Interpretation Guidelines Manual British Columbia Employment Standards Act and Regulations

EMPLOYMENT STANDARDS REGULATION - PART 7 - VARIANCES AND EXCLUSIONS

ESR Section 37.62 – Oil and gas field workers under section 37.6 - "regular salary"


Contents:

Summary
Text of Legislation
Policy Interpretation
Related Information


Summary

This section defines the term "regular salary" as it applies to oil and gas field workers referred to in section 37.6 of the regulation. "Regular salary" replaces the term "regular wage" as it is used in other parts of the Act.


Text of Legislation

37.62  (1)  The term "regular wage", wherever it is used in the Act, does not apply in respect of employees referred to in section 37.6 of this regulation but, to establish other conditions of employment for those employees, the following term is substituted in its place:

"regular salary" means

(a) if the employee is paid a monthly salary, the monthly salary multiplied by 12 and divided by 2 080,

(b) if the employee is paid a yearly salary, the yearly salary divided by 2 080, and

(c) if the employee is paid a weekly salary, the weekly salary divided by 40.

(2)  In sections 37.64 and 37.65, "regular salary" has the same meaning as in subsection (1) of this section except that the term "salary", as it is used in that definition, does not include any bonus, allowance or remuneration to which the employee is otherwise entitled under the compensation system, if the bonus, allowance or remuneration is based on geographic location of the employee’s residence.


Policy Interpretation

Oil and gas field workers referred to in section 37.6 of the regulation are not covered by the term “regular wage” as it is used in the Act. Instead, they are covered by the term “regular salary”.

Subsection (1)

The term “regular wage” used elsewhere in the Act uses a formula that can change the hourly rate applicable to salaried employees in different pay periods depending on the number of hours worked.

The formula used to calculate “regular salary” in this section results in an hourly rate that is always based on 40 hours per week, so a specific salary will always convert to the same hourly rate.

Subsection (2)

In subsections 37.64 and 37.65, which cover overtime and rest periods, the “regular salary” used to convert to an hourly rate does not include a bonus, allowance or remuneration that is based on the geographic location of the employee’s residence.


Related Information

ESA

  • s. 1, Definition of "regular wage"

ESR

  • s.37.5, Oil and gas field workers paid by an hourly rate – exclusion from section 36(1) of the Act
  • s. 37.51, Specific oil and gas field workers paid by an hourly rate – rest periods and pay for interruption in rest periods
  • s. 37.6, Oil and gas field workers who are paid other than by an hourly rate
  • s. 37.61, Oil and gas field workers under section 37.6 – exclusion from section 36(1) of the Act
  • s. 36.63, Oil and gas field workers under section 37.6 – paydays and bonus pay
  • s. 37.64, Oil and gas field workers under section 37.6 – overtime wages
  • s. 37.65, Oil and gas field vacuum workers under section 37.6 – rest periods and pay for interruption in rest periods
  • s. 42, Exclusions from hours-of-work requirements

Appendix 3 – Oil & gas well drilling & servicing occupations - hourly rate of pay