Employer Advice on Terminating Employees

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Termination of employment in British Columbia

If you’re thinking about terminating an employee, it’s essential you act in compliance with British Columbia’s Employment Standards Act (ESA).

If you’re considering a termination without cause in BC, you’ll owe the terminated employee certain entitlements under the ESA. Doing so will protect your business from wrongful dismissal claims, huge fines, and penalties.

In British Columbia, there are two types of terminations:

1. Terminations without cause

In case of terminations without cause, employers are under no obligation to provide a reason for firing an employee. In these cases, if the terminated employee has been employed for at least three consecutive months, they are owed termination notice, termination pay, or a combination of both.

2. Terminations with cause

Terminations for cause occur when an employer has just cause for firing an employee.

Reasons for terminating for cause

Wilful misconduct
Neglect of duty
Theft
Violence or threats
Harassment/discrimination

What are the rules on termination notice period in BC?

Termination notice is written notice of termination which includes an end date. The employee will continue to perform their duties as normal through the notice period. The amount of notice an employee is entitled to is based on how long they have been with your company.

3 + months of service = One week’s notice

12+ months of service = Two weeks’ notice

3+ years of service = An extra week's notice for each year completed (maximum of eight weeks)

The maximum amount of notice an employee can receive is 24 months.

What is termination pay in BC?

If you do not want the employee to serve their notice period, you may offer a lump sum payment in lieu. The termination pay owed depends on the employee's length of service.

3 months of continuous employment = One week’s pay
12 months of continuous employment = Two weeks’ pay
3 continuous years employment = Three weeks’ pay
For each year of additional employment (max eight years) = An additional week’s pay

But employers can offer more than the minimum amounts outlined here.

Set aside worries about terminations today

Getting terminations right can be tricky. But with expert support from Employer Advice, you’ll be able to handle this process with ease.

Call us today at (1) 833-710-0677.

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