Munich Re Layoffs: What’s Happening, Who’s Affected & Severance Rights in Canada

Ergo, the primary insurance unit of Munich Re Group, is planning to eliminate approximately 1,000 jobs by the end of 2030. (Bloomberg)

The workforce reduction comes as the company further integrates artificial intelligence (AI) into its existing operations.

This page explains:

• What’s happening with Munich Re layoffs
• Who’s most affected
• Whether a layoff at Munich Re is permanent
• How much severance Munich Re employees in Canada may be owed
• What to do before signing a severance offer

Who’s Affected by the Latest Round of Layoffs?

A spokesperson for Ergo said the job cuts affect “simple and repetitive tasks” in telephony and claims processing.

While German workers are impacted, it remains unclear if other regions (i.e. Canada) will also be trimmed.

Munich Re is a provincially regulated employer — meaning most non-unionized employees are governed provincial employment standards, not the Canada Labour Code.

Is a Munich Re Layoff Temporary or Permanent?

For non-unionized employees at Munich Re or its subsidiaries, a layoff is almost always treated as a termination without cause — even if the following language is used:

• “Restructuring”
• “Reorganization”
• “Transformation”
• “Temporary layoff”

Unless your employment contract explicitly allows for you to be temporarily laid off, then you can’t be placed on indefinite layoff without terminating your employment — meaning you must receive full severance pay.

Severance Pay for Munich Re Staff

In Canada, non-unionized employees, including those at Munich Re, are often owed far more severance pay than what’s outlined in their initial offer.

Severance is based on common law entitlements, not just minimum standards. Factors include:

• Age
• Length of service
• Position and seniority
• Availability of comparable jobs

In many cases, Munich Re employees in Canada can be owed up to 24 months of compensation.

Severance may include:

• Base salary
• Continued benefits
• Bonus and incentive compensation
• Stock, equity, or RRSP contributions (where applicable)
• Vacation pay
• Other earned compensation

First offers often:

• Cover only minimum entitlements
• Exclude bonuses or incentives
• Impose short signing deadlines
• Undervalue long-service or senior employees

Severance Offers: Common Problems

Canadian employees affected by layoffs frequently report issues such as:

• Severance offers far below legal entitlements
• Missing or unclear compensation breakdowns
• Benefits cut off too early
• Bonuses excluded without justification
• “Temporary layoff” language used improperly
• Pressure to sign within 24–48 hours

Wrongful Dismissal and Munich Re Layoffs

A wrongful dismissal occurs when major employers, including Munich Re, fail to provide full severance required under common law.

You may have a claim if:

• Your severance offer is too low
• A termination clause isn’t enforceable
• You were pressured to accept your severance offer on the spot
• Bonuses or benefits were excluded from your severance package
• You were terminated while on medical, parental, or disability leave
• Munich Re or a subsidiary labelled your termination a “temporary layoff” without contractual authority

Large-scale layoffs at Munich Re don’t reduce their legal obligations in Canada.

Laid Off at Munich Re? Next Steps

If you’ve been laid off at Munich Re or one of its subsidiaries:

1. Don’t sign your severance offer immediately
2. Gather your employment contract, bonus plans, and benefits information
3. Use the Severance Pay Calculator to double-check your entitlements
4. Keep records of your role, compensation, and length of service
5. Speak with an employment lawyer before agreeing to anything

Munich Re Layoffs: Frequently Asked Questions

How much severance can Munich Re employees receive?

Up to 24 months — depending on age, service, and position.

Are Munich Re layoffs permanent?

For non-unionized employees, yes. A layoff is typically a termination.

Does Munich Re have to include bonuses in severance?

Often yes — especially if bonuses were a regular part of compensation.

Can Munich Re terminate employees on leave?

This can raise serious wrongful dismissal and human rights issues.

Can employment lawyers represent unionized Munich Re staff?

No. Unionized employees at Munich Re or one of its subsidiaries must go through their union.

Lost Your Job? Get Help Now

If you’ve been laid off or offered a severance/buyout package by Munich Re or one of its subsidiaries, don’t do anything before seeking legal advice.

Samfiru Tumarkin LLP, one of Canada’s most reviewed employment law firms, has helped more than 50,000 Canadians secure the compensation they’re legally entitled to.

Disclaimer: The materials above are provided as general information about the rights of non-unionized employees in Canada. It is not specific to any one company and SHOULD NOT be read as suggesting any improper conduct on the part of any specific employer, or a relationship between Samfiru Tumarkin LLP and a specific employer.