In this work, the essential work of fracture (EWF) method is introduced for a peridynamic (PD) material model to characterize fracture toughness of ductile materials. First, an analytical derivation for the path-independence of the PD J-integral is provided. Thereafter, the classical J-integral and PD J-integral are computed on a number of analytical crack problems, for subsequent investigation on how it performs under large scale yielding of thin sheets. To represent a highly nonlinear elastic behavior, a new adaptive bond stiffness calibration and a modified bond-damage model with gradual softening are proposed. The model is employed for two different materials: a lower-ductility bainitic-martensitic steel and a higher-ductility bainitic steel. Up to the start of the softening phase, the PD model recovers the experimentally obtained stress-strain response of both materials. Due to the high failure sensitivity on the presence of defects for the lower-ductility material, the PD model could not recover the experimentally obtained EWF values. For the higher-ductility bainitic material, the PD model was able to match very well the experimentally obtained EWF values. Moreover, the J-integral value obtained from the PD model, at the absolute maximum specimen load, matched the corresponding EWF value.