In Ontario, being investigated by the police is not a crime. If your employer fires you simply because officers asked questions-and no formal charges or convictions have occurred-it is generally a dismissal “without cause.” You are legally entitled to your full common law severance package, and potentially aggravated damages for reputational harm.
The Impact of a Police Investigation on Your Job in Ontario
Having the police show up at your workplace or home to ask questions is an incredibly terrifying experience. 👮 For employees across Ontario, from the financial districts in Toronto to industrial sectors in Brampton, rumors spread rapidly. Many employers panic at the mere sight of law enforcement and immediately decide to terminate the employee to protect the company’s “reputation.” They often attempt to classify this as a “just cause” firing, pushing the worker out the door with zero severance.
Under Canadian employment law, a mere police investigation-without formal charges or a conviction for a summary or indictable offence-does not give an employer the right to bypass your severance. 📍 The presumption of innocence is a cornerstone of the legal system. Unless the employer conducts their own thorough, unbiased internal investigation and objectively proves that you committed severe workplace misconduct (like internal fraud or theft), firing you abruptly requires them to pay common law reasonable notice, which can equal up to 24 months of compensation.
Step-by-Step Process if You Are Fired During an Investigation
Navigating an active police investigation while losing your income requires extreme caution. 📝 Anything you say to your employer can potentially be handed over to the police. Here is how workers in Ontario should protect both their freedom and their financial rights.
Step 1: Exercise Your Right to Silence
If your boss calls you into an office because the police are looking into you, do not over-explain or confess details in an attempt to save your job. 🚫 You have the right to remain silent. Statements made to HR or management can be used against you in a criminal investigation. Politely state that you are dealing with a private legal matter and cannot discuss it.
Step 2: Do Not Sign a Release
If the employer hands you a termination letter alleging “just cause” or offers a tiny severance package in exchange for your signature, do not sign it. 📄 Signing a release while under extreme emotional distress can permanently block you from suing for your rightful compensation. Take the documents home.
Step 3: Hire Both a Criminal and Employment Lawyer
You face two separate legal battles. 👥 First, consult a criminal defence lawyer to handle the police investigation. Second, hire a local Ontario employment law firm. Your employment lawyer will handle the wrongful dismissal aspect, ensuring that your demand letter for severance does not inadvertently incriminate you in the parallel police matter.
Step 4: Launching the Civil Lawsuit
If the employer refuses to pay severance, your employment lawyer will file a Statement of Claim at the Superior Court of Justice. ⚖ In cases where the employer humiliated you (e.g., falsely telling coworkers you are a criminal), your lawyer will also seek “aggravated damages” and “defamation damages” to compensate for the mental distress and reputational ruin.
How Much Does Legal Representation Cost?
Fighting a wealthy corporation while dealing with law enforcement is daunting, but affordable legal options exist. 💰 As of May 2026, most employment lawyers in Ontario offer structures to help out-of-work residents.
| Legal Service | Average Cost in Ontario (CAD) | Details |
|---|---|---|
| Contingency Fee (Employment) | 25% to 35% of Settlement | No upfront hourly fees for the wrongful dismissal claim. The lawyer takes a cut of the final payout. |
| Criminal Defence Lawyer | $300 to $800+ per hour | Criminal lawyers generally do not work on contingency. You will likely need to pay a retainer. |
| Superior Court Filing Fee | $228 CAD | The mandatory provincial fee to officially start your civil lawsuit against the employer. |
How Long Does the Process Take?
The civil litigation timeline can be heavily affected by the police investigation. 🕎 Often, an employment lawyer will file the lawsuit but wait to negotiate until the police officially drop the investigation. If the employer realizes they acted hastily, a severance settlement might be reached in 3 to 6 months. If a full trial at the Superior Court of Justice is required, the process can take 1.5 to 2.5 years.
Frequently Asked Questions (FAQ)
What if the police eventually charge me?
If you are eventually charged and convicted of an indictable offence related to your workplace (like embezzling from the company), the employer will have solid grounds for a “just cause” dismissal, and your right to severance will likely vanish. However, if the charges are unrelated to work, you may still be owed severance.
Can the employer legally tell my coworkers why I was fired?
No. If management spreads unproven allegations to your colleagues or clients stating that you are under criminal investigation, they may be liable for severe defamation damages. An employer should only communicate that you are “no longer with the company.”
Do I qualify for Employment Insurance (EI)?
If your employer marks your Record of Employment (ROE) as “dismissal for cause” simply because the police asked questions, Service Canada may initially deny your EI benefits. You must appeal this decision, explaining that no charges exist and you are pursuing a wrongful dismissal claim.
Can I be placed on an unpaid suspension instead?
Employers in Ontario generally have the right to place you on a temporary administrative leave while police investigate. However, this leave usually must be PAID. Placing you on an indefinite UNPAID suspension without cause is often considered constructive dismissal.
Do not let a mere investigation ruin your financial stability. If you were abruptly fired in Ontario because of unproven police inquiries, browse our directory to connect with a trusted employment lawyer who can aggressively protect your reputation and your severance rights.
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