Paid Sick Leave Increase

On March 25, 2024, the Government of PEI announced the Employment Standards Act (ESA) amendment to increase paid sick leave effective October 1, 2024. 

Under the current provisions of the Employment Standards Act, employees who have been employed for at least three months are entitled to up to three unpaid sick days. After five years of continuous employment with the same employer, employees are entitled to one day of paid sick leave during a 12 calendar-month period in addition to the above three unpaid sick days. 

Effective October 1, 2024, employees will be entitled to paid sick leave in addition to the existing unpaid sick leave, as follows: 

  • One day of paid sick leave after completing 12 months of continuous service. 

  • Two days of paid sick leave after completing 24 months of continuous service. 

  • Three days of paid sick leave after completing 36 months of continuous service. 

When an employee qualifies for paid leave, they must be provided with this benefit before any unpaid leave. 

Employees on paid sick leave will receive compensation equivalent to their usual wages for the hours they would have worked or their regular salary for a day’s work if they are on a salary. 

Employers should: 

  • Proactively prepare for the upcoming adjustment to safeguard organizational compliance and employee well-being. 

  • Review sick leave policies or collective agreements. 

  • Revise policies/agreements as necessary to comply with new regulations. 

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