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Can an employee be terminated without notice?
What happens if an employee is terminated without cause?
Who is not entitled to notice of termination or termination pay?
How much notice do you need to terminate an employee?
What is a notice of termination?
What is a termination without cause in Ontario?
When an employee is terminated without cause, the employer must provide either reasonable notice of termination or pay in lieu of notice. Reasonable notice means giving the employee an advanced warning that their employment will be ending on a specific date.
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- Termination of employment
- Temporary lay-off
- Severance pay
- Unjust dismissal
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Note: for the purpose of this web page, reference to “employee(s)” includes persons that are often referred to as “interns”. The reference to “employee(s)” excludes “student interns” who are undertaking internships to fulfill the requirements of their educational program.
•Termination of employment
•Individual termination
•Progressive discipline
•Employee terminating employment
•Group termination
•Temporary lay-off
Individual termination
If you are an employer and choose to terminate the employment of an employee, you must: provide the employee with a minimum of 2 weeks’ written notice. For an employee who has completed at least 3 years of service, the minimum notice requirement is equivalent to 1 week per completed year of employment, up to a maximum of 8 weeks of notice, or pay the employee their regular wages in lieu of notice A combination of notice and wages in lieu of notice is permitted. Notice of termination of employment or pay in lieu of notice is not required if the employee: has not completed 3 consecutive months of continuous employment terminates their own employment is dismissed for just cause is on a temporary lay-off that does not constitute a termination of employment has signed an employment contract that provides a specific end date and that the work ends on that specified date Employers are also required to provide a statement of benefits to any employee whose employment is terminated, that details their: wages vacation pay severance pay, and any other benefits and pay arising from their employment The Statement of Benefits template (LAB1214), outlines the information that employers will be required to provide to employees on termination. The Statement of Benefits template (LAB1214) is an optional tool to assist employers in applying these provisions. As such, its use is not mandatory to satisfy the requirements under the Code. Employers may fulfill this obligation by means of another document, or a combination of documents, containing the required information. If the employee has completed 12 consecutive months of continuous employment, you must also provide the employee with severance pay.
Progressive discipline
As an employer, if you have concerns with an employee’s work performance, you should apply “progressive discipline” to clarify objectives and outline how the employee can improve performance. For more information and guidance, please consult the progressive discipline page.
Employee terminating employment
As an employee, the Canada Labour Code does not require you to provide notice of termination to your employer. However, if you have signed an employment contract, it may contain requirements for you to do so.
As an employer, you may decide to lay off an employee from work for a short term with the intention to recall the employee back to work. This is called a temporary lay-off and it can happen for reasons such as a lack of work.
Examples of lay-offs that do not constitute a termination of employment are:
•when a lay-off is a result of a strike or lockout
•when the duration of the lay-off is 3 months or less
•when the duration of the lay-off is for more than 3 months but not more than 12 months, and the employee maintains recall rights under a collective agreement
The full list of lay-offs that do not constitute a termination of employment can be found in the Canada Labour Standards Regulations.
Employer obligations
As an employer, if you terminate the employment of an employee, you must provide the employee who has completed at least 12 consecutive months of continuous employment with severance pay. Employees, who have 12 consecutive months of employment, that were subject to a lay-off or dismissal (due to lack of work or the end of a work function) that resulted in a termination of employment, are entitled to severance pay. Severance pay is the greater of the following: 2 days wages, at the employee’s regular rate of wages, for each full year that an employee has worked for an employer before they were terminated, or 5 days wages at the employee’s regular rate of wages In addition, you must provide a notice of termination or a pay in lieu of notice.
Exceptions
As an employer, you are required to pay severance pay in instances of individual and group termination of employment. Severance pay is not required when: the employee’s lay-off does not result in a termination of employment the employee’s employment contract contains an end date and the contract ends the employee is dismissed for just cause, or the employee terminates their own employment
Part III of the Canada Labour Code prohibits the unjust dismissal of employees who:
•have completed at least 12 months of continuous employment with the same employer, and
•who are not covered by a collective agreement
Federally regulated employers found to have unjustly dismissed their employees may be ordered to reinstate and/or compensate the affected employees.
Affected employees who believe they have been unjustly dismissed can file an unjust dismissal complaint with the Labour Program.
For more information, please consult the eligibility and timelines requirements.
For more information, contact the Labour Program.
•Interpretations, Policies and Guidelines (IPGs)
•Progressive discipline
•Unjust dismissal – Mediation process
•Unjust dismissal – A guide to the hearing process
There are special rules for providing notice of termination if an employee has a contract of employment or a collective agreement that provides seniority rights that allow an employee who is to be laid off or whose employment is to be terminated to displace ("bump") other employees.
Oct 22, 2024 · Employment can be terminated at any time if the employee is provided with appropriate notice of termination as well as any applicable legislative entitlements. However, if an employee engages in conduct that is incompatible with the fundamental terms of the employment contract, he or she may be dismissed without notice for just cause.
What notice or payment in lieu of notice must be given to an employee whose employment is being terminated? An employer must provide an employee with at least two weeks written notice of their intention to terminate the employment of an employee. In lieu of written notice, the employer must pay two weeks wages at the regular rate to the employee.
If you are terminated without cause, you are entitled to one the following: Severance pay; Notice of termination (or working notice) A combination of both severance and working notice; It’s crucial to consult an employment lawyer at Samfiru Tumarkin LLP to ensure you receive fair treatment and a proper severance package.
Jul 14, 2020 · Yes, in Ontario, your employer can terminate you without cause, and they don’t have to provide a reason. However, they must provide notice and or pay in lieu of notice of termination.
