Annual Wage Supplement (AWS), or “13th month payment”, is a variable payment agreed between employees and employers, according to the terms of the:
- Employment contract
- Company's employment handbook
- Collective agreement (if the company is unionised)
Progressive employers provide AWS to reward employees based on the company's financial performance for the year. Providing a bonus to employees can boost morale, increasing productivity and loyalty.
AWS is not required by law. Your entitlement to AWS and how it is calculated, including pro-ration, would depend on the terms of your contract with your company.