Guide to Global Payroll Management BANKING OVERTIME Overtime hours worked in a pay period are to be paid on each payday. Banking overtime allows an employee to defer the payment of overtime, in order to take the equivalent hours off as time off in lieu. The time off is paid at the employee's regular rate of pay. There is also a maximum period during which hours can remain in the lieu bank before time off is taken or the lieu bank is cashed out. Jurisdiction Maximum banking period Canada Labour Code 3 months - an extension to 12 months with employee's agreement Alberta 6 months British Columbia 6 months Manitoba 3 months Newfoundland & Labrador 3 months Northwest Territories 3 months Ontario 3 months - an extension to 12 months with employee's agreement Prince Edward Island 3 months Quebec 12 months Saskatchewan 12 months Yukon 12 months 11-102 © The Canadian Payroll Association/L'Association canadienne de la paie 2020