execution of “group terminations” is in accordance with
employment legislation. In the De Beers layoff, which
involved the termination of more than 300 employees, the
legislation provides that permanent employees were entitled
to 16 weeks’ notice of the termination of their employment.
Further, pursuant to the legislation, De Beers was required
to inform the government of its intention to terminate
the employees.
“Group termination” refers to a situation in which an
employer will be terminating numerous employees working
in a single location, either simultaneously or within a short
timeframe. In most provinces, when an employer plans to
terminate 50 or more employees in a span of four weeks or
less, employment legislation requires that the employer be
mindful of specific group termination legal obligations. One
of the requirements is that the employer must provide notification
to the government.
Group terminations are covered in both federal and provincial
employment legislation. The general requirements are
largely similar for employers operating federally and within
most of the Canadian provinces; however, different rules
come into play when dealing with the northern provinces
and/or territories, specifically Yukon, Northwest Territories
and Nunavut.
In most provinces, the termination of 50 or more employees
within the span of four weeks or less triggers an obligation
to provide notification to the government.
Depending on the jurisdiction, group termination legislation
can require eight to 16 weeks of advance notice of the
termination. As the number of employees that are planned to
be terminated increases, the notice period increases as well.
For example, the Ontario Employment Standards Act
and corresponding regulations require the following
notice of group terminations be provided to the director of
Employment Standards:
1. Notice shall be given at least eight weeks before termination
if the number of employees whose employment is
terminated is 50 or more but fewer than 200.
2. Notice shall be given at least 12 weeks before termination
if the number of employees whose employment is terminated
is 200 or more but fewer than 500.
3. Notice shall be given at least 16 weeks before termination,
if the number of employees whose employment is terminated
is 500 or more.
The rationale behind this requirement is that, with
advance notice, governments may be able to mitigate the
CONTINUED ON PAGE 61
LEGAL
The legislative requirements
regarding group terminations are
slightly different for employers
operating in Northern Canada.
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