Employers usually like some notice before an employee quits, but this is not required. Employees who quit their job are not paid compensation for length of employment. If an employee quits their job, it may affect their eligibility for federal government benefits.
Employees should consider whether they are eligible for a job-protected leave of absence if they need to unexpectedly take time off work to deal with illness or life situations.
If an employee does give notice that they quit their job, the employer can choose to terminate them sooner as long as they pay an amount that equals the remaining notice given by the employee or the amount they would have to pay the employee if they had decided to terminate them – whichever is less.
To end an employee's job, employers can give written working notice or an equal amount of pay called compensation for length of service. They can also choose to give a combination of both notice and pay.
There are certain limited exceptions when an employer will not be required to pay compensation for length of service.
Employers can also fire an employee for just cause. If an employer has just cause, they don't have to give notice or pay.
Giving written notice
Employers can write to an employee to let them know their job will end by a certain date. Employees must be able to work and earn income for the duration of the notice period. Notice cannot begin if an employee is:
Employers must wait for an employee to return to work before they can give notice. If an employer can't give notice (for example, the employee is on vacation, leave or temporary layoff) they can pay compensation instead.
If an employee continues to work after a notice period ends, the notice is cancelled. The employee is still employed, and the employer has to give a notice again or pay compensation to end the job.
Once an employer gives written notice, they can’t change the job without the employee’s written agreement (for example, lowering hours or pay).
Employers can pay employees money to compensate for the loss of their job. This means an employer can let an employee go immediately if they want as long as they pay the entire compensation pay required.
An employee has worked for a company for 2 years and their job is going to end. Their employer can choose to do one of the following:
The amount of written notice and/or pay is based on how long an employee has been employed.
Length of employment | Amount required |
---|---|
3 months or less | No notice and/or pay |
More than 3 months | 1 week of notice and/or pay |
More than 1 year | 2 weeks of notice and/or pay |
More than 3 years | 3 weeks of notice and/or pay, plus 1 week of notice/pay after each additional year of employment (to a maximum of 8 weeks) |
The sale, lease or transfer of a business does not interrupt an employee’s length of employment unless the employee has been properly terminated by the seller employer before the transfer of the business occurs.
To calculate a week’s pay, divide total wages earned by the employee over the last 8 weeks by 8.
Include all wages – this includes salary, commission, statutory holiday pay and paid vacation. Don't include overtime.
If an employee is laid off, they're still considered to be employed. Include the time an employee was temporarily laid off when calculating their length of employment
If an employee's job ends while they're temporarily laid off, include the layoff period when calculating their length of employment. An employee on layoff is still considered to be employed.
When calculating a week's pay, use the 8-week period immediately before the layoff began.
Situations when notice or compensation isn't required
Notice or compensation is not required if an employee:
If an employer proves an employee was fired for just cause, there is no requirement to pay compensation for length of service.
An employer can fire an employee with just cause if they commit a serious offence. For example, if an employee steals, commits fraud, acts dishonestly, assaults or harasses others, or breaks company rules.
Unsatisfactory performance (for example, an employee is unable to perform job duties) or minor misconduct (such as lateness or not coming to work) are not considered just cause. An employer can fire an employee for these reasons as long as they give notice and/or pay.
An employer may be able to fire an employee for these reasons without notice or pay if they can show they did certain things. For example, the employer must prove that the employee:
Employers must provide clear and consistent standards for all staff. They also need to act in a reasonable amount of time to correct employee behaviour. If they cannot show proof that they did this, they may not be able to prove just cause.
Employers do not need to give written notice or pay if they fire an employee for just cause.
Employees who feel they have been fired without just cause can sue for wrongful dismissal. This is different than making a complaint for compensation for length of service with the Employment Standards Branch. If an employee chooses to go to court, they should seek legal advice. The Employment Standards Branch cannot provide legal advice.
Group termination rules follow the same process as ending employment for an individual employee. Except in limited circumstances, employers must give notice or pay, or a combination of both if they want to end employment for a large group of employees.
If an employer plans to terminate 50 or more employees at a single location within a 2-month period, the employer must give written notice of group termination to each employee affected, the Minister of Labour and any trade union that represents the employees. There are limited exceptions to when the employer must take these additional steps.
Final wages is everything the employer owes an employee. It may include regular wages, overtime, statutory holiday pay, compensation for length of service and vacation pay. Final payment must be made:
If an employee cannot be located, the employer must pay the wages to the Director of Employment Standards within 60 days of the wages being payable. The Director holds the wages in trust for the employee.
If you're having issues at work, find out what you can do:
Exceptions
References from the Employment Standards Act and Regulation