Termination of Employment And Temporary Layoff
Introduction
Answer the questions listed in each step to find out if your business meets the basic requirements for Alberta's employment standards for termination and temporary layoff. On the last page you’ll see results based on your answers, along with information about your rights and obligations as an employer.
Use the 'Previous' button to change your answers at any time. Or click ‘Start again’ to explore different employment scenarios.
Disclaimer: In the event of any discrepancy between this information and Alberta’s Employment Standards legislation, the legislation is considered correct.
Summary & Results
You indicated that:
Please note that effective January 31, 2020, farm and ranch employers with 5 or fewer waged, non-family workers, are exempt from employment standards laws. Farm and ranch employers with 6 or more waged, non-family workers who work more than six months in a row will continue to be subject to existing Employment Standards laws. For more information and to identify if the information below applies to you, please visit the Farm and ranch – Employment standards exemptions website.
Can the Employee Be Temporarily Laid Off
Based on the information provided, you do not meet the minimum requirements for notice of temporary layoff. Unless there is a collective agreement that states otherwise, the employee must be provided written notice of the temporary layoff.
Based on the information provided, you meet the minimum requirements for temporary layoff.
Giving Notice
You indicated that the temporary layoff notice contains the following items:
- Indicate that it is a temporary layoff
- Contain the start date of the layoff
- Include a copy of sections 62, 63 and 64 or the Employment Standards Code
- Include any other information provided for in the regulations
Based on the information provided, you do not meet the minimum requirements for notice of temporary layoff. The notice needs to include:
- indicate that it is a temporary layoff
- contain the start date of the layoff
- include a copy of sections 62, 63 and 64 or the Employment Standards Code
- include any other information provided for in the regulations
Based on the information provided, you meet the minimum requirements for notice of temporary layoff.
Length of temporary layoff
You indicated that the employee is not receiving:
- wages or an amount instead of wages
- payments for the benefit of the laid-off employee in accordance with a pension or employee insurance plan or similar plan
In Alberta, the maximum duration of a temporary layoff is 90 total days within a 120-day period. On the 91st day of a temporary layoff, the employee’s employment is considered to be ended, and the employer must pay termination pay based on length of employee's employment .
If a collective agreement contains recall rights following layoff , the employment ends and termination pay is owed when recall rights expire, and not on the 91st day of the layoff.
In Alberta, the maximum duration of a temporary layoff due to COVID-19 is 180 consecutive days.
On the 181st day of a temporary layoff, the employee’s employment is considered to be ended, and the employer must pay termination pay based on length of employee's employment.
If a collective agreement contains recall rights following layoff, the employment ends and termination pay is owed when recall rights expire, and not on the 181st day of the layoff.
To find out more about termination pay, please start this guide over again and select 'Permanent Termination' or see the employment standards rules and regulations.
You indicated that the employee is receiving:
- wages or an amount instead of wages
- payments for the benefit of the laid-off employee in accordance with a pension or employee insurance plan or similar plan
Based on this information, the temporary layoff can be extended beyond days, as long as the employee receives the selected benefits.
When the employee stops receiving wages or an amount instead of wages or payments for the benefit of the laid-off employee in accordance with a pension or employee insurance plan or similar plan , their employment ends and you must pay termination pay as per requirements based on length of employee's employment.
Recalling an employee
You indicated that the recall notice:
- In writing
- Being provided to the employee
- Indicating that the employee must return to work within 7 days of the date the recall notice is served on the employee
Based on the information provided, you do not meet the minimum requirements for notice of recalling an employee. You need to ensure the notice is:
- In writing
- Being provided to the employee
- Indicating that the employee must return to work within 7 days of the date the recall notice is served on the employee
Based on the information provided, you meet the minimum requirements for notice of temporary layoff recall notice.
An employer may recall the employee before 90 days of layoff are exceeded in a 120 day period with one week's written notice. The 120 day period begins on the first day of the layoff. The employee has to return to work within 7 days of being served the recall notice.
If the employee fails to return to work within 7 days of being served the recall notice the employee can be terminated without termination notice/pay.
Based on the information provided, you meet the minimum requirements for notice of temporary layoff recall notice.
An employer may recall the employee before 180 days of layoff with one week's written notice. The employee has to return to work within 7 days of being served the recall notice.
If the employee fails to return to work within 7 days of being served the recall notice the employee can be terminated without termination notice/pay.
Termination during layoff period
An employee who is on a temporary layoff may be terminated before the 91st day of layoff within a 120 day period. If the employer decides to terminate the employee, the employer must provide termination pay.
To find out more about termination pay, please start this guide over again and select 'Permanent Termination' or see the employment standards rules and regulations.
Termination during layoff period
An employee who is on a temporary layoff due to COVID-19 may be terminated before the 181st day of layoff. If the employer decides to terminate the employee, the employer must provide termination pay.
To find out more about termination pay, please start this guide over again and select 'Permanent Termination' or see the employment standards rules and regulations.
Can the Employee Be Terminated
Yes: given the situation described in your answers, the employee can be terminated.
Giving Notice
Because you selected that the employee's first day of paid work was less than three months ago, in this situation the does not have to give notice.
Payment of Outstanding Earnings
Since notice or termination pay is not required in this situation, earnings (wages, overtime pay, vacation pay, general holiday pay) must be paid no later than 31 consecutive days after the last day of employment.
Calculating Wages, General Holiday Pay, Vacation Pay, and Overtime Owed at Termination
For more information about calculating these amounts, please refer to the relevant topics of the employment standards rules and regulations.
Can the Employee Be Terminated
Workers who either are the owner or a family member of the owner of the farm/ranch they are working on are exempt from all Employment Standards rules, including termination and layoff.
Non-family members working on the farm to help out or participate in 4-H activities are also exempt from Employment Standards rules.
For more information, see farm and ranch employment standards exceptions.
Can the Employee Be Terminated
You indicated that you are terminating the employee due to reasons related to them being entitled to maternity/parental leave. The employee cannot be terminated during the entitlement/notice period, or while on leave, for reasons related to the leave.
However, due to the fact that you selected you have suspended or discontinued the business, undertaking or other activity in which the employee was employed, the employee can be terminated, but there are special conditions that apply. If you are terminating the employee because the business, the activity, or the undertaking in which they were employed has ended, you must offer the employee their job back if the business, undertaking or activity starts up again within 52 weeks.
The employee cannot be terminated at this time. This is due to the fact that:
-
The employee has started
-
The business, undertaking or activity in which the employee was working has not been suspended or discontinued
Due to the fact that you selected , the employee can be terminated, but there are special conditions that apply. If you are terminating the employee because the business, the activity, or the undertaking in which they were employed has ended, you must offer the employee their job back if the business, undertaking or activity starts up again within 52 weeks.
Due to the fact that you selected the item(s) below, the employee cannot be terminated at this time:
Yes: given the situation described in your answers, the employee can be terminated.
Giving Notice
Based on your selections in this situation the employee must give notice.
Because you selected that :
- notice must be for weeks or longer
- notice must be given in writing
- notice must be delivered to the employer
Based on your selections in this situation the employer must give notice.
Because you selected that :
- notice must be for weeks or longer
- notice must be given in writing
- notice must be delivered to the employer
Because you selected the item(s) below, in this situation, the employer does not have to give notice:
Because you selected the item(s) below, in this situation, the employee does not have to give notice:
Because you selected the employee works in the construction industry, the employee works in brush clearing, in this situation the employee does not have to give notice.
Calculating Termination Pay
Employees must be paid their standard wage or salary for the entire duration of the notice period.
When the employee’s wages vary from one pay period to another, the weekly average of the employee’s regular wages for the 13 weeks in which the employee worked preceding the date of termination, not simply the 13 calendar weeks immediately preceding the date of termination is used to determine the employee’s termination pay.
If you do not want the employee to work for some or all of the notice period, you can give them Termination Pay in Lieu of Notice. In other words, you can pay the employee their regular salary or wage to compensate for the time they don't work.
For example, if you are required to give the employee weeks' notice, you could:
(a) dismiss them immediately and pay them weeks wages as termination pay
(b) direct them to work for one week and pay them the remaining weeks' wages as termination pay, or
(c)(b)direct them to work for the entire notice period and not pay them any termination pay.
You indicated that your employee provided 0 weeks notice. This is less than the weeks of notice the employee is required to give. Therefore, you could:
(a) dismiss them immediately and not pay them any termination pay.
You indicated that your employee provided weeks notice. This is more than the weeks of notice you, the employer, are required to give. Therefore, you could:
(a) dismiss them immediately and pay them weeks wages as termination pay,
(b) direct them to work for part of the notice period and pay them the remainder of the notice as termination pay, or
(c) direct them to work for the weeks period and not pay them any termination pay.
You indicated that your employee provided weeks notice. This is more than the weeks of notice the employee is required to give. However it is less thanequal to the weeks of notice you, the employer, are required to give. In this case you could:
(a) dismiss them immediately and pay them weeks wages as termination pay,
(b) direct them to work for part of the notice period and pay them the remainder of the notice as termination pay, or
(c) direct them to work for the weeks period and not pay them any termination pay.
You indicated that your employee provided weeks notice. This is equal to the weeks of notice the employee is required to give. Therefore, you could:
(a) dismiss them immediately and pay them weeks wages as termination pay,
(b) direct them to work for the weeks notice period and not pay them any termination pay.
You indicated that your employee provided weeks notice. This is less than the weeks of notice the employee is required to give. Therefore, you could:
(a) dismiss them immediately and pay them weeks (number of weeks employee gave notice) wages as termination pay,
(b) direct them to work for the weeks notice period and not pay them any termination pay.
Please note that you may still owe them additional overtime pay, vacation pay, and holiday pay. You may not require the employee to use entitlements such as banked overtime and vacation during the notice period. Banked overtime and vacation time can be used only upon agreement with the employee.
Payment of Outstanding Earnings
Since notice or termination pay is not required in this situation, earnings (wages, overtime pay, vacation pay, general holiday pay) must be paid no later than 31 consecutive days after the last day of employment.
Since notice is required in this situation, the employee's earnings (wages, overtime pay, vacation pay, general holiday pay, and termination pay if any) must be paid no later than 31 consecutive days after the last day of employment.
Since the employee has failed to give the required notice, the employer must pay the employee no later than 31 consecutive days after the last day of employment.
Calculating Wages, General Holiday Pay, Vacation Pay, and Overtime Owed at Termination
For more information about calculating these amounts, please refer to the relevant topics of the employment standards rules and regulations.
Additional Information
Warning: you can't terminate, layoff or discriminate against an employee for exercising their rights or complying with certain obligations under the Code.
Warning: you can't terminate an employee if doing so would be a violation of human rights legislation. For more information, visit albertahumanrights.ab.ca, or consult a lawyer.
Next steps
- Print these results for your records
- To learn more, please refer to the relevant topics of the employment standards rules and regulations
- Restart this employment termination tool to explore different scenarios