Severance Pay Estimator
How much are you owed if you're let go? Ontario has two systems: the ESA minimums (termination pay + severance pay) and common-law reasonable notice, which is often much higher. This estimator calculates all three layers in seconds.
Heads up — not legal advice. General information only — not legal advice. Rules verified as of October 2026; statutes change. CanLegal Docs is not a law firm — for your specific situation, consult an employment lawyer.
Unbroken service with the same employer. Decimals allowed (e.g. 10.5).
Your regular weekly pay, before deductions (no overtime).
Optional — sharpens the common-law estimate.
Decides severance-pay eligibility (the $2.5M threshold). If unsure, pick “Don't know”.
Enter your years of service and weekly wage above to calculate.
Edge cases to know
- Mass termination: if 50+ employees at your workplace were let go within about 4 weeks, individual notice is replaced by group notice of 8, 12, or 16 weeks depending on group size (50–199 / 200–499 / 500+). Severance pay is still owed on top where you qualify.
- ESA minimums are guaranteed and cannot be conditioned on signing a release — never sign away your rights under deadline pressure. Many packages are negotiated above the ESA floor.
- Fired for cause? The ESA denies termination and severance pay only where the employer proves “wilful misconduct” — a higher bar than common-law just cause.
- Separation payments are taxable income and can delay the start of EI benefits — report them to Service Canada.
Official sources
Every number was verified in October 2026 against the sources below. Laws change — always check the latest official page:
- Your guide to the Employment Standards Act, 2000 — Ontario.ca
- Employment Standards Act, 2000 — Ontario.ca (mass termination: s. 58)
- Steps to Justice — free legal information (Ontario)
Frequently asked questions
How much severance am I owed in Ontario?
It depends on three layers. First, the ESA minimum: termination pay of 1 week per completed year of service (max 8 weeks) after 3 months' service, plus severance pay of 1 week per year of service up to 26 weeks if you have 5+ years and your employer meets a size test ($2.5M Ontario payroll, or 50+ employees severed in 6 months). Second, your contract may set terms — but many termination clauses don't hold up. Third, without a valid clause, common-law reasonable notice (the Bardal factors) usually exceeds the ESA floor and is measured in months, up to about 24. The ESA floor is guaranteed; the common-law number is negotiated or decided by a court. Use the estimator above for your numbers.
What is the difference between termination pay and severance pay?
Termination pay (pay in lieu of notice) replaces the written advance notice your employer didn't give: 1 week per completed year of service, max 8 weeks, after 3 months of continuous work. Severance pay is a separate, additional payment: 1 week per year of service (partial years count), max 26 weeks, owed only with 5+ years of service AND a qualifying employer (Ontario payroll of $2.5M+ or 50+ employees severed within 6 months of a permanent closure). Severance is always paid as money, never as working notice. Both are floors — the common law can award more.
Do I get severance if fired for cause?
If you're fired for cause, you get no ESA termination pay or severance — but only if the employer proves the ESA's “wilful misconduct, disobedience or wilful neglect of duty that is not trivial and has not been condoned” standard, which is a much higher bar than common-law just cause. Employers often claim cause they can't prove at that standard. If there's any dispute about the reason, get the facts reviewed before accepting $0.
What are Bardal factors?
The four factors from Bardal v. Globe & Mail (1960) that Ontario courts use to set common-law reasonable notice: (1) age, (2) length of service, (3) character of the employment (junior vs managerial vs senior), and (4) availability of similar employment. Older, longer-serving, and more senior employees get longer notice. The rough rule of thumb is about one month per year of service, with a soft cap around 24 months. It's an estimate for negotiation — courts weigh the factors case by case.
What is a mass termination in Ontario?
When 50+ employees at one establishment are let go in a rolling 4-week period, ESA s. 58 group notice replaces individual notice for everyone: 8 weeks for 50–199 employees, 12 weeks for 200–499, and 16 weeks for 500+. The employer must file a Form 1 with the Director of Employment Standards before notice takes effect. Mass termination doesn't change severance-pay eligibility — severance is still owed on top if you qualify.
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