The hidden ‘time-off tax’ facing workers in B.C.

For many British Columbians, taking time off comes a hidden cost.

According to new research from ADP Canada, workers in B.C. are paying more of what the company calls a “time-off tax”—the extra hours logged before and after a vacation to prepare for time away or catch up afterward. Even when people do manage to take a break, many are still working around it.

“These insights highlight that, even when workers in Canada make an effort to take meaningful time off, many still find themselves putting in extra hours to prepare for, or catch up from their vacations,” says Heather Haslam, vice-president of marketing at ADP Canada.

The findings come from ADP Canada’s Happiness@Work Index, which actually ranks B.C. workers first in the country for workplace happiness. With a score of seven out of 10, the province appears to offer relatively strong work-life balance and flexibility.

But the data also suggests that balance is getting harder to maintain. Workers who took a one-week vacation in 2025 reported putting in an average of 16.9 extra hours of “time-off tax,” up from 13.6 hours the year before.

Not everyone is using their vacation days in the first place. The 2025 index found that just 32 per cent of Canadians take all the time off available to them. A separate ADP Canada survey points to a few reasons: some workers don’t feel the need to take time off, others save days for later, and many say their workload simply makes it difficult.

Even when people do step away, many don’t fully disconnect. In a 2019 ADP Canada survey of more than 1,500 respondents, 60 per cent said they checked in with work at least once while on vacation. Millennials and Gen Z reported feeling the strain most, with workers aged 18 to 24 the most likely to stay tethered to their jobs while away.

“It’s a clear reminder that while resting is essential, the process of taking time away can still feel demanding,” says Haslam. “Employers have an opportunity to ease that transition by fostering supportive policies and workloads that allow people to truly disconnect.”

In B.C., employees are legally entitled to at least one week of vacation in their first year and two weeks after 12 months, though many employers offer more. Companies like Lululemon Athletica and Telus provide additional vacation time upfront, reflecting a broader push to improve work-life balance. Now, ADP Canada is urging employers to rethink how vacation time is managed—encouraging real breaks, reducing burnout and helping workers come back recharged rather than overwhelmed.