I was fired without notice in Ontario — what severance am I owed?
The Employment Standards Act, 2000 sets the statutory minimum, but where there is no enforceable termination clause the common law of reasonable notice usually entitles a dismissed employee to substantially more.
Termination entitlements in Ontario come in two layers. The Employment Standards Act, 2000 sets the floor: one week of notice or pay in lieu per completed year of service to a maximum of eight weeks, plus statutory severance pay of one week per year to a maximum of twenty-six weeks where the employee has five or more years of service and the employer meets the payroll or mass-termination threshold.
The second layer is the common law. Unless the employment contract contains a termination clause that is enforceable in every respect, the employee is entitled to reasonable notice assessed on the Bardal factors — character of employment, length of service, age, and the availability of comparable work. Awards well beyond the statutory minimum are routine.
Before signing a release, have the termination clause reviewed. Ontario courts strike down clauses that contract out of the Act anywhere in the agreement, and when the clause fails the common law entitlement revives in full.
Source: Employment Standards Act, 2000, S.O. 2000, c. 41
This work is handled by Arjun Vishwanth (Employment / wrongful dismissal). Read more about employment / wrongful dismissal at VK Law Group, or send us the facts and we will tell you where you stand.
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