Can my employer lay me off temporarily in Canada?
Only if you have agreed to it โ through your contract, a collective agreement, or established past practice. The Employment Standards Act sets limits on how long a temporary layoff can last, but the ESA does not by itself give an employer the right to lay you off. A layoff without that right can be a constructive dismissal.
When does a temporary layoff become a termination?
Under Ontario's ESA, a temporary layoff can last up to 13 weeks in any 20-week period, or up to 35 weeks in a 52-week period if the employer continues benefits or certain payments. Exceeding these limits results in a 'deemed termination' as of the first day of the layoff, triggering termination and severance pay.
Do I get termination pay if a layoff becomes permanent?
Yes. When a temporary layoff exceeds the statutory limit, it is treated as a termination as of the first day of layoff, and you are owed statutory termination pay (and severance pay if eligible). You may also have a common-law claim for reasonable notice if you did not agree to the layoff.
Recall rights are the right to be called back to work after a layoff, usually in seniority order. They are common in unionized workplaces and are set by the collective agreement. Non-union employees generally have recall rights only if their contract provides them. Recall rights do not eliminate the deemed-termination rules.