Paid Sick Leave Rebate for employers and self-employed

You may be eligible to receive up to 40 hours of wages per employee for each program year:

• April 1, 2024, to March 31, 2025
• April 1, 2025, to March 31, 2026

Unused sick leave will not carry over from one program year to the next.

Eligibility

Yukon-based employers can apply for paid sick leave for their Yukon employees. 

The employee must:

• have a regular hourly wage that is less than or equal to the average Yukon private sector wage of $36.71 per hour;
• be a Yukon resident;
• have a valid Yukon health care card; and
• have worked for the employer for at least 90 consecutive days in the year leading up to the first day of leave. Returning seasonal workers who are Yukon residents (such as university students coming back for summer employment) may count days worked in the previous season towards this total.

Employers must:

• operate a Yukon-based business that meets at least 3 of the following criteria:
  • has an office with a physical address in the Yukon;
  • is subject to the Yukon Income Tax Act;
  • is registered as per the Business Corporations Act or the Partnership and Business Name Act, where applicable; and
  • has a valid municipal business licence where applicable;
• have their business name registered and in compliance with Government of Yukon's Corporate Affairs; and
• comply with the Employment Standards Act.
   

Ineligible applicants

This rebate is not available to:

• the Government of Yukon and its corporations;
• the Government of Canada and its corporations;
• Yukon First Nations governments;
• federally-regulated industries;
• municipalities; and
• commission-based employees.

What does the rebate cover?

The rebate covers up to 40 hours of wages per employee per program year. Hours are based on the employee’s scheduled hours and must not include overtime. We may determine average hours for the sick leave period based on the previous 4 weeks of working hours. 

Employees must first use all paid sick leave available to them annually through their employer.

What does the program not cover?

This program does not provide rebates for:

• benefits, payroll taxes or deductions;
• overtime, as defined by the Yukon Employment Standards Act as more than 8 hours per day and 40 hours per week;
• employers with an established paid sick leave program which was reduced or terminated on or after April 25, 2023;
• workers receiving wages during the sick leave period for reasons other than sick leave (for example, wages from the Yukon Workers' Safety and Compensation Board or wages for vacation pay).

Employees are not eligible for more than 40 hours of government paid sick leave through this program, regardless of the number of jobs they hold.

Does the Government of Yukon require proof of illness?

No. The employer must affirm that they are using the program in good faith and that all the information submitted is complete and accurate.

Rebate applications are subject to audit by the Government of Yukon.

Participation in the program is voluntary. Employers can decide how to implement the program in their workplace. For example, although we do not require proof of illness, employers may ask for proof of illness from their employees.

How the program works

1. The employee informs their employer that they need to take sick leave.
2. The employee uses all the paid sick leave available through their employer.
3. If the employee needs more paid sick leave than their employer provides, the employer approves and pays the employee for that additional sick leave.
4. The employer applies for the Paid Sick Leave Rebate and submits all supporting documents within 30 days of the claimed sick leave period.
5. The Paid Sick Leave Rebate program reimburses the employer for the additional sick leave amount they paid.

What employers need to apply

Before you apply, make sure you have valid copies of:

• your business licence, or equivalent, to identify the location of your business;
• your business’s sick leave policy, if applicable; and
• the employee’s paystubs, including:
  • the paystub with the sick leave hours you’ve paid out that exceed your sick leave policy. You must record the sick leave hours to be claimed as a separate pay category on the paystubs; and
  • the pay stub for the period immediately before the sick leave.

We may ask you for the employee’s timesheet and schedule for the leave period.

How to apply

You can only apply to the program online.

Employers: apply for the Paid Sick Leave Rebate

As a self-employed worker, you may be eligible to receive up to 40 hours of wages per program year:

• April 1, 2024, to March 31, 2025
• April 1, 2025, to March 31, 2026

Unused sick leave will not carry over from one program year to the next.

Eligibility

This program is available to self-employed Yukon workers. 
You can apply as a self-employed worker if you:

• have average earnings less than or equal to $36.71 per hour;
• are a Yukon resident;
• have a valid Yukon health care card;
• worked in the Yukon for 90 days prior to the first day of leave; and
• operate a Yukon-based business that meets at least 3 of the following criteria:
  • has an office with a physical address in the Yukon;
  • is subject to the Yukon Income Tax Act (you submit payroll remittances to the Canada Revenue Agency);
  • is registered as per the Business Corporations Act or the Partnership and Business Name Act; and
  • has a valid municipal business licence.

Ineligible applicants

This rebate is not available to:

• commission-based self-employed workers; and
• self-employed workers who are receiving wages during the sick leave period for reasons other than sick leave (for example: wages from the Yukon Workers' Safety and Compensation Board).

What does the program cover?

The rebate program covers a maximum of 40 hours of average daily earnings in a program year.

If you cannot prove Gross Self-Employment Income, the maximum daily rate will be set to the current EI maximum of $17.38 per hour.

Does the Government of Yukon require proof of illness?

No, we do not require proof of illness. You must affirm that you are using the program in good faith and that all the information submitted is complete and accurate.

Rebate applications may be subject to audit by the Government of Yukon.

Prepare your application

Before you apply, make sure you have copies of your:

• most recent Notice of Assessment from Canada Revenue Agency;
• Income and Tax Benefit Return that provides evidence of Self-Employment Income (line 13500);
• registration with the Government of Yukon's Corporate Affairs Branch and be in compliance (if applicable);
• valid business licence or equivalent; and
• utility bill, lease or other document to prove your business location.

You must submit your application and supporting documentation within 30 days of the sick leave period you're claiming for.

Apply online

You can only apply to the program online.

Self-employed: apply for the Paid Sick Leave Rebate