Hiring in Canada: routes, cost and where the rules come from
EREditorial team · Updated 14 Oct 202610 min read21 providers compared across EOR, COR and global payroll7 sources
CA$6,294 employer cost a month before the EOR fee, CA$70,000 salaryNot all-in: what it leaves out is under the cost table.
≈8% federal employer contributions on a CA$70,000 salary, outside Quebec
CA$18.15 federal minimum wage an hour, federally regulated employers only
US$99 lowest published EOR starting price a month, in US dollars, not converted
In Canada the province where someone works sets most of their employment terms, while payroll contributions are federal. Outside Quebec, those contributions add ≈8% to a CA$70,000 salary before any EOR fee.
Short answer
Leave, notice, public holidays and probation come from each province, or from the Canada Labour Code for federally regulated employers.
Through an EOR, a CA$70,000 hire costs about CA$6,300 a month in salary and federal contributions, before a fee priced in US dollars.
Since 18 September 2026 the LMIA employer must hire, set conditions and pay directly, a test an EOR is unlikely to meet.
A contractor needs no Canadian entity of yours while the Canada Revenue Agency would not see the relationship as employment.
None: a services contract with a self-employed person
When both sides sign
On the terms of the contract
The CRA starts from what both sides intended, then tests it against six factors, control first.
In Canada the route turns on two questions: where the person will work, and whether their work permit depends on a Labour Market Impact Assessment (LMIA). The province sets most employment terms whichever route you pick. For an LMIA in the high-wage and low-wage streams, Service Canada counts as employer the entity that hires the worker, sets their working conditions and pays them directly, and staffing or employment agencies that recruit for other businesses do not qualify.[1] The rule does not name EORs, but one employing a worker for your company is unlikely to pass it, so an EOR suits residents and holders of other permits, as the EOR page explains. A contractor stays off payroll only while what both sides intended matches how the work runs, as the Canada Revenue Agency reads it.[2] The contractors page covers that test.
What one hire costs
Monthly cost of an employee on CA$70,000 a year: the cost before the EOR fee.
Assumes: outside Quebec; provincial payroll taxes and health levies vary.
Cost before the EOR fee, a monthCA$6,294
Gross salaryCA$5,83393%
Employer contributionsCA$4617%
Percentages are shares of the total, not of salary.
Plus the EOR fee, not in this total. Published fees per employee: US$99 to US$699 a month (18 providers, USD); €399 a month (one provider, EUR). We add a fee to the total only when at least 3 providers publish one in CAD, and we do not convert currencies.
Federal lines only, for 2026. The EI employer rate is 1.4 times the 1.63 employee rate. Quebec employees pay into the Quebec Pension Plan and a Quebec parental insurance plan instead of the federal CPP and part of EI, so Quebec is not covered. Provincial payroll taxes and health levies, workers' compensation and vacation pay are not included.
The federal minimum wage rises to CAD 18.15 an hour; it applies to federally regulated private-sector employers, and a higher provincial or territorial rate prevails.[6]
For LMIAs in the high-wage and low-wage streams, Service Canada defines the employer as the entity that hires the temporary foreign worker, sets their working conditions and directly pays them; staffing or employment agencies that recruit workers for other businesses are not considered employers under the Temporary Foreign Worker Program.[1][7]
Who can employ for you in Canada
All 21 EOR providers we track that cover Canada, ranked by our EOR score. How we score
Startups, growing companies and enterprises, the three segments Pebl writes a page for
Not for
Buyers who need a Contractor of Record: we list Pebl for contractor management, not COR
Top pro
Own SOC 2 Type 2 report and ISO/IEC 27001:2022 certificate, both on Pebl's security page
Top con
No live support channel named: Pebl lists its Alfie AI assistant, in-house experts and a Help Center; its pages say 24/7 support and do not say who answers
Its Canada page does not say whether the employing entity is its own or a partner's.
7.4Our score 7.4 of 10Limited dataOur EOR score
EOR price from
US$459per employee a month, billed annually
EOR countries160 claimed, 106 documented
Onboarding2–3 days
ServicesEOR · COR · Contractors · Payroll
Best for
Companies from startups to enterprises, going by Multiplier's segment pages
Not for
Buyers who need the deposit amount before signing: Multiplier calculates it per contract
Top pro
Own SOC 2 (Type I and II), SOC 3 and ISO 27001:2022 on its security page; the AWS certifications listed there are kept apart as the host's
Top con
The "from" prices assume an annual contract. Monthly EOR costs $499 on Core and $559 on Growth, about 11% of countries are priced differently, and compliance-mandated add-ons come on top of EOR and COR
Holds one month's salary per employee as a refundable deposit.
7.4Our score 7.4 of 10Our EOR score
EOR price from
US$399per employee a month
Entity in Canada
Own entity
EOR countries180 claimed, 157 documented
Onboarding2–5 days
Deposit1 month
Minimum termNone
ServicesEOR · Contractors · Payroll
Best for
Companies from startups to enterprises: Playroll has pages for each, and its case studies include startups under 100 staff and mid-market firms of 100 to 1,000
Not for
Contractors who want to be paid other than through Payoneer, the only payout route Playroll uses
Top pro
Its own country pages document EOR hiring in 151 countries + 6 territories, against a claim of 180+
Top con
A refundable deposit of one month's salary per EOR employee; the unused part comes back within two months of the last working day, or once claims are settled if that is later
Enterprise teams and small and growing businesses (SMEs), in RemotePass's own words
Not for
Buyers who must review EOR contract terms up front: no EOR agreement is public
Top pro
EOR from $349 per employee a month with tax included; 13 of 20 other EOR prices in dollars start higher
Top con
No EOR agreement is public: the Terms say EOR runs under a separate Consultant Agreement "available on the Site", which we did not find. The public legal documents are the Terms, the Privacy Policy and the Acceptable Use Policy
Prices Canada itself, from US$599 per employee a month.
6.6Our score 6.6 of 10Our EOR score
EOR price in Canada from
US$599per employee a month
EOR countries180 claimed, 151 documented
Minimum termNone
ServicesEOR · Contractors
Best for
A first hire in one new country or a team spread over many, at a startup, mid-market firm or enterprise (G-P has a page for each)
Not for
Buyers who rank EOR providers mostly by the monthly fee
Top pro
G-P claims EOR in 180+ countries; its Globalpedia country guides document 148 countries + 3 territories one by one
Top con
EOR from $599 per employee a month; 15 of 20 other EOR prices in US dollars that we compare start lower; volume discounts are offered but not quantified
Startups, scaling companies and enterprises, the three groups Native Teams writes for
Not for
Buyers who want to read the EOR or COR agreement before talking to sales: the terms of service are the only contract text online
Top pro
EOR from $99 per employee a month, below all 20 other per-employee EOR prices in USD we compare
Top con
The terms of service are the only contract text online. The EOR and COR agreements are not published, and the terms say a separate signed contract takes precedence
Crypto and web3 teams paying contractors in stablecoins or crypto, a segment Rise names (startups, web3 startups, DAOs, global agencies)
Not for
Companies that need an EOR in countries beyond the US and the UK today
Top pro
Prices are published per head: $49 a contractor a month (discounts for startups and non-profits), $299 for Agent of Record, $399 an employee for EOR
Top con
EOR is documented in 2 countries (US, UK) against a claim of 90+. The parent, Rise Works, Inc., is on the GLEIF register; no own entity is documented in either country
Small businesses, including teams under 10 employees, startups and enterprises: the segments Rippling has pages for
Not for
Buyers who want to compare an EOR price before a sales call
Top pro
Contractor onboarding in 185+ countries and payments in 50+ local currencies, per its contractor page; 160 countries + 2 territories are documented here
Top con
No price for EOR, contractor management or global payroll: the pricing page asks for a custom quote
US$599 a month is the platform fee; local employer services and benefits premiums are billed on top.
5.8Our score 5.8 of 10Our EOR score
EOR price from
US$599per employee a month
Entity in Canada
Own entity
EOR countries160 claimed, 146 documented
ServicesEOR · AOR
Best for
Enterprise-level companies, the audience Atlas's enterprise page names
Not for
Buyers who need a Contractor of Record: under Atlas's AOR the contract stays between the client and each contractor
Top pro
EOR in 141 countries + 5 territories documented here, against a claim of 160+ with wholly owned entities
Top con
At $599 per employee monthly, the EOR price is above 15 of the 20 other USD EOR prices we compare and equal to 4; local employer services, FX and benefits premiums are billed on top
The first Contractor of Record providers from the contractors page, which also covers the employee test, tax and how to pay.
The first 3 of 13 COR providers we score: those working in Canada first, each by our COR score. Working in Canada: 9 (1 by their COR coverage list, the rest inferred from their EOR coverage). How we score
The first global payroll providers from the payroll page, which also covers set-up, registrations and filings.
The first 3 of 14 global payroll providers we score: those working in Canada first, each by our global payroll score. Working in Canada: 12 (2 by their global payroll coverage list, the rest inferred from their EOR coverage). How we score
Enterprise teams and small and growing businesses (SMEs), in RemotePass's own words
Not for
Buyers who must review EOR contract terms up front: no EOR agreement is public
Top pro
EOR from $349 per employee a month with tax included; 13 of 20 other EOR prices in dollars start higher
Top con
No EOR agreement is public: the Terms say EOR runs under a separate Consultant Agreement "available on the Site", which we did not find. The public legal documents are the Terms, the Privacy Policy and the Acceptable Use Policy
There is no single rate. The federal minimum wage of CA$18.15 an hour covers federally regulated private-sector employers; provinces and territories set their own, and a higher provincial or territorial rate prevails.
How much does an employee cost in Canada on top of salary?
Outside Quebec, CPP, CPP2 and the employer's EI premium add ≈8% on a CA$70,000 salary. Provincial payroll taxes and health levies, workers' compensation and vacation pay are not in that figure.
Do employment rules in Canada differ by province?
Yes. Annual leave, notice and termination, public holidays and probation are set by each province, or by the Canada Labour Code for federally regulated employers, so no single national figure exists.
Own entity — company register
