Earlier this month, two major North American tech companies announced the elimination of thousands of jobs.
Facebook parent Meta is cutting more than 11,000 employees, approximately 13 per cent of its staff, as it grapples with lower revenue and broader economic concerns.
The reduction came roughly a week after Twitter moved ahead with its plan to lay off around half of its global workforce. Two high-ranking Canadian executives confirmed on LinkedIn that they are among the approximately 3,700 staff members being let go.
My firm has been contacted by a number of Canadian employees at both companies who are affected by the dismissals. Many are trying to understand their workplace rights in this situation.
While both social media giants aren’t headquartered in Canada, they still must adhere to Canadian laws and employment standards legislation.
READ MORE: What happens to Canadians working for non-Canadian companies when they’re fired?
Here are three important lessons that non-unionized employees in Canada can learn from the mass layoffs at Meta and Twitter.
1. You are entitled to full severance pay if you lose your job due to downsizing or corporate restructuring
Under common law, our courts have established that severance for non-unionized employees and senior executives in Canada can be as much as 24 months’ pay.
The amount of compensation you are entitled to is calculated using several factors, including age, position at the company, length of service and your ability to find new work.
READ MORE: Paid enough? What to know about severance packages in mass layoffs
However, many employers often incorrectly calculate severance pay.
There is a belief that severance is one or two weeks’ pay, or a week for every year of service an employee has with the company. At best, this formula might only cover the minimum amount that you are owed under provincial legislation.
READ MORE: 5 of the most common employer mistakes — and what employees can do about them
Instead of relying on your employer, use my firm’s free Severance Pay Calculator tool to figure out how much compensation you should receive.
If your company’s offer falls short of what is legally appropriate, you have been wrongfully dismissed and should take legal action to get the money you are owed.
2. Your employer can’t fire you “for cause” unless they can justify it
Prior to the mass layoffs at Twitter, several reports claimed that some of the company’s top executives were fired for cause to avoid paying them millions of dollars in compensation.
In Canada, termination for cause prevents non-unionized employees and senior executives from receiving a severance package or accessing employment insurance benefits.
READ MORE: Think you may lose your job? 5 quick facts about the termination process
However, this type of dismissal is reserved for the worst kinds of workplace offences, such as insubordination and job abandonment.
In order for your employer to justify firing you for cause, they would have to prove progressive disciplinary measures were applied and that a less severe punishment would be insufficient.
In my experience, it’s very difficult for companies to prove cause and employees are often entitled to full severance pay because they don’t meet the requirements for this type of termination.
READ MORE: What you’re getting wrong about terminations, according to an employment lawyer
If you have been fired for cause, contact an experienced employment lawyer, like the ones at Samfiru Tumarkin LLP. My firm can review your situation and help you enforce your workplace rights.
3. Don’t accept a severance offer until you speak with an employment lawyer
Mass layoffs can be an overwhelming experience. Some employers will try to use the chaos and confusion to get affected workers to accept less severance pay than they are entitled to.
READ MORE: 5 ways to determine if your severance package is fair
Once you receive a severance offer from your company, give yourself time to carefully review it. They can’t legally force you to accept it immediately or put a deadline on your ability to pursue what you are truly owed.
If you are unsure about what you are signing, my firm can review the document and help you better understand the terms of the offer.
At Samfiru Tumarkin LLP, we have helped tens of thousands of non-unionized individuals in Ontario, Alberta and B.C. resolve their workplace issues.
READ MORE: 5 of the most common work situations where getting an employment lawyer can help
Our employment lawyers can enforce your rights and ensure that you receive the compensation you are entitled to.
Contact the firm or call 1-855-821-5900 to secure assistance from an employment lawyer in Ontario, Alberta or British Columbia. Get the advice you need — and the compensation you deserve.
Lior Samfiru is an employment lawyer and co-founding partner at Samfiru Tumarkin LLP, Canada’s most positively reviewed law firm specializing in employment law and long-term disability claims. He provides free advice as the host of Canada’s only Employment Law Show on TV and radio.