This directive describes how salary and wage employees are paid, how to calculate pay for working partial bi-weekly pay periods, how to adjust the salary for non union employees, how to calculate annual, daily and hourly rates and provides information on lump sum payments.

Salaried employees

Employees in a salaried position are paid a bi-weekly salary every two weeks.

Wage employees

Wage employees are paid at two-week intervals. Wage employees will only be hired to perform non-management duties (for more information, see directive Wage Employees).

Pay for working partial bi-weekly pay periods

Employees commencing employment after the first work day of a bi-weekly pay period or terminating employment before the last work day will be paid for the number of full or partial work days worked. Paid holidays falling within that period are included.

If an employee is absent for part of a bi-weekly pay period, using the daily rate, the bi-weekly salary will be reduced by the number of full or partial work days not worked.

Portions of a work day paid will be rounded to the nearest quarter hour.

Any deductions in a bi-weekly pay period will not exceed the bi-weekly salary.

Calculating salary adjustments

The following process is to be used to calculate salary adjustments for employees in classifications assigned to a pay range.

  • Add the percentage adjustment to the current bi-weekly salary and round to two decimal places to determine the new bi-weekly salary.

Calculating hourly, daily and annual rates

Hourly rate

  • The hourly rate is calculated by dividing the bi-weekly salary by the bi-weekly hours.
  • The table below outlines the normal hours of work on a daily, bi-weekly and annual basis for the purpose of determining pay.
Daily Hours Bi-weekly Hours Annual Hours
7.25 72.50 hours 1,892.25 hours
7.75 77.50 hours 2,022.75 hours
8.00 80.00 hours 2,088.00 hours

Daily rate

  • The daily rate is calculated by dividing the bi-weekly salary by 10.

Annual rate

  • The annual rate (to three decimal places) is calculated by multiplying the bi-weekly salary by 26.1.
  • The 26.1 factor is based on 261 working days in a calendar year (365 days minus weekends equals 261 working days). Statutory holidays are included in the 261 as they are paid days for salaried employees.

Lump sum payments

Lump sum payments are part of employee compensation and are subject to payroll deductions as appropriate for the type of payment.

About this directive

Authority: Public Service Act
Public Service Employment Regulation (PDF, 1.1 MB)
Application: Organizations under the Public Service Act
Effective Date: June 30, 2011
Contact: Alberta Public Service Commission:
Labour and Employment Practices; Classification, Compensation and Benefit Services

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