Updated on: October 1, 2025
Currency
Canadian Dollar (CAD)
Employer Taxes
There are no specific employer tax requirements.
Payroll Frequency
Bi-weekly or semi-monthly
Employee Taxes
N/A
Language
English, 9 Indigenous languages
Date Format
YYYY/MM/DD
Northwest Territories by the Numbers
Population
45,000
GDP
$5 billion
Weekly Working Hours
40 hours, overtime > 40 hours/week or > 8 hours/day
National Holidays
12
Hiring Difficulty Score
N/A
Weekly Working Hours
National Holidays
Leave
Paid general holidays include 10 days – such as New Year’s Day and Canada Day – while vacation benefits consist of 2 weeks after 1 year of employment (equivalent to 4% of wages) and 3 weeks after 6 years (equivalent to 6% of wages).
Employment Contracts
No federal or provincial law mandates written employment contracts but they are highly recommended to address locally mandated issues.
Types of Employment
There are two types of employment: Employees and Independent Contractors.
Employment Costs
In the Northwest Territories (NWT) of Canada, employers are responsible for several costs per employee, primarily related to mandatory contributions and deductions. Here’s a breakdown:
1. Canada Pension Plan (CPP) Contributions:
2. Employment Insurance (EI) Premiums:
3. Workers’ Safety and Compensation Commission (WSCC) Premiums:
4. Payroll Tax:
IC Class Factors
Independent Contractor (IC) classification factors include the following: Degree of control of worker; Provision of own tools; Financial risk in own business; Responsibility for hired workers; Chance for profit; Degree of integration into the client’s work flow; Intent of the parties; Written contract
Labor Leasing
There is no specific legislation on labour leasing, but temporary staffing agencies must adhere to employment standards and safety regulations.
Minimum Wage Requirements
The minimum wage is $16.05.
Medical Benefits
Each province provides a medical health plan. There is no requirement for medical benefits, but employers must adhere to employment contract terms if provided.
Probationary Periods
The probationary period lasts for 90 days, during which no termination notice is required.
Termination Notice
The termination notice requirements are as follows: Employees with 90 days to 3 years of service require 2 weeks of notice. Those with 3 to 4 years of service require 3 weeks of notice, and employees with more than 4 years of service require 4 weeks of notice.
Severance
If the worker is laid off after one year or more of continuous employment, the worker is entitled to severance pay. The worker shall have the following options:
Education assistance is calculated at 80% of your current salary for a period of up to 12 months.
Pre-hire Checks
Pre-hire checks are permitted with consent and must be relevant to the job.
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