HR glossary · Hiring and contracts

Casual employee

A casual employee works irregular hours as needed, with no set schedule. They are still an employee and keep employment standards rights.

Also called: casual worker, on-call employee, casual part-time, relief staff

What casual employee means

A casual employee is someone you call in to work when you need them, with no regular schedule or guaranteed hours. Small businesses use casual staff to cover sick days, holidays, events or busy weekends.

"Casual" describes how the person is scheduled, not a lesser kind of worker. A casual employee is an employee: you deduct and remit payroll taxes for them, and the employment standards of your province apply, including minimum wage, overtime and vacation pay.

It is also different from an independent contractor. A casual employee works in your business under your direction, on your schedule when called, and is paid by you through payroll. Calling someone "casual" does not change that.

How it works

Set out the arrangement in writing. A casual offer letter should say that hours are not guaranteed, how shifts are offered (text, app, phone), how much notice you aim to give, whether the person can turn shifts down, and the hourly rate. Being clear avoids the feeling that someone was "let go" when shifts dry up.

Pay at least the minimum wage where the work is done for every hour worked, including short shifts and training. Track hours carefully, because overtime thresholds still apply in a busy week. Vacation pay applies too: the minimum is 4% of wages in most provinces (Saskatchewan's is 3 weeks, or 5.77%). Public holiday pay rules for casual staff differ by province, so check yours.

Some provinces have minimum pay rules for short shifts or call-ins. Check your province's rules on reporting or call-in pay before scheduling very short shifts.

Watch for a drift into a regular schedule. If a "casual" employee works the same shifts every week for months, they may in practice be a regular part-time employee, with the same expectations about notice if the job ends. Review casual arrangements every few months, and issue a Record of Employment when a casual employee has gone 7 consecutive days with no work and no insurable earnings, or is expected to.

Is it the same in every province?

Employment standards apply to casual employees just as to other employees in every province and territory. The details that differ by province include vacation percentages, public holiday pay eligibility and minimum call-in pay.

Example: A catering company's casual list

Jacques runs a 6-person catering company in Quebec City and keeps a list of 8 casual servers for weddings and events. Each has a short offer letter saying hours are not guaranteed, shifts are offered by text at least 3 days ahead when possible, and the rate is $18.00 an hour.

Jacques pays every hour worked, including set-up, and tracks the 4% vacation pay each server earns. One server has worked every Saturday for six months, so Jacques talks with her about moving to a regular part-time schedule.

Payroll in the Staffkin HR Suite

The Staffkin HR Suite payroll module handles pay for staff with irregular hours. Book a demo to see how it works for casual employees.

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Questions about casual employee

Do casual employees get vacation pay in Canada?

Yes. Casual employees are employees, so vacation pay applies, usually at least 4% of wages (Saskatchewan's minimum is higher).

Do casual employees get public holiday pay?

It depends on the province. Eligibility rules for public holiday pay differ, so check your province's employment standards.

Is a casual employee the same as a contractor?

No. A casual employee works under your direction and is paid through payroll with deductions. A contractor runs their own business.

Do I need to give notice to a casual employee?

It depends on the arrangement and province. If someone has worked regular shifts for a long time, notice rules may apply as for any employee, so get advice before ending the relationship.

Official sources

General information for Canadian employers, not legal advice. Rules differ by province and territory and change over time, so check with your provincial employment standards office (or the federal Labour Program if you are federally regulated) before you rely on it. See employment standards by province.

Checked against official sources on 4 November 2026.