Understanding Your Employee Rights: Navigating Layoffs

Kevin Marshall

December 5, 2023

In the ever-evolving landscape of employment, facing a layoff can be a daunting experience.  As an employee in Ontario, it's crucial to be aware of your rights and protections under the Employment Standards Act, 2000. In this blog post, I'll delve into the intricacies of layoffs and shed light on constructive dismissal, ensuring you're well-informed and empowered during these challenging times.

The Employment Standards Act, 2000:  Your Shield in Layoffs

Notice and Severance Pay


The Employment Standards Act, 2000 (ESA) outlines specific provisions that employers must follow when initiating a layoff.  

There is no such thing as an indefinite or permanent layoff.  All layoffs are temporary, after which they are deemed terminations:  A single layoff lasting longer than 13 weeks in any period of 20 consecutive weeks is deemed a termination of employment.  The same thing applies to a series of layoffs longer than 35 weeks in any 52-week period. In such cases, you are entitled to termination pay and/or severance pay, retroactive to the original layoff date.

Constructive Dismissal:  Unpacking the Concept

What is Constructive Dismissal?

Constructive dismissal occurs when fundamental terms of your employment are unilaterally changed by your employer, creating a situation where you feel compelled to “resign”.  One such fundamental change may be a notice of layoff.  When you receive such a notice, you may immediately have a constructive dismissal claim, particularly if your employment contract is silent on this issue.


Alternatively, you may wish to apply for E.I. benefits and wait for your employer’s request to return to work, failing which you can pursue a claim for termination.  If your co-workers are called back to work and you are not, you would be wise to advance a constructive dismissal claim.

Your best recourse is avoid delay, otherwise you may miss your opportunity to advance a viable claim:  Either advance a claim immediately after being notified of a layoff, after being informed your co-workers were called back to work, or after the layoff becomes a termination.

Your Path Forward: Seeking Legal Guidance

Consulting with an Employment Lawyer

Navigating the complexities of layoffs and constructive dismissal can be challenging, but you don't have to face it alone.  As an experienced employment lawyer, I am here to provide guidance for your specific situation. Whether you're uncertain about your entitlements, facing a constructive dismissal, or need assistance negotiating a fair severance package, I will ensure that your rights are protected.


To schedule a consultation for more detailed information on your rights during a layoff in your unique circumstances, call us at 416-383-0550 or email us at help@kmlawyer.ca.  Remember, knowledge is power, and understanding your rights is the first step towards securing a fair and just resolution.