Pay rules
Alberta overtime rules: the 8/44 rule explained for staffing agencies
In Alberta, overtime is calculated as hours worked over 8 in a day OR hours over 44 in a week, whichever is greater. A worker must receive at least 1.5 times their regular wage rate for overtime hours. A written overtime agreement can bank time off instead, but at 1 hour per overtime hour rather than 1.5, and it has to be used within 6 months.
The key difference from Ontario (44 hours per week only) and BC (8 hours per day separately, no greater-of rule) is that Alberta uses the greater threshold. A four-day, 40-hour week results in 8 hours of daily overtime (the greater amount), while a standard 44-hour week has no overtime.
Reviewed with the owner of the Ontario warehouse and fulfilment staffing agency Kordis was built inside.
What is the 8/44 rule?
Alberta's overtime rule is sometimes called the "8/44 rule" because overtime is owed for all hours worked over 8 hours in a day OR over 44 hours in a week, whichever results in greater overtime hours. The employer calculates overtime using both thresholds and pays whichever is higher.
For example, if a worker logs 40 hours in four days (10 hours each day), daily overtime (8 hours) exceeds weekly overtime (0 hours), so 8 hours of overtime are owed. If the same worker logs 44 hours Monday to Thursday and then 3 hours Friday, only the weekly threshold (3 hours over 44) applies, because 3 hours is greater than any daily overage.
How much is overtime pay in Alberta?
An employee must receive at least 1.5 times (time-and-a-half) their regular wage rate for all overtime hours. For example, if the regular rate is $20 per hour, overtime is at least $30 per hour.
Can employees bank overtime as time off instead of pay?
Yes, but only if both the employer and employee agree in writing, and the rate is not the one people expect. Under a written overtime agreement, overtime is banked at at least 1 hour of paid time off for each overtime hour worked, not at 1.5 hours. The 1.5-to-1 rate applied only to overtime banked before September 1, 2019. Banked time also has a deadline: it must be used within 6 months of the end of the pay period in which it was earned.
Is overtime based on the work week or the pay period?
Overtime is always based on the work week, not the pay period. A work week is defined by the employer (commonly Sunday to Saturday or Monday to Sunday), and overtime is calculated within that week boundary, even if the employer's pay period ends mid-week.
Worked example: four 10-hour days
A temp worker in Alberta works Monday through Thursday, 10 hours each day (40 total hours), at a $20 per hour regular rate. Daily overtime: 2 hours over the 8-hour threshold on each of 4 days = 8 hours. Weekly overtime: 0 hours, because 40 total is under 44. The greater of the two is the daily figure, so 8 hours of overtime are owed at $30 per hour (1.5 × $20), and the remaining 32 hours are regular. Total pay for the week: (32 × $20) + (8 × $30) = $640 + $240 = $880.
How does Alberta differ from Ontario and BC?
| Feature | Alberta | Ontario | BC |
|---|---|---|---|
| Daily threshold | 8 hours per day | No daily threshold (only weekly) | 8 hours per day (1.5x up to 12, then 2x) |
| Weekly threshold | 44 hours per week | 44 hours per week | 40 hours per week |
| Which threshold applies | Whichever is GREATER (the greater-of rule) | Only 44 hours per week | Both apply separately (first 8 hours at 1.5x, daily hours 8-12 at 1.5x, then 2x; plus weekly over 40 at 1.5x) |
| Rate(s) | 1.5x minimum in cash; under a written agreement, banked time off is 1 hour per overtime hour, to be used within 6 months | 1.5x minimum; written agreements can offer time-off in lieu | 1.5x for first 12 hours per day / over 40 per week; 2x for hours over 12 per day |
| Calculation basis | Work week (employer-defined) | Work week (employer-defined) | Calendar week (Sunday to Saturday) |
Why does the 8/44 rule matter for staffing agencies?
Because Alberta is one of the few jurisdictions with a daily overtime threshold, shift patterns matter more. A temp worker assigned to four long days may trigger daily overtime even if the total hours stay under 44 per week. Conversely, five eight-hour shifts meet neither threshold, so no overtime is owed.
If your workers are primarily full-time day shifts, Ontario's rule (weekly only) is simpler. If your Alberta workers are on flexible or rotating patterns, the 8/44 rule makes the daily threshold a major cost driver.
What about statutory holidays and overtime?
Statutory holiday hours do not count toward the 44-hour weekly threshold or the 8-hour daily threshold for the purposes of triggering overtime. If a worker takes a general holiday (paid), those paid hours do not accrue overtime unless they actually work additional hours that exceed 8 or 44.
Common questions
What is the greater-of rule in the 8/44 overtime rule?
The greater-of rule means you calculate overtime two ways (hours over 8 per day AND hours over 44 per week), then pay whichever method results in MORE overtime hours. This ensures workers are not short-paid due to a particular shift pattern.
Do I pay 1.5x for all overtime in Alberta?
At minimum, yes, when you pay it in cash: the legal minimum is 1.5x, and you can pay more. Banking it is different. Under a written overtime agreement the employee takes at least 1 hour off per overtime hour worked, not 1.5, and must use it within 6 months.
If a worker does four 10-hour days, is that 8 or 12 hours of overtime?
That is 8 hours of daily overtime per day for 4 days = 32 hours total, because each day is 2 hours over the 8-hour threshold. Weekly threshold is 0 (since 40 is under 44). The greater amount is 32, so 32 hours of overtime are owed.
Is the 8/44 rule the same in other Canadian provinces?
No. Ontario has a 44-hour weekly threshold only (no daily threshold). BC has an 8-hour daily threshold and a 40-hour weekly threshold but no greater-of rule; both thresholds are applied separately. Alberta is unique with the greater-of approach.
Can I allow a worker to take time off instead of overtime pay?
Yes, if you have a written overtime agreement signed by both the employer and employee. The time off must be worth at least 1.5 times the hours worked (e.g., 8 hours of overtime = 12 hours of time off).
Does a paid statutory holiday count toward the 44-hour weekly threshold?
No. Statutory holiday pay is paid separately. Hours a worker actually works beyond their regular shift may still trigger daily or weekly overtime, but the paid holiday itself does not count toward the overtime thresholds.
Sources
- Alberta: Overtime hours and overtime pay (the 8/44 greater-of rule, the 1.5x minimum, and banked time at 1 hour per overtime hour since 2019-09-01; checked 2026-08-03)
- Ontario: Your Guide to the Employment Standards Act, overtime pay (checked 2026-08-03)
- BC: Employment Standards, overtime pay (checked 2026-08-03)
Keep reading
Everything above, done for you.
Create your account, bring a recent week of shifts, and start on your own roster.
Start two weeks freeRun your real operation for two weeks. No card to start, nothing charged.
- No card to start
- Nothing charged
- Cancel whenever
- Guided setup