I was let go without any explanation after one year of work. At the time, I was very shocked and not thinking straight, so I didn't know to ask for severance. But someone told me I would be entitled to severance, and I could request it up to one or two years later, even though I've already left. I haven't signed any release or paperwork. Is it right to seek severance right now, or is it right to wait until I'm in a better place to tackle this issue?
Having a job can be a distressing experience. Employees are typically entitled to consider their options and seek legal assistance before acceptance of a termination package.
While frequently used interchangeably, 'notice' and'severance' are distinct legal concepts. After one year of service, you are entitled to notice or pay in lieu of it, but not to severance. In Ontario, the amount of notice pay is regulated by the Law of the Employment Standards Act, your employment contract and the common law.
Under Ontario's ESA, you are subject to one week of notice pay, if you are employed for a year. However, depending on the language of your employment contract, you may be entitled to a higher amount as a result of the common law. If you were terminated, you may also be entitled to a substantial compensation, including the withholding of ESA entitlements, or if any human rights violations were a factor in your termination.
Under Ontario's ESA, a terminated employee is entitled to severance pay only after five years of service and when the employer's payroll exceed $2.5 million or if the employer terminates more than 50 employees in a six-month period. This is separate and separate from any notice pay.
You can negotiate a termination package up to two years in court if you are barred from commencement of a claim. Human rights claim limitations may be shorter at a one-year limit. While each case is unique, it can advantageously be advantageous to negotiate a termination package early for a variety of practical reasons. Regardless of when you choose to negotiate, examining legal advice early is usually helpful.
To decide on the next step, we need time to process your discontinuation, which can be shocking and it is natural to do so. The deadline to bring civil lawsuits to court in Canada is two years. In certain administrative tribunals, a claim must be started within a year or less.
The province has specific employment standards laws governing terminated workers, which mean that they are required to pay certain amounts of notice or pay in lieu of notice. Certain jurisdictions also require additional money called'severance' to be provided. If you worked between one and three years, you would be entitled to two weeks' notice or pay in lieu of notice, assuming the employer is not saying that there was serious misconduct. A claim for aggravated or punitive damages may arise if an employer doesn't pay the required minimum statutory amounts within a certain time.
Beyond the minimum requirements, there is also the common law. The judge will determine how long it will take an employee to find another similar job, considering factors like age, education, and length of service. This is frequently significantly more than the statutory amounts. The employment contract affects whether an employee can claim this higher amount. If you only worked for a year, your common law claim may be for two to four months of compensation or more.
To recover the debt owed, you should contact an employment lawyer. At the most least, that employer owes those statutory minimum amounts.
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