The Ontario government has extended the COVID-19-related temporary layoff regulation to January 2, 2021 with the exception of those in federally regulated industries. The regulation permits an employer to temporarily lay off an employee, or temporarily reduce their hours and/or pay, without it being deemed constructive dismissal. Constructive dismissal is the term for when an…

As part of its efforts to address the COVID-19 pandemic, the Ontario government changed the rules on temporary employment layoffs as well as temporary reductions of hours and salary. The rule changes were to stay in effect only for the duration of the COVID-19 period, defined as the duration of Ontario’s pandemic-related state of emergency,…

Workers that have been laid off from their position under a fixed term contract of employment before the end date of the contract may be unaware of their rights and entitlements to recover damages or unpaid wages from their former employer. Layoffs related to business reasons are “incompatible with fixed term hiring” and generally cannot…

Layoffs and Work Sharing Your relationship with your Ontario Employees is governed by the Employment Standards Act (“ESA”) and the Common Law. The ESA allows you to temporarily layoff employees, and to enter work sharing agreements. However, this is subject to some ESA and Common Law restrictions, which I will discuss below. If your business…

A temporary layoff occurs when an employer stops giving an employee work and (usually) pay for a limited period of time. The employer files a Record of Employment and the employee is permitted to apply for Employment Insurance. At the end of the layoff period, the employee is recalled and returns to work with their…

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