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Old 08-09-2010, 09:21 AM   #1
Mayer
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Default Question about severance pay

Is an employer obligated to pay you 2 weeks severance pay (or any amount of severance pay) if you have been employed for over a year? Where would I find this information?
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Old 08-09-2010, 09:26 AM   #2
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Not necessarily; they can give you notice instead.

http://www.workrights.ca/content.php?doc=117
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Old 08-09-2010, 09:27 AM   #3
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http://employment.alberta.ca/SFW/1474.html
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Employer Initiates Termination

The length of notice an employer is required to give depends on the duration of employment and must be in writing. The minimum notice requirements that employers must give are:
  • one week - for employment of more than three months, but less than two years
  • two weeks - for employment of two years, but less than four years,
  • four weeks - for employment of four years, but less than six years,
  • five weeks - for employment of six years, but less than eight years,
  • six weeks - for employment of eight years, but less than 10 years, and
  • eight weeks - for employment of 10 years or more.
An employer may choose to give pay for the required notice period instead of providing notice. A combination of written notice and pay in lieu of notice (termination pay) is also acceptable.
The employer must pay all wages, overtime, general holiday pay and vacation pay due the employee within three days following termination of employment.
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Old 08-09-2010, 09:29 AM   #4
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Thanks.
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Old 08-09-2010, 09:34 AM   #5
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did you wear your Canucks jersey to work?
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Old 08-09-2010, 09:52 AM   #6
flamesrule_kipper34
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The general rule of thumb is notice or severance in lieu of notice, and that's for anything for short periods (anything less than 5 years).
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Old 08-09-2010, 09:57 AM   #7
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You can get a lay off or fired without severance
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Old 08-09-2010, 09:58 AM   #8
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You can get a lay off or fired with cause without severance
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Old 08-09-2010, 10:04 AM   #9
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I was laid off without notice after just over a year of employment. The reason being was extremely slow business for the last few months with no bright outlook for the future. I was given a week severance though, it just seemed low after a year. And also a frenchman owns the company and I could see him trying to gouge me .....
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Old 08-09-2010, 10:46 AM   #10
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Quote:
Originally Posted by Mayer View Post
I was laid off without notice after just over a year of employment. The reason being was extremely slow business for the last few months with no bright outlook for the future. I was given a week severance though, it just seemed low after a year. And also a frenchman owns the company and I could see him trying to gouge me .....
The severance amounts listed in the previous posts are statutory minimums. Its possible that you may be entitled to more under common law. This was hinted at in Cecil's post, but just wanted to draw your attention to it. To figure out whether or not you're entitled to more under common law, you'd either need to read a bunch of cases, or contact someone with the appropriate backgroud (which may not be worth it in the long run if you need to pay for their services).

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Old 08-09-2010, 11:16 AM   #11
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Are the minimum severance packages realistic in practice?

I have heard that companies tend to overpay severance so the employee may be less likely to come back and sue.
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Old 08-09-2010, 11:22 AM   #12
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Anywhere that I've worked, if an employee survives the three month probabtion period they are given a two week severence package.
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Old 08-09-2010, 12:41 PM   #13
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Are the minimum severance packages realistic in practice?

I have heard that companies tend to overpay severance so the employee may be less likely to come back and sue.
I guess it all depends. The other question you need to ask is if it is worth it to sue? One of my past jobs my boss had to use me as a reference because the employer would only confirm employment due to the lawsuit. He ended up getting an extra $20K, but wasn't able to find a job for 6 months.
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Old 08-09-2010, 01:03 PM   #14
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What I have heard is that the court will give you 2 weeks severance for every year of employment past 2 if you decide to sue.
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Old 08-09-2010, 01:20 PM   #15
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This is more up fredr's alley than mine, but the amount of severance/notice at common law depends on factors such as your position, term of employment, age, industry, etc. If you are a professional or management-level, you may be entitled to as much as 2 months per year, and certainly 1 month. If you are a security guard, statutory minimum is all you get. The older you are, the more you are entitled to, the logical rationale being it's much tougher to for someone who is 55 to find a new job, as opposed to a 30 year-old...
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Old 08-09-2010, 07:12 PM   #16
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1 year of EI > Severence
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Old 08-09-2010, 07:44 PM   #17
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Quote:
Originally Posted by bradster57 View Post
Are the minimum severance packages realistic in practice?

I have heard that companies tend to overpay severance so the employee may be less likely to come back and sue.
My Father's company does this. For over 20 years they have given a large severance package to all employees who have ever been laid off and not a single problem.
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Old 08-09-2010, 08:03 PM   #18
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1 year of EI > Severence
1 year EI + severence greater than $1600/ month is better.
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