Canada tops list of North American countries for best sick leave pay

Taking sick leave in Canada pays well compared to other countries in North and Central America, according to a new report.

U.K.-based human resources and payroll company Moorepay released its Global Sick Leave Report for 2025, revealing which countries offer the best sick pay.

"Sick pay is an essential part of the socio-economic contract and contributes to public health improvements and individual well-being," reads the report. "It also potentially boosts employment rates and employee engagement."

Moorepay added that a healthy sick leave policy can also reduce the cost of "presenteeism," or the lower productivity of employees who work through illness or injury instead of taking time off to recover.

"Many can't afford to take time off on heavily reduced pay, and economic pressure to
work through illness or injury increases the risk of illness spreading through the workplace, among other health and safety issues," reads the report.

To compare sick pay rates around the world, the organization said it manually researched the statutory sick pay legislation in 113 countries to determine which offer the highest and lowest sick pay for a week's leave, in absolute terms and when adjusted for local purchasing power.

Canada placed first for the best sick leave pay in North and Central America. According to the report, in absolute terms, employees in Canada are entitled to C$697.12 in mandatory sick pay for a week off. Converted to "international dollars," which takes local pricing into account, this amounts to Intl$613.94.

Paid sick leave varies across different provincial jurisdictions in Canada and usually depends on the employer's policy.

The report also found that the average worker in Canada takes 12.5 days off each year due to illness.

Following Canada is the Bahamas, which provides Intl$500.19 in sick pay for a week's leave, and Panama (Intl$493.39).

The United States placed last on the list, having the worst rates for sick pay at $0. The report did note that some U.S. employees of medium-sized firms upwards are eligible for up to 12 weeks of unpaid sick leave under the Family and Medical Leave Act. Eighteen states also have their own sick pay laws, but other than that, sick pay is the employer's prerogative.

Moorepay

Similarly to the U.S., South Korea and Tunisia also don't have statutory sick pay.

Canada didn't make the top 10 best countries for paid sick leave. Qatar placed first in international dollars, providing workers with Intl$1,644.69 in sick pay for a week off. Singapore is in second place (Intl$1,557.59), followed by Luxembourg (Intl$1,518.76).

According to the report, Luxembourg pays sick pay at 100 per cent of regular salary levels.

"In Luxembourg, the employer covers this cost for the first 77 days within an 18-month period, after which the Social Security Medical Control Service (CMSS) takes over," it noted.

Besides the U.S., South Korea, and Tunisia round out the top three countries with the lowest paid sick leave.

Moorepay said that figures are quoted in international dollars to factor in the cost of living in each country. As per the World Bank, the international dollar is "the comparable amount of goods and services a U.S. dollar would buy in the United States."