As we start a new year, it’s one of the most common times for an employer to review its structure, payroll, and overall organizational needs. While it’s no secret that many companies are doing mass terminations right now, a delicate trend that we are also seeing is mass terminations while simultaneously hiring new employees. This situation is not only challenging from a legal perspective but also from an employee morale standpoint. This blog post delves into Ontario employment law considerations surrounding terminating while also hiring.

Understanding Mass Terminations under Ontario Employment Law

Ontario’s Employment Standards Act, 2000 (“ESA”) provides the minimum legal framework for mass terminations. According to the ESA, a mass termination occurs when an employer terminates 50 or more employees at a single establishment within a four-week period. Employers are required to provide written notice to the Ministry of Labour, Training and Skills Development and to each affected employee.