Certain provisions of the Employment Standards Regulation
apply specifically to employees in the oil and gas
well drilling and servicing industry.
Hours of Work
Section 36(1) of the Employment Standards Act, which
provides for 32 hours in a row free from work each
week, does not apply to most employees in the oil
and gas well drilling and servicing industry.
Overtime for Hourly-Paid Employees
Hourly paid employees include:
-
Geophysical or seismic drillers
-
Heavy motorized equipment operators
-
Slashing and timber salvage workers
-
Gathering systems and facility installers
-
Service rig workers
-
Camp catering workers
-
First aid workers
-
Safety workers
-
Oil and gas drilling rig workers
-
Land survey workers
-
Water truck operators
Employees in these occupations are entitled to time
and one-half after eight hours worked in a day and
double time after 12 hours worked in a day.
Weekly overtime is time and one-half after 40 hours
worked in a week.
Only the first 8 hours worked by an employee in
each day are counted towards weekly overtime, no matter
how long the employee works. For example, in seven
days of 14-hour shifts, overtime is calculated as
follows:
|
|
Sun
|
Mon
|
Tue
|
Wed
|
Thu
|
Fri
|
Sat
|
|
Hours
|
14
|
14
|
14
|
14
|
14
|
14
|
14
|
|
Straight Time
|
8
|
8
|
8
|
8
|
8
|
|
|
|
1½ X
|
4
|
4
|
4
|
4
|
4
|
8*+4
|
8*+4
|
|
2 X
|
2
|
2
|
2
|
2
|
2
|
2
|
2
|
|
|
Employers and employees in the oil and gas sector
can also implement averaging agreements where hours
of work can be averaged over 1, 2, 3 or 4 weeks. (See
factsheet: Averaging Agreements.)
Salary plus bonus compensation
The Employment Standards Regulation provides that
employers in the oil and gas well drilling industry
can pay certain workers a monthly salary plus bonus,
in lieu of an hourly rate plus overtime, provided
the workers are paid at least the amount of wages
they would receive if they were paid by the hour.
When calculating time and one-half or double time
rates of pay for the purposes of overtime, the calculation
is based on an employee's salary. The salary does
not include any bonus, allowance or payment which
is based on the geographic location of the employee's
residence.
Bonus payments are not required to be paid in every
pay period. They are payable within the next three
pay periods that follow the pay period in which the
bonus was earned.
During a pay period where an employee earns overtime,
the employee must be paid the greater of:
-
The amount of the employee's bonus
and regular salary; or
-
The wages, including overtime, earned
in that pay period.
Employees may be paid a salary and bonus in lieu
of overtime if they are primarily engaged in:
a) Any of the following on-site activities:
-
Drilling, evaluating, stimulating,
completing, re-completing, enhancing production
or optimizing services of an oil or gas well;
-
Performing remedial treatment of
an oil or gas well;
-
Providing safety services or other
services unrelated to the administration of the
employer's business, for an oil or gas well, and
b) Transporting oilfield equipment,
or
c) Oil or gas well site preparation.
Rest periods for 24-hour on-site
employees
First aid workers, water truck operators, camp
catering workers and vacuum workers are often required
to be on site 24 hours a day.
If a first aid worker, water truck operator or
vacuum worker is scheduled to work a 24-hour shift;
the shift must include a rest period of 12 or more
consecutive hours.
If a camp catering worker is scheduled to work
a 24-hour shift, the shift must include a rest period
of at least 12 hours, of which at least eight hours
must be consecutive.
If a rest period is interrupted for work, the employee
must be paid for a minimum of two hours or the actual
time worked (whichever is greater).
If the total hours worked or earned that day are
12 hours or less, the employee must be paid time
and one-half for these hours.
If the total hours worked or earned that day are
more than 12 hours, the employee must be paid double
time for these hours.
Statutory Holidays
The statutory holiday entitlements which are set
out in the Act cannot be varied. To be eligible,
an employee must have completed 30 calendar days
of employment, worked at least 15 of the 30 days
before the statutory holiday** and not be a manager.
An employee who works on a statutory holiday is
paid:
-
Time and one-half for the first 12 hours worked,
and double time for all hours worked in excess
of 12, plus
-
Employees who are given a day off on a statutory
holiday are entitled to an average day's pay.
An average day's pay is calculated by dividing
"total wages" in the 30 calendar days
before the statutory holiday by the number of days
worked.
"Total wages" includes wages, commissions,
statutory holiday pay and vacation pay but does
not include overtime pay, or any bonus, allowance
or remuneration, whether based on the geographic
location of the employee's residence or otherwise.
** Employees working under an Averaging Agreement
at any time in the 30 days before the statutory
holiday do not have to meet the 15-day minimum.
Ministry of Labour
Employment Standards Branch
Province of British Columbia
This factsheet has been prepared for general information
purposes. It is not a legal document. Please refer
to the Employment Standards Act and Regulation
for purposes of interpretation and application of
the law. September 2006
For more information, please contact the Employment Standards Branch.
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