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Find a Lawyer » Canada Legal Guides » Ontario Legal Guides » Work & Employment Rights Ontario » Wrongful Dismissal & Severance Ontario » Page 7
💡In Ontario, if your employer issues a Record of Employment (ROE) with Code M (Dismissal), Service Canada will generally deny your Employment Insurance (EI) benefits. You can challenge this by…
💡In specific Ontario regions like Toronto, Ottawa, and Windsor, mandatory mediation is a legally required step before a wrongful dismissal lawsuit can proceed to trial. Most of these employment disputes…
💡In Ontario, you cannot file a Ministry of Labour (MOL) claim and sue for wrongful dismissal at the same time. Filing an MOL claim limits you to basic ESA minimums…
💡If you are fired in Ontario but your employer issues an ROE with Code E (Quit), they are likely trying to avoid paying you severance. You must immediately dispute this…
💡A Summary Judgment motion allows you to win your Ontario wrongful dismissal lawsuit without going to a full trial. By presenting sworn affidavits and documents directly to a judge at…
💡In Ontario, if a business is sold and the new owner (the successor employer) keeps you as an employee, they legally inherit your past years of service. If they ever…
💡If you mistakenly filed a Ministry of Labour (MOL) claim for unpaid severance, Ontario law gives you a strict two-week (14-day) window to withdraw it. If you cancel within this…
⚠️Yes, an Ontario employer can file a Counterclaim against a fired employee in response to a wrongful dismissal lawsuit. However, courts heavily penalize employers with massive cost awards if they…
💼In Ontario, being fired simply so the boss can hire their child or friend is not considered illegal discrimination under the Human Rights Code. However, it is a termination without…
🕑The Ontario Employment Standards Act (ESA) generally protects employees from being forced to work more than 48 hours in a single week. If your employer fires you for refusing to…
💡In Ontario, you are generally entitled to compensation for lost ‘discretionary’ bonuses during your common law notice period if the bonus was an integral part of your regular compensation. Employers…
💡If you are fired in Ontario, you generally cannot keep the company laptop or phone, as it remains the property of the employer. However, the logistics of returning the equipment…
💡If you are placed on a temporary layoff in Ontario and your contract does not explicitly allow it, you can immediately claim constructive dismissal and demand full severance. Even if…
💡It is strictly illegal to fire an employee in Ontario as a reprisal for taking an approved statutory leave, such as Personal Emergency Leave or Sick Leave. You may be…
💡In Ontario, accepting a lower-paying or part-time job during your common law notice period does not cancel your severance. Your former employer must still pay a “top-up” to cover the…
🚨If your Ontario employer demands that you relocate to another country and fires you for refusing, this is generally considered a constructive dismissal. Unless your original employment contract explicitly included…
💡In Ontario, employers have a strict legal duty to act honestly and in good faith when terminating you. If they lie, manufacture fake causes, or fire you in a cruel…
💡If you physically work in Ontario for a United States-based company, you are fully protected by Canadian employment law. American “At-Will” employment clauses are illegal and completely void in Canada.…
💡If you are fired during your first week or even on your very first day of work in Ontario, you may still be entitled to months of common law severance…
👮In Ontario, having an unpardoned criminal record is not protected under the Human Rights Code. However, an employer cannot simply use an old or unrelated conviction as an excuse to…
✈️Yes, an Ontario employer must pay out all earned but unused vacation pay (usually 4% or 6% of wages) upon termination. Furthermore, if you are negotiating a common law severance…
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Welcome to the Ontario Wrongful Dismissal & Severance guide centre. Here you will find comprehensive resources covering everything from calculating common law severance packages to navigating constructive dismissal claims, based on current provincial regulations.
Losing your job is one of life’s most stressful events, especially when you feel you have not been treated fairly by your employer. In Ontario, the law recognizes the significant impact of termination and provides robust protections for non-unionized employees. While employers generally have the right to terminate employment “without cause,” they are legally obligated to provide adequate notice or financial compensation in lieu of that notice, commonly known as a severance package.
The foundational rules are set out in the Employment Standards Act (ESA), which dictates the absolute minimum notice and severance pay required. However, the vast majority of workers are also entitled to much more generous compensation under Ontario common law, which looks at factors like your age, length of service, and the availability of similar jobs. A wrongful dismissal occurs simply when an employer fires you without providing this full, legally required notice or severance pay.
Employment disputes surrounding termination can be complex and emotionally charged. Our resources cover the following key areas:
If your wrongful dismissal dispute cannot be resolved through negotiation, you will likely need to file a civil lawsuit at the Ontario Superior Court of Justice. This court handles the majority of common law employment disputes across the province. For smaller severance claims under $35,000, your case will be heard efficiently at the Small Claims Court branch.
Depending on the specifics of your termination, other provincial bodies may be involved. The Ontario Ministry of Labour, Immigration, Training and Skills Development enforces the minimum standards of the ESA, though filing a claim here often waives your right to pursue a larger common law lawsuit in court. Furthermore, if your firing involved discrimination or reprisal, your matter might be directed to the Human Rights Tribunal of Ontario (HRTO).
Signing a severance offer on the spot or attempting to negotiate with a former employer’s human resources department on your own is highly risky. We strictly advise against representing yourself in complex employment disputes. Employers frequently offer severance packages that only cover the ESA minimums, hoping you will not realize you are entitled to months of additional compensation under common law precedents.
Working with an experienced employment lawyer ensures your termination clause is reviewed properly and your maximum entitlements are accurately calculated. You can find a list of relevant local lawyers and government agencies at the top of this page. A legal professional can level the playing field, communicate with your employer’s legal counsel, and fiercely advocate for the financial security you deserve during your transition.
Statutory severance refers to the strict minimums required by the Employment Standards Act (ESA), which caps out at 8 weeks of notice and potentially 26 weeks of severance pay. Common law severance is based on judicial precedents and can offer up to 24 months of pay, factoring in your age, tenure, and position.
Under the Ontario Limitations Act, you generally have two years from the date of your termination to file a civil lawsuit against your former employer for wrongful dismissal. If you miss this deadline, you will lose your right to pursue legal action.
It is very difficult for an employer to prove a “just cause” termination in Ontario. To legally deny you severance, they must demonstrate severe wilful misconduct, such as theft, fraud, or gross insubordination. Many “for cause” dismissals are actually wrongful dismissals in disguise.
Constructive dismissal occurs when an employer unilaterally makes a substantial, negative change to your employment terms—such as a massive pay cut, a demotion, or forcing you to endure a toxic work environment—leaving you with no reasonable choice but to resign. You can then seek severance as if you were fired.
In late 2021, Ontario amended the ESA to ban non-compete agreements for most employees, meaning they are generally unenforceable. However, there are strict exceptions for executives or in the context of selling a business. Non-solicitation clauses, however, remain widely enforceable.
Never sign a severance offer immediately. Employers often impose arbitrary, short deadlines to pressure you. You have the legal right to take the contract home and have it reviewed by an employment lawyer before giving up your right to sue for better compensation.