Wrongful Dismissal & Wrongful Termination · Ontario · Toronto · Ottawa

Wrongful Dismissal & Wrongful Termination Lawyers in Ontario

Severance offers are almost always lower than what Ontario law actually entitles you to, and once you sign a release, that right is usually gone. Before you accept anything, find out what your termination is really worth.

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Wrongful dismissal in Ontario happens when an employer ends your employment without giving you the notice or pay you are legally owed. It does not mean the firing itself was unfair, it means the compensation fell short of the law. Most severance offers reflect only the minimum under the Employment Standards Act, 2000, while your real entitlement under the common law is often far higher. Achkar Law's wrongful termination lawyers help employees across Ontario assess their termination, challenge low offers, and recover the full settlement they are owed. The most important step comes first: do not sign anything until you have had advice.

What Wrongful Dismissal in Ontario Actually Means

Wrongful dismissal occurs when an employee is terminated without proper notice or pay in lieu of notice. Under Ontario law, most employees dismissed without cause are entitled to reasonable notice, and when an employer provides less than that, the dismissal is wrongful and you may be owed significantly more than you were offered. The terms wrongful dismissal and wrongful termination are used interchangeably in Ontario: wrongful termination is the everyday phrase, while wrongful dismissal is the precise legal term used in the courts. Either way, the question is the same, were you given everything the law requires.

Speak With a Wrongful Termination Lawyer If

  • You were terminated without cause and handed a severance offer
  • You were let go with little or no notice or severance
  • You were pressured to sign a release quickly
  • You are a long-service or senior employee and the package seems low
  • Your employer alleged cause but the reasons feel exaggerated
  • You were terminated shortly after a medical leave or accommodation request
  • You believe the termination was connected to a complaint you made
  • You are not sure whether your termination clause is even enforceable

What a Wrongful Termination Ontario Settlement Can Include

A wrongful termination settlement in Ontario is usually built from several components, not a single number. Depending on your situation, a settlement may include:

  • ESA termination and severance pay. The statutory minimum notice or pay in lieu under the Employment Standards Act, 2000, plus statutory severance pay for qualifying long-service employees. This is the floor, not the ceiling.
  • Common-law reasonable notice. Usually the largest piece. Courts award notice based on your circumstances, and for senior or long-tenured employees it can reach up to 24 months, well beyond the ESA minimum.
  • Bonus, commission, and benefits. Compensation for the bonuses, commissions, and benefits you would have earned during the notice period, even where the employer calls them discretionary.
  • Aggravated or moral damages. Where the employer acted in bad faith in how it dismissed you, for example by making false cause allegations or misleading you, additional damages may be available, following Honda Canada Inc. v. Keays.
  • Human rights damages. If the termination was connected to a protected ground under the Ontario Human Rights Code, such as disability, pregnancy, age, or family status, damages for injury to dignity may be added.

How Wrongful Termination Settlements Are Calculated

There is no fixed formula. Ontario courts assess common-law reasonable notice using the long-established Bardal factors: your age, your length of service, the character of your role, and the availability of similar employment. As a very rough guideline, common-law notice is sometimes described as around one month per year of service, but that is not a rule, courts do not apply it mechanically, and results vary widely depending on the individual factors. Older employees, senior or specialized roles, and a difficult job market all tend to push the figure higher. Your duty to make reasonable efforts to find comparable work, called mitigation, can affect the amount, and a severance offer made the day you are let go almost always reflects far less than this, because the employer is counting on a quick signature. The only way to know what your specific case is worth is to have it assessed. Our severance pay calculator can give you a rough starting estimate, but it is no substitute for a review of your actual file.

An Unenforceable Termination Clause Can Increase Your Settlement

This is where many Ontario settlements are won or lost. Most employment contracts contain a termination clause that tries to cap your severance at the ESA minimum. The catch is that Ontario courts strike these clauses down constantly. Under Waksdale v. Swegon North America Inc., if any part of the termination language breaches the Employment Standards Act, 2000, including a "for cause" provision that was never even used, the entire termination clause is void, and a severability clause will not save it. When the clause falls, the cap disappears and you become entitled to common-law reasonable notice instead, which is usually far higher.

The courts have only sharpened this. In Dufault v. The Corporation of the Township of Ignace, language letting the employer terminate "at any time" and at its "sole discretion" was found unenforceable, because it could allow a dismissal at a time the ESA prohibits, such as during a protected leave. The Court of Appeal upheld that result and the Supreme Court of Canada refused leave in 2025, so it is settled at the appellate level. Baker v. Van Dolder's Home Team Inc. then applied the same reasoning to "at any time" wording on its own, and that case is itself before the Court of Appeal with a decision expected in 2026. It is not all one-sided, in Bertsch v. Datastealth Inc. a clause that was clear and fully ESA-compliant was upheld, which is exactly why your specific wording has to be read carefully. The practical point for you is simple: a clause you assume limits you may not be enforceable at all, and that single issue can multiply what you are owed.

What a Wrongful Termination Lawyer Does for Ontario Employees

Assess your termination

We review how you were let go, your contract, your length of service, and your employer's conduct, and give you an honest read on whether your dismissal was lawful and what you may be owed.

Review your severance offer

We measure the offer against your full entitlements under both the Employment Standards Act, 2000 and the common law, and tell you plainly whether it is fair, low, or well below what it should be.

Challenge an unenforceable termination clause

We assess whether your termination clause actually limits you or whether, under Waksdale and the cases that followed, it is void and you are entitled to common-law notice.

Negotiate a better settlement

Most wrongful dismissal matters in Ontario settle through negotiation. We deal with your employer or their counsel to pursue a package that reflects your full entitlement.

Pursue a claim if needed

If a fair settlement is not offered, we represent you in a wrongful dismissal claim before the Ontario Superior Court of Justice or Small Claims Court, depending on the value.

Advise on related claims

Wrongful termination often overlaps with constructive dismissal, human rights, or workplace harassment issues. We flag every option so you can decide with the full picture.

Before You Sign Anything

Do not sign your severance release yet

Severance offers are almost always lower than your real entitlement, and employers count on a quick signature before you get advice. Once you sign a release, your right to pursue anything more is usually gone for good. The general limitation period for a wrongful dismissal claim in Ontario is two years from termination under the Limitations Act, 2002, but acting early protects evidence and strengthens your position. Get the offer reviewed first.

Wrongful Dismissal Ontario: Common Questions

What is wrongful dismissal in Ontario?

Wrongful dismissal in Ontario is a termination where the employer fails to provide the notice or pay in lieu the law requires. It does not mean the employer had no right to let you go. Most employees dismissed without cause are owed common-law reasonable notice, which is usually well above the Employment Standards Act, 2000 minimum, and a wrongful termination lawyer can assess what you are owed based on your age, service, role, and other factors.

What is the difference between wrongful dismissal and wrongful termination?

In Ontario they mean the same thing. Wrongful termination is the common, everyday phrase, and wrongful dismissal is the precise legal term used in the courts. Both describe being let go without the notice or compensation you are legally entitled to. If you were terminated and think you were not treated fairly on notice or severance, the first step is the same either way: get advice before you sign.

How much is a wrongful termination settlement in Ontario?

There is no set figure, because there is no formula. Common-law reasonable notice is assessed on the Bardal factors, age, length of service, character of the role, and availability of comparable work, and is sometimes loosely described as roughly a month per year of service, though courts do not apply that mechanically and results vary widely. A settlement can also include bonus and benefits, and in some cases aggravated or human rights damages. If your termination clause is unenforceable, the figure can rise substantially. The only reliable way to value your case is to have it assessed.

Can a wrongful termination lawyer increase my severance?

Often, yes. If the employer's offer does not reflect your common-law entitlement, a lawyer can negotiate a higher settlement. Employers frequently make low first offers expecting employees to accept without advice. Where your termination clause is unenforceable, where you are a long-service or senior employee, or where the employer acted in bad faith, the gap between the offer and what you may be owed can be large.

My contract caps my severance. Does that clause actually apply?

Maybe not. Ontario courts regularly strike down termination clauses. Under Waksdale v. Swegon North America Inc., a single ESA-offside phrase, even in a "for cause" section that was never used, can void the whole clause and leave you entitled to common-law notice. Recent cases like Dufault v. The Corporation of the Township of Ignace and Baker v. Van Dolder's Home Team Inc. have struck down common "at any time" wording, though a clear, fully compliant clause was upheld in Bertsch v. Datastealth Inc. Your exact wording has to be reviewed, do not assume the cap is valid.

How long do I have to make a wrongful dismissal claim in Ontario?

The general limitation period is two years from the date of termination under the Limitations Act, 2002. Different timelines can apply to a complaint under the Employment Standards Act, 2000. Two years can feel like plenty of time, but acting early is better: evidence is fresher and your position is stronger. Note that filing an ESA complaint with the Ministry of Labour generally limits you to the statutory minimums, while a court claim is how common-law notice is pursued, so the route you choose matters.

Do I need a lawyer, and what does it cost?

You are not required to have one, but getting advice before you sign is strongly recommended, employers and their counsel are experienced at structuring offers that limit their exposure. Many wrongful dismissal matters are handled on a fixed-fee or contingency basis, so the cost is often tied to the result, and the improved settlement frequently exceeds the cost of the advice. Contact us to discuss fees for your specific situation.

Speak With a Wrongful Termination Lawyer in Ontario

If you have been terminated in Ontario and are not sure whether your severance is fair, tell us what happened and we will follow up promptly with a clear read on your rights and what you may be owed. Do not sign a release or accept a severance package before speaking with a lawyer, once you sign, your right to more may be gone. You can also reach us directly at 1-800-771-7882. We serve employees in Toronto, Ottawa, and across Ontario, with virtual consultations province-wide.

Phone calls, consultations, forms, and emails sent to us do not create a lawyer-client relationship and do not constitute legal advice.

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