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Severance package review · Ontario ESA calculator · counter letter

Severance package review, Ontario — the ESA minimum, your offer and what to ask for

Short answer. Put in your weekly pay, years of service and the offer in weeks: you see the Employment Standards Act minimum and the gap. Notice / termination pay: From 3 months of service: 1 week under 1 year, 2 weeks for 1–3 years, then 1 week per completed year up to 8 (ESA guide: Termination of employment).

  • ESA termination pay and severance pay due (7 days after, or the next regular pay day if later): type the date

Check your own case.

Ontario ESA: termination and severance pay are due 7 days after the employment ends or on the next regular pay day, whichever is later.

Severance package review, Ontario: first page

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Severance package review · Ontario

Is the offer at least the ESA minimum — and what to ask for

Your weekly pay, years of service and the offer in weeks. You see the Employment Standards Act minimum (notice + severance pay), the gap and a counter-proposal letter.

  1. Check the offer against the ESA minimum in the table — the minimum is owed even without a release.
  2. Before you sign a release, know that a court can award more than the ESA minimum (common law notice): ask an employment lawyer.
  3. Send the counter-proposal letter with your numbers; keep everything in writing.

Ontario Employment Standards Act (ontario.ca, Your guide to the ESA: Termination of employment, updated 23 July 2026; Severance pay, updated 18 March 2026): notice or termination pay from 3 months of service — 1 week under 1 year, 2 weeks for 1–3 years, then 1 week per completed year up to 8; severance pay with 5+ years and a global payroll of $2.5 million or more (or 50+ employees severed in 6 months in a closure) — regular weekly wages × (completed years + completed months ÷ 12), at most 26 weeks; both are due 7 days after the employment ends or on the next regular pay day, whichever is later. Common law notice can be higher — no figure here. This is a calculation and a checklist, not legal advice.

Lida, Layers template assistant

Lida, Layers template assistant

Give me your weekly pay and your years — I will show the ESA minimum in weeks and dollars.

If the offer is below the minimum, the minimum is still owed. Write it down before you sign anything.

An illustrated character, not a lawyer.

Deadlines

The rules, with the source

WhatDeadlineSource
Notice / termination payFrom 3 months of service: 1 week under 1 year, 2 weeks for 1–3 years, then 1 week per completed year up to 8ESA guide: Termination of employment
Benefits during noticeThe employer keeps paying benefit plan contributionsESA guide: Termination of employment
Severance pay5+ years and a global payroll of $2.5M or more (or 50+ people severed in 6 months in a closure): weekly wages × (years + months ÷ 12), up to 26 weeksESA guide: Severance pay
When paid7 days after the end, or the next regular pay day, whichever is laterESA guide

These are ESA minimums. A court can award more under common law (reasonable notice) — this page gives no figure for that; ask an employment lawyer before you sign a release.

Step by step

What to do, in order

  1. 1

    Check the minimum

    The calculator shows ESA notice + severance for your years.

  2. 2

    Compare the offer

    Below the minimum is owed by law even without a release.

  3. 3

    Read the release

    The checklist below: what you give up, non-compete, references, benefits.

  4. 4

    Ask a lawyer

    Common law notice can be higher than the ESA minimum.

  5. 5

    Send the counter-proposal

    One page, with your numbers — the letter is below.

  6. 6

    Watch the pay date

    7 days after the last day, or the next pay day.

Questions

How much severance pay am I entitled to in Ontario?

Under the ESA: with 5+ years and an employer with a global payroll of $2.5 million or more, one week of regular wages per year of service (plus months ÷ 12), up to 26 weeks — on top of termination pay.

Is termination pay the same as severance pay?

No. Termination pay replaces notice (1–8 weeks by length of service); severance pay is a separate amount for long service.

Can I get more than the ESA minimum?

Possibly — common law notice can be higher. That depends on your case; ask an employment lawyer before signing a release.

Official sources

Other documents

Keep the papers in one place

Letters, receipts and notices in one folder you can share with family or a lawyer. The templates and the editor are free; Layers is free for up to 20 people.

This is an ESA minimum calculation, a checklist and a letter template, not legal advice. Common law entitlements can be higher — ask an employment lawyer.