Employer of record in Canada
32 sourced figures on hiring in Canada, drawn from 11 sources and normalized for comparison: statutory rules, employer cost and exactly what an EOR covers locally. Every figure is dated.
Hiring here: moderately complex, mid-range on cost, and fast to hire via EOR.
Employer of record in Canada: the statutory snapshot
The headline employer costs, pay floor and worker protections for hiring in Canada through an employer of record, each figure sourced and dated. 57 EOR providers cover Canada.
| Minimum wage | CAD 2,884/mo | ILOSTAT, 2024-01-01 |
|---|---|---|
| Employer social security | 9.6% | OECD |
| Total tax wedge | 32.12% | OECD |
| Corporate tax | 11.57% | OECD |
| Average income tax | 18.84% | OECD |
| Notice period | 5 weeks | World Bank Employing Workers / B-READY, 2019-05-01 |
| Severance | 5 weeks | World Bank Employing Workers / B-READY, 2019-05-01 |
| Annual leave | 10 days | Perplexity (AI gap-fill), 2026-01-01 |
As of 2026-08-30. Each value is the winning figure from primary and harmonized sources, resolved by a documented priority chain. Full record with provenance below.
Reading the data
What the figures say about Canada
Employing someone in Canada carries an employer social security rate of 9.6%, contributing to a total tax wedge of 32.12% on labour. The statutory minimum wage sits at CAD 2,884 per month, while the average monthly wage reaches CAD 5,762, meaning most hiring decisions land well above the legal floor. Payroll runs on a biweekly cycle, with no statutory 13th salary obligation. On exit, employers must account for a statutory notice period of 5 weeks and statutory severance of 5 weeks. Leave entitlements include 16 weeks of maternity leave, 35 weeks of parental leave, 10 days of statutory annual leave, and 10 public holidays, with no statutory paternity leave. Employment protection scores 1.68 on the 0 to 6 OECD scale overall, with temporary contracts scoring a notably lower 0.44, reflecting lighter restrictions on short-term hiring. Union density stands at 28.3% and collective bargaining coverage at 30.2%, figures relevant to any employer negotiating terms across Canada's labour force of 22.8 million.
Where to start
Three ways to hire in Canada
You are the employer. Lowest per head cost at scale, months to establish.
You direct the work, the provider's local entity is the employer on paper. Compliant in days.
See the 57 providers below ↓Not your employee. Fastest and cheapest, with misclassification exposure.
The full record
Every figure behind the snapshot
Not a guide, a record: 32 figures for Canada from 11 sources, last refreshed 2026-08-30. Each value carries its source and the date it was pulled. Hover any provenance tag for the full chain.
The differentiator
What an EOR handles in Canada
An EOR removes the entity and the payroll machinery. It does not remove your obligations as the people manager.
Provider × country
Who can employ in Canada
56 providers operate an EOR in Canada, ranked by Select Score.
Comparing EOR options for Canada?
Run a side-by-side on the providers that actually operate there.