Introduction

As more international businesses expand into Canada, Alberta continues to be a popular destination for growth - especially in sectors like energy, technology, and agribusiness. But with opportunity comes responsibility. Employers must comply with Alberta’s distinct labour laws, which differ significantly from those in other provinces and countries. Ignoring the nuances of Alberta’s legal framework can lead to costly penalties, reputational damage, and employee dissatisfaction.

Whether you're hiring your first employee in Calgary or scaling an entire operation across Western Canada, understanding Alberta’s employment standards is essential for protecting your people and your business.

Quick Tips

• Alberta has its own Employment Standards Code - don’t assume federal or other provincial rules apply.

• Most workers are entitled to overtime after 8 hours a day or 44 hours a week.

• Written employment contracts should clarify termination rights, especially regarding notice or pay in lieu.

• Certain professions (e.g. construction, trucking, agriculture) are subject to specific exemptions.

• Always factor in both Employment Standards and Occupational Health and Safety (OHS) legislation.

Overtime and Hours of Work

Alberta’s approach to working hours and overtime can catch global employers off guard. Overtime is payable after 8 hours per day or 44 hours per week, whichever is greater - and must be paid at 1.5 times the regular rate.

This is more generous than some other jurisdictions, particularly the US, where daily overtime isn’t standard. Employers using compressed work weeks or flexible schedules must establish an Averaging Agreement in writing to remain compliant. It’s a simple step that can prevent disputes down the line.

I’ve worked with a UK firm expanding into Edmonton who assumed their UK policies would suffice. We reviewed their practices and introduced averaging arrangements tailored to their team’s shifts - keeping them compliant and efficient.

Termination Pay and Notice Periods

In Alberta, both employers and employees are entitled to minimum notice of termination (or pay in lieu), which increases with length of service. However, this is often just the floor - not the ceiling. Reasonable notice at common law may be significantly higher unless limited by a well-drafted employment contract.

This is where many international employers stumble. A generic contract without Alberta-specific clauses may leave you vulnerable. One client faced a claim for 12 months’ pay after terminating a senior manager with only the statutory minimum. We updated their contracts to align with Alberta case law and limited exposure in future exits.

Make sure your employment agreements are clear, compliant, and reviewed by someone who understands the local legal landscape.

Public Holidays and Vacation Entitlements

Alberta recognises nine statutory holidays, and employees are generally entitled to 1.5x pay or a day off with pay when working on these days. Vacation entitlement starts at two weeks per year (after one year of service) and increases to three weeks after five years.

This differs from other regions, including Quebec and Ontario, where entitlements and public holidays may vary. Global HR teams should ensure payroll and leave systems are set up to reflect Alberta’s entitlements.

In a recent case, a US client’s global payroll provider failed to configure Alberta’s holiday pay correctly, resulting in underpayments and an employee complaint. We worked with their provider to correct the system and implement checks to avoid future non-compliance.

A Real Example: Setting Up for Success

One of my favourite projects involved supporting a German tech company establishing their first Canadian team in Alberta. We guided them through local registration, developed tailored employment agreements, clarified work hours, and integrated provincial health and safety standards into their onboarding. Because they got the setup right from day one, they’ve scaled to over 40 staff without a single compliance breach.

Final Thoughts

Labour laws in Alberta are clear but not always intuitive for global employers. From overtime to termination clauses, compliance requires more than just good intentions - it demands local expertise.

What’s next for your global people strategy?

Book a free compliance check-in or HR audit with ThinkGlobal HR. We’ll help you assess your Alberta workforce setup, review employment contracts, and put the right systems in place - so you can grow with confidence and peace of mind.