Publication
Facing a Potential Layoff? Here’s What You Need to Know
Few things are more stressful than the possibility of losing your job. Especially when you suspect layoffs are coming but haven’t received official notice of termination of employment. So, what should you do if you find yourself in this situation?
1. Understand Your Rights
In Canada, every employment contract includes an implied term: if an employer terminates you without “just cause” (a valid legal reason), they must provide reasonable notice of termination or severance pay in lieu of that notice.
But what steps should you take before you receive that notice?
2. Speak to an Employment Lawyer Early
You don’t necessarily need to hire a lawyer before termination but consulting one early can be incredibly helpful. An employment lawyer can:
- Explain your rights and potential severance entitlement.
- Review your employment contract, bonus plans, and incentive programs.
- Analyze stock options or long-term incentive plans to determine what you’re owed.
Engaging a lawyer ahead of time also gives you the chance to build a relationship and reduce stress if termination does occur.
Important: Once you receive notice of termination, speak to a lawyer before signing any release or accepting a severance offer.
3. Prepare for Your Next Opportunity
The purpose of providing notice of termination or severance to give you time to find comparable employment. If you know your role is at risk, start preparing now:
- Update your resume.
- Explore job postings.
- Reach out to your network.
These steps could help you land a new role quickly, avoiding a severance dispute altogether, or give you insight into your job market prospects, which can strengthen your negotiation position. your goal is to secure a new job that replaces your income, not just pursue a legal claim that costs time and money.
4. Get Organized Early
Don’t wait until the last minute. Take these proactive steps:
- Gather your employment documents.
- Refresh your resume.
- Connect with an employment lawyer who can ensure you’re treated fairly.
Bottom line: Preparation is your best defense. Start now, and you’ll be ready for whatever comes next.
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