Asset 20 8 2
Does AI recommend your business? Run the free check →

Join 15,000 business owners, marketers and entrepreneurs. The Sunday newsletter you'll be annoyed only arrives once a week.

Article

Vacation Pay in Manitoba: 4% or 6%, What Counts and the Year-Five Top-Up

In Manitoba, employees get at least 2 weeks of vacation with vacation pay of 4% of gross wages, rising to 3 weeks and 6% after 5 consecutive years with the same employer. Vacation pay must be paid no later than the last working day before the vacation, and within 10 months of being earned.

Manitoba's rule is simple on paper: 2% of gross wages for each week of vacation. The traps are in what counts as gross wages and in the year an employee crosses five years. Here's what Manitoba Employment Standards says.

Manitoba vacation at a glance

Length of service with the same employerMinimum vacationVacation pay
Each of the first 4 years2 weeks4% of gross wages
After completing 5 consecutive years3 weeks6% of gross wages
Beyond thatStill 3 weeks minimum6% (employers can give more)

The law doesn't increase the minimum past 3 weeks, although many employers give more.

What counts as gross wages

IncludedNot included
Regular wages: hourly, salary and commissionOvertime wages
General holiday payWages in lieu of notice
Bonuses tied to productivityLast year's vacation wages
Any other pay for regular hours of work

Vacation pay is calculated on gross earnings in the previous year. Because overtime is left out, two employees on the same salary can end up with different vacation pay if one earns commission.

The year-five top-up most employers miss

This is the detail people miss. In the fifth year, an employee earns vacation pay at 4%. But as soon as they complete the fifth year, they're entitled to 3 weeks and 6% on the prior year's earnings, so the employer owes an extra 2% on those same earnings.

Manitoba's own example, on its fact sheet as of October 2026: an employee earns $40,000 in 2019 and receives $1,600 in vacation pay at 4%. In January 2020 they complete five years, so the employer owes another $800, the extra 2%. If the employee leaves before finishing the fifth year, vacation pay is settled at 4%.

When vacation pay must be paid

  • The employer decides when to pay it, but no later than the last day of work before the vacation and within 10 months of earning it.
  • It can be added to every paycheque. The employee still gets the time off, but no extra pay while away because it's already been paid.
  • When employment ends, all earned vacation pay must be paid within 10 working days of the last day worked, including the part-year amount for someone with less than a year's service.

Scheduling vacation

  1. Employees start earning vacation time and pay from their first day.
  2. They're eligible to take vacation after one year, and it must be taken within 10 months of being earned.
  3. If you can't agree dates, the employer sets them, gives 15 days' notice and can't split vacation into periods shorter than a week. An annual shutdown counts.
  4. If a general holiday falls during vacation, the employee gets another vacation day plus general holiday wages.
  5. An employer can't use vacation as the notice period when terminating someone. An employee who's quitting can, if the employer agrees.

Time on a legislated or approved leave counts as continuous service, so it counts toward the five years. Seasonal workers who return to the same employer each season add a year of service per season, so after 5 seasons they're entitled to 3 weeks and 6% of their total gross earnings.

For the wider rules, see my guide to Manitoba employment standards, and for the paid days off, my list of Manitoba statutory holidays.

Leaves, overtime and hours of work

Employees on leave get vacation pay at the same 4% or 6%, but if they weren't earning wages during the leave, the dollar amount will be lower. They're still entitled to their full vacation time when they return, because they stayed employed throughout.

The same fact sheet covers overtime, since it affects what's in and out of gross wages. Employees working more than 8 hours a day or 40 hours a week get overtime at 1 1/2 times their regular rate. General holidays count as hours of work for overtime purposes, while vacation leave and paid sick time don't have to be counted. Because overtime wages are excluded from vacation pay, getting that split right in payroll matters twice.

Common anniversary dates

An employer can set a common anniversary date so everyone's entitlement renews together. New starters then get a pro-rated share: someone who started on January 1 with a July 1 anniversary gets half their vacation time and 4% of earnings up to July 1.

My verdict

Manitoba's vacation pay is fair and easy to run if payroll does two things: excludes overtime from the base, and flags every employee approaching five years so the extra 2% gets paid. Miss that second one and you'll owe the difference anyway, often when someone leaves and checks.

Work with me

Want AI doing the heavy lifting in your marketing?

I build the systems that handle the boring 80 percent, so you get your week back. Done properly, with the human kept in.

If you want the full set, start at the Creator Pay Rates: What YouTube, TikTok, Instagram, Facebook and Snapchat Really Pay (75 Answers).

Frequently asked questions

How much is vacation pay in Manitoba?

It's 4% of gross wages for employees entitled to 2 weeks, and 6% for employees entitled to 3 weeks after 5 consecutive years with the same employer.

Is overtime included in Manitoba vacation pay?

No. Overtime wages, wages in lieu of notice and the previous year's vacation wages are not included in the calculation.

When do you get 3 weeks of vacation in Manitoba?

After completing 5 consecutive years of work with the same employer.

Can vacation pay be added to every paycheque in Manitoba?

Yes. The employee still takes the time off, but doesn't receive extra pay while away because it's already been paid.

When must vacation pay be paid when a job ends in Manitoba?

Within 10 working days from the last day worked, including vacation pay earned in a part year.

When can a new employee take vacation in Manitoba?

After completing one year of work. They earn vacation time and pay from their first day, and must take the vacation within 10 months of earning it.

Can an employer set vacation dates in Manitoba?

Yes, if you can't agree. The employer must give 15 days' notice and can't split vacation into periods shorter than one week.

Does a general holiday during vacation count as a vacation day?

No. The employee receives another day of vacation and general holiday wages for that day.

Published and maintained by the Lilach Bullock team, covering marketing, AI and business growth.
Your buyers are asking AI who to use. Does it say you?

See for free whether ChatGPT, Claude, Perplexity, Gemini and Google name you, and get the plan to become the answer.

Check my AI visibility →
Sundays only

Get the Sunday newsletter.

One email a week. AI experiments, marketing tactics, and the workflows Lilach is building right now in her own business.

Subscribe free

Let’s get your marketing running on AI.

Book a free 30-minute call

We figure out what you need, where AI fits in, and what working together would look like.

Book the call →

Or take the 30-second calculator

You’ll see the hours and the money quietly leaking out of your week, and the three workflows worth building first.

Take the calculator →

Or grab the free AI resource library

Prompt packs, templates, checklists, and swipe files. The exact tools I build for paying clients. Yours, free.

Get the library →
Keep reading

More from the blog.