IDEL, COVID-19 Layoff Period Extended to July 2021

As the COVID-19 numbers continue to rise and many businesses remain closed or prepare to close again, employers and employees are once again put in the difficult situation of having to layoff staff. The current Infectious Disease Emergency Leave regulation, layoffs that began during March of the pandemic will have to end in July of 2021. But is there a possibility of another extension?

Toronto employment lawyer and partner Lior Samfiru at Samfiru Tumarkin LLP joins Mike Stafford on 640 to explore the possible extension and the repercussions for employers and employees currently on a layoff.

What They Discussed

What does the recent change to the Infectious Disease Emergency Leave mean for Canadians?

The Ontario government first implemented IDEL in the Spring of 2020 in order to help out employers. The initial period was extended to January 2021 and has now again been extended to July 2021. For many individuals who are currently on a layoff, that extension could mean more than a year off of work. When the IDEL ends, however, employees can still be put on a regular layoff by their employer for another eight months. Employees should consider whether or not they want to treat this layoff as termination and seek severance from their employers.

Are the majority of employees unaware of their rights in regards to temporary layoffs?

Many employees receive information from the government, but there is also the common law system which provides a different recourse for employees.

Are there certain industries in which temporary layoffs are common?

In certain jobs, employees expect layoffs due to seasonal changes or other external factors. However, many people are put on layoffs and are not aware of when they will be brought back to work. Employees should also remember once they accept an initial layoff, they are giving their employers permission to do so again.

Do some employees accept layoffs as they love their current job?

While many employees don’t want to leave a job they love, they will have to consider how long they are willing to remain without work and unemployed.

Are some employers taking advantage of the current layoff regulation?

Some employers that were initially willing to pay severance to their employees have seen another option in which they can withhold severance from employees and keep them on a temporary layoff.

I’ve been recalled to work but my job description has changed. Is this a reason to seek termination pay?

Despite the current regulation, common law states significant changes to terms of employment can lead to a constructive dismissal such as a reduction in pay and demotions. A change in title only or a minor pay change might not be cause to seek severance.