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Termination Pay Worksheet

Use this worksheet to calculate the amount of termination pay your employer may owe you. After being employed by an employer continuously for 3 months, most employees must receive advance notice in writing and/or termination pay when their employer ends their employment. The amount of notice depends on how long the employee has been employed by the same employer (see chart).

For more information, call the Employment Standards Information Centre at 1-800-531-5551 or refer to “Termination of Employment” on the Ministry of Labour website at www.labour.gov.on.ca/english/es/pubs/guide/termination.php or use the Termination Pay calculator at www.labour.gov.on.ca/english/es/tools/termination/index.php

Length of Employment: Notice Required
Less than 3 months None
3 months but less than 1 year 1 week
1 year but less than 3 years 2 weeks
3 years but less than 4 years 3 weeks
4 years but less than 5 years 4 weeks
5 years but less than 6 years 5 weeks
6 years but less than 7 years 6 weeks
7 years but less than 8 years 7 weeks
8 years or more 8 weeks
Calculating Termination Pay Owed
“Regular wages” means wages other than overtime pay, public holiday pay, premium pay, vacation pay, termination pay and severance pay. If the amount of regular wages you were paid did not change every week, this amount is your “regular weekly wage” – enter the amount in box “B” on the table below.
Dates of 12 Weeks Before Termination Regular Wages Earned During Week
Start Date
Day/Month/Year
End Date
Day/Month/Year
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
(A) Total regular wages earned during 12 weeks before termination
(B) Regular weekly wage, or if you do not have a regular weekly wage
Total regular wages (A) divided by number of weeks actually worked in the last 12 weeks before termination
(C) Number of weeks of notice due (see chart above)
(D) Number of weeks of notice (C ) × regular weekly wage (B)
(E) Plus 4% vacation pay (total amount (D × 0.04)
Total Amount Owed

This Worksheet is provided for your information and convenience only. This is not a claim form.
For information on filing a claim, call the Employment Standards Centre at 1-800-531-5551 or visit www.labour.gov.on.ca

Example

An employee who has been employed by an employer for more than four years but less than five is terminated without notice. Pay in lieu of notice of termination is calculated by averaging the employee’s regular weekly wages (i.e. not including overtime, public holiday pay, vacation pay, etc.) over the weeks in which he or she worked in the 12 weeks before termination.

The employee’s hourly wage was $11.00/hour in the last 12 weeks before his employment was terminated. He does not work the same number of hours every week but the work week runs from Sunday to Saturday. The date of termination is October 30, 2010.

Because the employee was employed for more than four years but less than five, the entitlement is to four weeks of notice or pay in lieu of notice. Termination pay would equal four weeks × $400.00, or $1,600.00.

Sample Calculation Based On Example Above
Dates of 12 Weeks Before Termination Regular Wages Earned During Week
Start Date
Day/Month/Year
End Date
Day/Month/Year
1. 8 / August / 2010 14 / August / 2010 Worked 44 hours: $484.00
2. 15 / August / 2010 21 / August / 2010 Worked 48 hours: 44 × $10.00 = $484.00 (OT not Included)
3. 22 / August / 2010 27 / August / 2010 Worked 40 hours: $440.00
4. 29 / August / 2010 4 / September / 2010 Worked 40 hours: $440.00
5. 5 / September / 2010 11 / September / 2010 Worked 32 hours: $352.00 (PH pay September 6 not included)
6. 12 / September / 2010 18 / September / 2010 Worked 40 hours: $440.00
7. 19 / September / 2010 25 / September / 2010 Worked 40 hours: $440.00
8. 26 / September / 2010 2 / October / 2010 On Vacation (Vacation Pay not included)
9. 3 / October / 2010 9 / October / 2010 On Vacation (Vacation Pay not included)
10. 10 / October / 2010 16 / October / 2010 Worked 32 hours: $352.00 (PH pay October 8 not included)
11. 17 / October / 2010 23 / October / 2010 Worked 44 hours: $484.00
12. 24 / October / 2010 30 / October / 2010 Worked 44 hours: $484.00
(A) Total regular wages earned during 12 weeks before termination $4,400.00
(B) Regular weekly wage, or if you do not have a regular weekly wage
Total regular wages (A) divided by number of weeks actually worked in the last 12 weeks before termination
$4,400.00 DIVIDED by 10 (weeks on vacation are not included in the calculation of the average) = $440.00
(C) Number of weeks of notice due (see chart above) 4
(D) Number of weeks of notice (C )× regular weekly wage (B) 4 × $440.00 = $1,760.00
(E) Plus 4% vacation pay (total amount (D × 0.04) $1,760.00 × 0.04 = $70.40
Total Amount Owed $1,830.40

This information is provided as a public service. Although we endeavour to ensure that the information is as current and accurate as possible, errors do occasionally occur. Therefore, we cannot guarantee the accuracy of the information. Readers should, where possible, verify the information before acting on it.

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