Pay statement (pay stub) requirements

A pay statement, also called a pay stub, is the written record an employer gives an employee with each pay. A buyer or a seller meets it when checking payroll records before closing: a handful of recent statements can be compared against the provincial statute that applies. Ontario and British Columbia each set their own list of what the statement must show.

What two provinces require

• Ontario: section 12 of the Employment Standards Act, 2000 requires a written statement on or before pay day. Its list includes the pay period, the wage rate if there is one, the gross wages and how they were calculated (unless the employee is told another way), the amount and purpose of each deduction, and the net wages. Email is allowed if the employee has access to a means of making a paper copy.
• British Columbia: section 27 of the Employment Standards Act requires a written wage statement on every payday, but under section 27(4) a statement that would be the same as the previous one need not be given until a change occurs. Its list includes hours worked, the overtime rate, gross and net wages, and each deduction and its purpose. An electronic copy is allowed if the employer gives confidential access and a means of making a paper copy through the workplace.
• Ontario’s section 12.1 adds a separate statement for wages paid on termination.

What to ask

Ask for recent statements for a few employees and compare each against the statute for the province where that person works. Ask how statements are delivered and whether employees can print them. This entry covers Ontario and British Columbia only; check the rules where your employees work. See how to check employment records in due diligence and the Employment Standards Act.