Federally Regulated Employees
If you are a Federally Regulated Employee, it’s important to consider all factors that might impact your severance pay. In addition to salary, non-salary compensation like pension benefits, bonuses or stock options should all be factored in. Consulting an employment lawyer to review your severance package is always well-advised, particularly if you are eligible for non-salary compensation.
Federally Regulated Employee severance pay is compensation paid to an employee who is involuntarily separated from Federal service or whose Federal employment terminates without cause. It is based on the number of years of service at the rate in effect at the time of separation, and the age of the individual at the time of separation.
Federally regulated employees can be impacted by the Canada Labour Code, which sets basic rules that govern wages and other aspects of employment. These include minimum wage requirements, health and safety regulations, vacation entitlements, statutory holidays and severance pay.
Severance Pay For Federally Regulated Employees
Whether you are in the private or public sector, a company that is federally regulated is required to provide two weeks pay and severance if you are fired without a reason. There are also specific requirements for group terminations involving 50 or more employees.
The amount of severance pay is based on the length of service, the age of the employee and other considerations. The calculation of severance pay is a complex process, and the details are often in the contract. However, if the contract does not specify what severance pay should be, the minimum standard set out in the Canada Labour Code will apply.
Employees who are entitled to bank employee severance package can choose whether to receive it in a lump sum or in regular payments over a certain period of time. However, it is important to note that if you are receiving severance pay in periodic payments, you might need to claim Employment Insurance in order to cover the gaps between those payments.
It is also worth noting that an employer cannot change a Federally Regulated Employee’s job title, responsibilities, hours of work or any other significant part of the job without first giving the employee the opportunity to agree to the changes. This is called constructive dismissal, and an employer could be liable for severance pay as well as other damages.
If you are a Federally Regulated employee who is being laid off or is considering accepting a severance package, speak with an employment lawyer right away. They can help ensure that you get the maximum severance pay possible. Healthcare benefits are another significant component of severance packages, especially in industries like banking, where employees are often provided with extensive health coverage during their employment.
The attorneys at Samfiru Tumarkin LLP can review your severance package and determine if you were unfairly dismissed. If you were unfairly dismissed, we can help you make a complaint for unjust dismissal and seek reinstatement. Call us right now to set up a free consultation. We are available to answer your questions 24/7. Our offices are located in Toronto and Ottawa. For your convenience, we also offer telephone and video conference consultations for out-of-town clients. We look forward to speaking with you.
