Get Severance Pay

Losing a job can be a devastating blow to a person’s financial stability. It’s common for people to immediately start worrying about how they’ll pay their bills, where they’ll work next, and what their future plans might look like. And that’s if they haven’t already begun planning for the worst case scenario: the dreaded “mass lay-off”.

In some cases, companies are legally required to give workers severance pay. However, even if they’re not legally required to do so, it’s often in the company’s best interest to help their employees transition out of their jobs. Severance pay can defuse hard feelings and offer a cushion of income to tide a worker over until they find a new gig.

Severance packages are typically based on the amount of time an employee has worked for the company. They may also include other elements such as job placement services, training, or career coaching (which can be helpful if the terminated employee is looking to make a dramatic change in their careers).

Can Remote Workers Get Severance Pay?

While it’s possible for a company to calculate an individual’s severance package on the basis of an individual’s salary, most organizations choose to use a formula such as four weeks of pay for every year they’ve been with the company. This allows for a degree of consistency, and it avoids situations where one high-performing employee might be offered more than another low-performing employee who’s leaving on better terms.

For remote workers, it can be challenging for an employer to meet their legal obligations to provide termination notice in a face-to-face meeting. This can lead to confusion about how much notice is required. However, there are many options available to employers that can allow them to comply with the law. For example, they can send a written notice via email or overnight, or they can conduct the termination over the phone or video conference.

Regardless of whether or not an employer offers a severance package, it’s important for a laid-off worker to review the contract thoroughly before signing. They should ask for clarification of any unclear terms and consider consulting a lawyer if they’re not comfortable with a portion of the agreement. In addition, it’s a good idea for them to apply for employment insurance right away.

Employment insurance (EI) is a regular benefit paid to individuals who lose their jobs through no fault of their own. If a company lays off employees, they must give them at least 60 days notice, and the company must pay the workers their full wages during that period. Companies sometimes attempt to limit their liability by including a clause in an employment contract that restricts their severance pay Toronto entitlement. An experienced Ontario employment lawyer can help you understand your rights when it comes to severance packages.