Enter the employee's completed years + months of employment:
Example: If you've worked 8 years and 6.5 months, enter "8" in the "Years" field, and in "6" in the "Months" field (for the number of completed months of employment).
Note: If an employer ends an employee’s employment without giving written notice as set out in section 57 or 58 of the Act, the employee’s length of employment for severance pay purposes is calculated as if notice had been given. See ESA section 57 and 58.
The values inputted for years and months of completed employment do not entitle the employee to severance pay; an employee with less than five years’ employment at the time of severance is not entitled to severance pay. You may choose to modify your response above, otherwise you may find the following resource useful to you:
All time spent by the employee in employment of the employer, whether or not active or continuous, is included in calculating his or her severance pay. However, if the employee is receiving an actuarially unreduced pension benefit (and his or her employment is severed on or after November 6th 2009) time for which the employee received service credits in the calculation of his/her pension benefit is not included in determining whether the employee is eligible for severance pay or in calculating the amount of severance pay owing. An “actuarially unreduced pension benefit” is a full pension, that is, the pension benefit produced by the formula is not reduced to reflect the fact that the employee is retiring before the normal age of retirement under the pension plan.)
The maximum amount of severance pay required to be paid under the ESA is 26 weeks. However, if the employment contract provides a greater right or benefit, the employer may be required to pay more than the 26 week minimum.
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