Road sign pointing toward a hospital, illustrating the 2026 Ottawa healthcare layoffs
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Ottawa Healthcare Layoffs in 2026: What Affected Workers Need to Know About Their Rights

Ottawa Healthcare Layoffs in 2026: What Affected Workers Need to Know About Their Rights

A wave of staffing cuts is moving through Ottawa's healthcare sector in 2026, affecting nurses, personal support workers (PSWs), and administrative and management staff across several of the region's largest health institutions. If you work in healthcare in the National Capital Region and have been told your position is being eliminated, or you are worried you might be, understanding your legal rights is the first step to protecting your income, your benefits, and your next move. As a firm with an Ottawa office, we are close to the institutions and the workers affected by these cuts.

The figures below reflect the information available at the time of publication. Some are announced targets that institutions may adjust through attrition and early retirement, so final numbers could differ. If you have more current information or a correction, we welcome it.

What is happening across Ottawa's healthcare sector

The cuts are not isolated to one employer. Several Ottawa institutions have announced reductions within a short window.

The Ottawa Hospital (TOH). In April 2026, The Ottawa Hospital announced a reduction of roughly three per cent of its workforce, in the range of 400 positions, citing financial pressures across the healthcare sector. The hospital employs more than 13,000 people across its General, Civic, and Riverside campuses, and the reductions reach across the organization, touching management, executive, non-union, support, and nursing roles. The Ontario Nurses' Association has said the cuts include more than 200 front-line nursing positions, among them registered nurses, clinical care leaders, nurse specialists, and nurse educators. The hospital has said it intends to limit involuntary departures where possible through attrition and early-retirement options.

Bruyère Health. Bruyère announced the elimination of 55 front-line positions, including personal support workers and registered practical nurses, in response to a budget deficit. The reductions drew a public rally of healthcare workers.

Perley Health (Perley and Rideau Veterans' Health Centre). The residential care facility announced 38 job cuts, with the union reporting these include registered practical nurses and personal support workers. The cuts prompted a protest by represented staff who raised concerns about staffing levels and resident care.

Royal Ottawa Place. Reductions have also begun at the Royal's long-term care facility, part of the broader pattern of cuts affecting Ottawa healthcare facilities, and likewise drew a demonstration by staff.

Taken together, the scale is significant. Based on projections by Ontario's Financial Accountability Office, unions have estimated that roughly 700 nursing and PSW positions across the Ottawa healthcare system could be lost by 2027-28 if current funding plans hold.

Why these cuts are happening

Administrators have generally pointed to the same underlying cause: budgets that have not kept pace with inflation, population growth, and increasingly complex patient needs. Industry and union bodies have echoed this. The Ontario Hospital Association has cautioned that recent provincial funding increases, while meaningful, may not be enough to offset rising cost pressures, and that further restructuring across the sector cannot be ruled out. Ontario's Financial Accountability Office has projected significant sector-wide staffing reductions through 2027-28 under current spending plans. For affected workers, the cause matters less than the consequence: the loss of a job, and the question of what you are entitled to receive.

Have you been told your position is being eliminated, or offered a departure package?

Before you sign a severance offer, a release, or a "voluntary" exit or early-retirement package, have it reviewed. First offers are often built on the legal minimum, and many healthcare workers are entitled to significantly more. Our Ottawa office can help.

Call: 1-800-771-7882 Have My Offer Reviewed

Your rights depend on whether you are unionized

This is the most important distinction for any healthcare worker facing a layoff, because it determines which rules govern your situation.

If you are a unionized employee

Most front-line nurses and PSWs at these institutions are represented by a union. If that is you, your rights, including seniority, recall, bumping, and the process for challenging a layoff, are governed primarily by your collective agreement and the union's grievance procedures rather than by individual common-law severance. Your earliest step should be to contact your union representative to understand how the agreement applies to your circumstances.

If you are a non-unionized employee

Management, executive, administrative, and many non-union support staff are not covered by a collective agreement. If you fall into this group, your entitlements are governed by Ontario's Employment Standards Act, 2000 (ESA) and, critically, by the common law. The ESA sets out only the minimum an employer must provide, and common-law severance is frequently far greater.

What non-unionized employees should understand

Statutory minimums are a floor, not a ceiling

ESA termination entitlements are based largely on length of service, and for longer-service employees at larger employers, statutory severance pay may apply on top of termination notice or pay. But these are minimums, not the full measure of what you may be owed.

Common-law severance can be much higher

Depending on factors such as age, length of service, position, and the availability of comparable work, a non-unionized employee's reasonable-notice entitlement can reach up to 24 months in exceptional cases. This is often well beyond the statutory minimum in a first offer.

A termination clause may not be enforceable

Many employment contracts try to limit severance to the ESA minimum, but these clauses are frequently found unenforceable under current Ontario case law. If yours is, you may be entitled to full common-law severance instead of the capped amount.

Mass-termination rules may apply

Where a large number of employees lose their jobs at one establishment in a short period, the ESA can trigger enhanced group notice obligations on top of individual entitlements. Given the scale of these cuts, this is worth checking.

What to do if you have been affected

  1. Do not sign anything right away. You are generally entitled to a reasonable period to review any offer, and signing a release prematurely can waive your right to pursue full compensation.
  2. Have the offer reviewed. An employer's first offer is often the minimum. A review can identify whether you are entitled to more, including bonuses, benefits, and other compensation.
  3. Check the full package. Make sure any offer accounts for every element of your compensation, not just base salary.
  4. Get advice early. The sooner you understand your entitlements, the better positioned you are to negotiate.

Not sure whether your offer reflects what you are owed?

A review of your severance package tells you where you actually stand and whether to accept, negotiate, or push back, before any deadline forces your hand. Our Ottawa team is here to help.

Speak With an Ottawa Employment Lawyer Or call us: 1-800-771-7882

How Achkar Law can help

Our employment and labour law team advises both employees and employers across Ontario, and our Ottawa office puts us close to the institutions and workers affected by these cuts. If you are a healthcare worker who has been laid off, or expects to be, we can review your severance offer, explain your rights, and help ensure you receive the full compensation you are owed.

Talk to our Ottawa office before you sign

If you have received a severance or departure offer, or expect one, a review can confirm whether it reflects what you are actually owed.

Call us at 1-800-771-7882 for a confidential consultation.

This article provides general information about the rights of employees in Ontario and is not legal advice. It is based on public reporting and the statements of the institutions and organizations named, reflects information available at publication, and should not be read as suggesting any improper conduct by any specific employer. For advice specific to your situation, please consult a qualified employment lawyer.

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