Wednesday, 10 August 2011

EMPLOYMENT STANDARD GUIDE


http://www.labour.gov.on.ca/english/es/pubs/guide/termination.php#temp_layoff

Temporary Layoff

An employee is on temporary layoff when an employer cuts back or stops the employee's work without ending his or her employment (e.g., laying someone off at times when there is not enough work to do). An employer may put an employee on a temporary layoff without specifying a date on which the employee will be recalled to work.
For the purposes of the termination provisions of the ESA, a "week of layoff" is a week in which the employee earned less than half of what he or she would ordinarily earn (or earns on average) in a week.
A week of layoff does not include any week in which the employee did not work for one or more days because the employee was not able or available to work, was subject to disciplinary suspension, or was not provided with work because of a strike or lockout.
Employers are not required under the ESA to provide employees with a written notice of a temporary layoff, nor do they have to produce a reason. They may, however, be required to do these things under a collective agreement or an employment contract.
Under the ESA, a “temporary layoff” can last:
  1. not more than 13 weeks of layoff in any period of 20 consecutive weeks;
    or
  2. more than 13 weeks in any period of 20 consecutive weeks, but less than 35 weeks of layoff in any period of 52 consecutive weeks, where:
    • the employee continues to receive substantial payments from the employer;
      or
    • the employer continues to make payments for the benefit of the employee under a legitimate group or employee insurance plan (such as a medical or drug insurance plan) or a legitimate retirement or pension plan;
      or
    • the employee receives supplementary unemployment benefits;
      or
    • the employee would be entitled to receive supplementary unemployment benefits but isn't receiving them because he or she is employed elsewhere;
      or
    • the employer recalls the employee to work within the time frame approved by the Director of Employment Standards;
      or
    • the employer recalls the employee within the time frame set out in an agreement with an employee who is not represented by a trade union;
      or
  3. a layoff longer than a layoff described in 'B' where the employer recalls an employee who is represented by a trade union within the time set out in an agreement between the union and the employer.
If an employee is laid off for a period longer than a temporary layoff as set out above, the employer is considered to have terminated the employee's employment. Generally, the employee will then be entitled to termination pay.

Written Notice of Termination and Termination Pay

Under the ESA:
  • an employer can terminate the employment of an employee who has been employed continuously for three months or more if the employer has given the employee proper written notice of termination and the notice period has expired;
    or
  • an employer can terminate the employment of an employee without written notice or with less notice than is required if the employer pays termination pay to the employee.
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Written Notice of Termination

When an employee is terminated, the written notice required under the ESA is generally determined by how long someone has been employed by an employer.
Notice of termination of employment, once given, cannot be withdrawn without the consent of the employee.
The following chart specifies the periods of statutory notice required.
Length of Employment Notice Required
Less than 3 months None
3 months but less than 1 year 1 week
1 year but less than 3 years 2 weeks
3 years but less than 4 years 3 weeks
4 years but less than 5 years 4 weeks
5 years but less than 6 years 5 weeks
6 years but less than 7 years 6 weeks
7 years but less than 8 years 7 weeks
8 years or more 8 weeks

Note: Special rules determine the amount of notice required in the case of mass terminations - where 50 or more employees are terminated at an employer's establishment within a four-week period.

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