Textbook Notes (368,389)
Canada (161,858)
LAW 529 (123)
Chapter 13

Chapter #13-Termination and Severance Pay Requirements Under the ESA.docx

5 Pages
Unlock Document

Law and Business
LAW 529
Pnina Alon- Shenker

Chapter 13 TerminationSeverance Pay Requirements Under the Employment Standards Act The ESAgives EEs a basic level of protection in setting the terms and conditions of employmentUnder ESA employees are entitles to receive notice of termination or pay in lieu of this notice unless termination falls within one of the limited statutory exceptions purpose of termination notice is to provide an EE with time while still being paid to look for another jobThe notice requirements of the ESA do not replace commonlaw notice requirements however in Ontario and EE cannot file a claim with the Ministry of a Labour against and ER for failure to provide termination or severance pay under the ESA and sue the ER for damages for wrongful dismissal for the same terminationThe maximum amount an ER can be ordered to pay an EE under the ESA is 10000 in most situationsThe ESA termination and severance requirements provide the only meaningful entitlements for example an entrylevel EE who is paid off after 2 years service is entitles to 2 weeks termination notice or pay in lieu under the ESAif the ER fails to provide this notice or pay in lieu the EE may enforce his statutory rights by filing a claim with the Ministry of LabourOVERVIEW OF ESA TERMINATION REQUIREMENTSThere are 3 main statutory requirements that relate to terminationthe basic one requires ERs to provide dismissed EEs with between 1 and 8 weeks notice of terminationor pay in lieu of notice depending on the length and EEs serviceA second termination requirement applies where many EEs are dismissed withina short period of time in this case mass notice provisions replace the individuals notice requirements noted aboveAs with COMMONLAW notice and ER has a choice under the ESA of providing an EE with advance notice of termination and letting the EE work throughout the notice period or giving the EE pay in lieu of noticeERs commonly give working notice when they dismiss many EEs at the same time for economic reasonsUnder s6366 of the ESA the third statutory requirement that applies in certain situations is SEVERANCE PAYthis exists in addition to termination notice or payAlthoughseverance pay is used to refer to all money paid to EEs on termination under the ESA it refers to a specific requirement that applies only in defined circumstances TEMPORARY LAYOFFS S56Under s56 of the ESA and ER is not required to provide notice of a temporary layoff even if it offers no recall date a temporary layoff can only last a certain length of time st An ER is considered to have terminated the EE on the 1 dayof the layoff and must provide statutory termination payUnder the ESA a layoff is temporary in the following circumstances o If it lasts no more than 13 weeks in a period of 20 consecutive weeks o If it lasts more than 13 weeks ina period of 20 consecutive weeks as long as it lasts less than 35 weeks in any period of 52 consecutive weeks where a The EE continues to receive substantial payments from the ER b The ER continues to make payments for benefitssuch as continuing dental disability or extended health benefits c The EE receives or is entitles to receive supplementary employment insurance benefits d The nonunionized EE is recalled within a time approved by the Director of Employment Standards or a time agreed by the ER and the EE o It lasts longer than 35 weeks in a 52week period the EE is represented by a union and the ER recalls the EE within the time set out in an agreement between the ER and the union Under s563 a week of layoff generally means a week in which an EE receives less than half of his regular earnings for a regular workweek excluding OTdoes not include a week where the EE is unavailable or unable to work suspended for disciplinary reasons or off work bc of a strike in wplaceAn EEwho retains RECALL RIGHTS a timelimited contractual right to return to work if a job becomes available and how is also entitles to termination pay because of a layoff of 35 weeks or more must make a choiceeither keep the recall rights and not receive payment at the time OR give up recall rights and receive the termination pay immediatelyTERMINATION NOTICE OR PAY IN LIEU REQUIREMENTS Where is an EE Terminated Termination occurs when an ER
More Less

Related notes for LAW 529

Log In


Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.