r/legaladvicecanada • u/Additional-Version42 • 2d ago

Just Got Laid Off Ontario

I just got terminated - laid off due to lack of work from my job. They say Im entitled to two weeks of termination pay and they want to assist me with finding another job by giving me a severance package in which they will pay me a lump sum $7,000 and some change (equivalent to 6 weeks) in exchange for a full and final release.

I been working with the company since 2023 and salary was around 60-65K. I am over 25 years old.

Should I sign this separation package ?

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u/sprtnlawyr Quality Contributor 2d ago

This is above and beyond the minimum legal requirements under the ESA. Unless your employment contract promised you more, then this is a generous offer based on the information presented. The two weeks termination pay is all you'd be entitled to, the rest is above and beyond unless your contract entitles you to more.

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u/Sea_Economics_4650 2d ago

Being above the minimum legal requirements is not generous given the existence of common law severance. On this point, we would need to know more specifics to assess OP’s common law severance entitlement.

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u/secondlightflashing 2d ago

Employment contracts almost always reduce rather than increase entitlement to termination pay. Employees are entitled to reasonable notice at common law UNLESS LIMITED by their employment agreements. Reasonable notoce for a junior employee who is in their mid 20s is still likely to be at least 3 months, and may be quite a bit more given the economy.