💡 Quick Examples — See How It Works▼
1 Employment Information
2 Earnings
➕ Optional: Earnings Breakdown ▼
3 Options
🧮 Step-by-Step Walkthrough▼
Enter your details above to see the step-by-step math.
💰 What Counts as Earnings?▼
Included in Total Earnings
- Regular wages and salary
- Overtime pay (explicitly included in NWT vacation pay)
- Commissions
- Bonuses and incentive pay
- Statutory holiday pay
- Other remuneration for work performed
Generally Excluded
- Expense reimbursements
- Tips and gratuities paid directly by customers
- Severance pay
- Disability or insurance benefits
Note: This is a general guide. For specific interpretation, refer to the Northwest Territories Employment Standards Act and its regulations.
⚖️ Special Provisions▼
4% Tier — Years 1–5
Vacation pay is 4% of total earnings, including overtime, for the first five years of employment. Vacation time is 2 weeks per full year.
6% Tier — Year 6 and Beyond
Vacation pay increases to 6% of total earnings, including overtime, for the sixth and subsequent years of work for the same employer. Vacation time increases to 3 weeks per year.
Full Year Rule
An employee must complete a full year of work to earn vacation time (2 weeks). The 3-week entitlement starts with the sixth year of work for the same employer.
Termination Payout
Employers must pay any vacation pay owing if the employee quits, is laid off, or is fired.
10-Day Payment Rule
All wages owing to an employee must be paid within 10 days of their last day of work.
Custom Agreements
If the employer provides more than the statutory minimum (e.g., 5%, 7%, or 4 weeks), the higher amount applies.
4 Tier Comparison Table
| Years of Service | Vacation Pay | Vacation Time |
|---|---|---|
| Less than 1 year | 4% (pro-rated) | 0 weeks (not yet earned) |
| 1 year to 5 years | 4% | 2 weeks |
| 6th year and beyond | 6% | 3 weeks |
5 NWT Statutory Holidays
| # | Holiday |
|---|---|
| 1 | New Year's Day |
| 2 | Good Friday |
| 3 | Victoria Day |
| 4 | National Indigenous Peoples Day |
| 5 | Canada Day |
| 6 | 1st Monday in August |
| 7 | Labour Day |
| 8 | National Day for Truth and Reconciliation |
| 9 | Thanksgiving Day |
| 10 | Remembrance Day |
| 11 | Christmas Day |
6 Frequently Asked Questions
How is vacation pay calculated in the NWT?
Vacation pay is 4% of total earnings (including overtime) for the first 5 years of employment and 6% of total earnings for the 6th and subsequent years under the Northwest Territories Employment Standards Act.
What is the vacation pay rate for the first 5 years?
4% of total earnings, including overtime, for the first five years of employment.
What is the vacation pay rate after 5 years?
6% of total earnings, including overtime, for the sixth and subsequent years of work for the same employer.
How much vacation time do I get?
2 weeks for years 1–5 and 3 weeks starting with the sixth year of work for the same employer.
When do I get vacation time?
You earn vacation time during each full year you work. The 3-week entitlement starts with the sixth year of work for the same employer.
When must vacation pay be paid?
Employers must pay any vacation pay owing if the employee quits, is laid off, or is fired. All wages owing must be paid within 10 days of the last day of work.
What happens on termination?
When an employee quits, is laid off, or is fired, the employer must pay any vacation pay owing. All wages owing must be paid within 10 days of the last day of work.
Are all employees entitled to vacation pay?
Yes. Employees earn vacation pay from their first day of work, even if they have not yet completed a full year.
Does overtime count toward vacation pay?
Yes. In the NWT, vacation pay is calculated on total earnings, including overtime.
Can my employer give more?
Yes. Employers can provide more than the statutory minimum (e.g., 5%, 7%, or 4 weeks). The higher amount applies. Toggle the "Custom rate agreement" option above to calculate with a custom rate.
7 Official Contact
Toll Free: 1-888-700-5707
E-mail: Employment_Standards@gov.nt.ca
Website: www.ece.gov.nt.ca/employmentstandards
This is a guide only. For interpretation and application purposes, refer to the Northwest Territories Employment Standards Act, its regulations, and amendments.
⚠️This tool is for information purpose only. We do not guarantee any claim.
It is made based on data publicaly available on official website of concerned department.
Last Updated: March 2026 | Official Determination Required