A performance review (also called an employee performance review, employee review, or job performance review) is a formal evaluation where your employer assesses your work, progress, and contributions to the company.
These reviews usually happen once or twice a year and may be tied to raises, promotions, or career development discussions. While they can be positive opportunities for feedback and growth, they can also be misused by employers as a way to document alleged performance issues.
Key Facts
- Performance reviews are not required by law in Canada.
- They are a management tool, not a legal obligation.
- Reviews can affect your pay, job security, and career path.
Are Performance Reviews Mandatory?
No. There is no legal requirement for Canadian employers to conduct performance reviews. However, many organizations use them to:
- Track employee progress and achievements
- Provide structured feedback
- Align employee goals with company objectives
- Decide on raises, promotions, or training needs
Benefits of a Performance Review for Employees
When handled fairly, performance reviews can help employees:
- Receive constructive feedback on strengths and areas to improve
- Set career goals with their manager
- Gain recognition for hard work through raises or promotions
- Access career development opportunities (mentorship, training, job rotations)
- Improve communication with supervisors about expectations and challenges
Why Employers Use Performance Reviews
From the employer’s perspective, performance reviews may serve to:
- Identify performance issues
- Document concerns for HR and legal records
- Support a Performance Improvement Plan (PIP) if needed
- Build a case for termination (though often misapplied)
⚠️ Important: A bad performance review alone is not just cause for termination in Canada. Employers must provide proper notice or full severance pay if they end your employment.
Fired After a Bad Performance Review?
If you are terminated because of a negative performance review, you are likely entitled to severance pay.
- Non-unionized employees in Ontario, Alberta, and BC can be owed up to 24 months’ pay.
- Employers often wrongly claim that poor performance is “just cause” to deny severance.
- True termination for cause is rare and usually involves serious misconduct (e.g., theft, fraud, insubordination).
Most employees let go after a negative review or failed PIP are fired without cause — which means severance must be paid.
📌 Did You Know? Your employer’s severance deadline is not enforceable. You have up to 2 years after termination to pursue full compensation with an employment lawyer.
What To Do If You’re Fired After a Performance Review
If your employer has dismissed you following a performance review, don’t assume their decision is final. You have legal options.
Next Steps
- Don’t sign anything before speaking with an employment lawyer at Samfiru Tumarkin LLP.
- Check your severance offer — it’s likely less than what you’re really owed.
- Get legal advice to protect your rights.
⚠️ Don’t Sign That Offer! In over 90% of cases we review, employees are offered far less severance than they’re owed — a wrongful dismissal. Once you accept, it’s usually too late for our lawyers to help.
Speak to an Employment Lawyer About Your Review
At Samfiru Tumarkin LLP, we have helped over 50,000 Canadians challenge unfair dismissals and secure the compensation they deserve.
Whether you:
- Received a bad performance review,
- Were placed on a PIP, or
- Were fired and offered a severance package
Our team can review your case and fight to ensure your rights are protected.
🛡️ We Know Employment Law
Our employment lawyers in Ontario, Alberta, and BC have helped many non-unionized employees — including those fired over performance — understand their rights, challenge severance packages, and get what they’re owed.
- 👥 Over 50,000 clients helped across Canada
- 💰 Secured millions in severance and settlements
- ⚖️ No win, no fee — you don’t pay unless we win (Conditions apply. Not all cases qualify.)
- ⭐ 3,000 5-star Google reviews across Canada (4.7 average)
- 🏆 Recognized as one of Canada’s Best Law Firms by The Globe and Mail
📞 Call us at 1-855-821-5900 or request a consultation online.
⚠️ Unionized?
You must consult your union representative regarding termination, severance pay, and other workplace issues. By law, employment lawyers can’t represent unionized employees with these issues. They’re governed by your collective bargaining agreement.