employees in Canada opt to contract a global PEO or EoR. Combining in-country knowledge and extensive experience of international recruitment, global PEOs ensure full compliance with local tax and employment laws. As the industry leader, Horizons offer a range of strategic global recruitment services to help businesses meet their objectives whilst reducing hiring costs.
Robert Half
https://www.roberthalf.ca/en
Robert Half is a global human resource consulting firm with offices in all of Canada’s major cities. The service offering is focused around the hiring of highly-skilled business professionals from early to mid-career up to the executive level.
Indeed
https://ca.indeed.com
Recognized as the world’s largest job hiring platform, Indeed is the #1 hiring platform in Canada. The platform caters to the full spectrum of industries and attracts job seekers from all experience levels.
LinkedIn
https://www.linkedin.com
The professional networking platform LinkedIn is used widely across Canada. Of the 20M Canadian users, 54% of users fall within the 25-34 age bracket.
At the time of writing, it is legal in Canada to ask candidates about their current salary and salary history.
It is likely, however, that provincial governments across Canada and the Canadian federal government will introduce legislation that prohibits employers from asking candidates about their salary history. Such legislation has already been enacted in cities and states in Canada’s neighbor to the south.
In 2022, companies are offering salary increases between 3 to 5%. Job platform Indeed reports that, in 2022 a raise of 10% for employees starting a new role is not uncommon.
Once the most suitably qualified candidates have been identified & selected, it’s crucial that the hiring company ensures their onboarding process is fully compliant.
The specific onboarding process will vary from organization to organization but the following actions are recommended when onboarding new hires in Canada; verify and commit any employee personal information to secure systems for safeguarding; provide new hires with materials they need to perform the job; deliver a company orientation and any required training to get new hires up-to-speed.
Remote working is common in Canada and increasingly, hybrid working models are becoming an employee benefit. Furthermore, a 2021 survey of Canadian employers found that 76% of companies are open to hiring fully remote employees. Canadian employers are using the following remote working tools to manage remote teams:
Slack – the instant messaging program designed specifically for the workplace was founded in Vancouver, BC. “Slack” is an acronym that stands for ‘Searchable Log of All Conversation and Knowledge’.
Microsoft Teams – a collaboration tool that provides users with the ability to host audio and video conferences and syncs with Microsoft Office 365 applications.
Virtual Private Networks (VPNs) – VPNs are used to establish secure connections between the business/office network and the devices used by remote workers.
Canada has a number of public holidays for employees. The following holidays are celebrated in Canada, although some only provincially:
| Date | Holiday name |
|---|---|
| 1 Jan Monday | New Year’s Day |
| 2 Jan Tuesday | Day off for New Year’s Day |
| 29 Mar Friday | Good Friday |
| 1 Apr Monday | Easter Monday |
| 20 May Monday | Victoria Day |
| 1 Jul Monday | Canada Day |
| 5 Aug Monday | Heritage Day |
| 2 Sep Monday | Labour Day |
| 30 Sep Monday | National Day for Truth and Reconciliation |
| 14 Oct Monday | Thanksgiving Day |
| 11 Nov Monday | Remembrance Day |
| 25 Dec Wednesday | Christmas Day |
| 26 Dec Thursday | Boxing Day |
Canadian employees typically expect salary increases that match or exceed the rate of inflation.
Where the employee is located in Canada is also a factor with employees located in the Ottawa-Montreal-Toronto triangle, an area of concentrated wealth where living costs are higher than other parts of the country, likely to expect comparatively higher salary increases.
Hire borderless talent with Horizons
Your business can easily hire employees in Canada without opening a local entity. We handle local employment law, complex tax regulations, and international payroll in 180+ countries worldwide. All you need to do is focus on your business.
Holiday season in Canada — 2024
