Employment Law

Bench Accounting being acquired by Employer.com after abrupt closure

A photo of a person working at a desk covered in multiple items. (Photo: charlesdeluvio / Unsplash)

What’s going on at Bench Accounting?

Bench Accounting is being acquired by Employer.com — a San Francisco-based human resources (HR) technology company.

The update comes just days after the Vancouver-based bookkeeping service suddenly shut down on Dec. 27.

“This acquisition ensures that Bench customers can continue relying on the same high-quality service they’ve always received, while also opening the door to future enhancements and capabilities powered by [our] extensive resources,” Employer.com said in a statement.

The financial details of the deal and when the transaction is expected to close haven’t been provided at this time.

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Bench Accounting staff looking for work

Prior to the shutdown notice, Bench Accounting claimed on its website that it had more than 600 employees.

Following the abrupt closure, some staffers posted on LinkedIn that they’re now looking for work.

As Bench Accounting prepares to come under new management, here are a few things that non-unionized employees in Canada need to be aware of.

Who pays severance if Employer.com doesn’t keep certain Canadian employees?

In Canada, the “seller” of the business is responsible for providing proper compensation to staff who lose their job.

If Employer.com provides you with an employment offer, and you have a good reason for why you don’t want to accept it (i.e. different hours or pay), you might be able to get full severance pay from Bench Accounting.


WATCH: Employment lawyer Lior Samfiru explains the rights workers have when their employer sells the business on an episode of the Employment Law Show.


Even without a good reason you can still get severance, but it’s very likely that you will only receive your minimum entitlements.

LEARN MORE
Employer sold the business in B.C.? Know your rights to severance
Rights to severance in Alberta when your employer sells the business
Sale of business in Ontario: Rights to severance

How is severance pay calculated?

Severance for non-unionized employees in Canada can be as much as 24 months’ pay.

This includes individuals working full-time, part-time, or hourly in British Columbia, Alberta, and Ontario.

The amount of compensation you’re entitled to is calculated using several factors, including:

  • Age
  • Length of service
  • Position at the company
  • Ability to find new work

To figure out how much you could be owed, use our firm’s free Severance Pay Calculator. It has helped millions of Canadians determine their severance entitlements.

ADDITIONAL RESOURCES
Severance for provincially regulated employees
Rights to severance during mass layoffs
Severance pay in a recession

If your company’s offer falls short of what our Severance Pay Calculator says you’re owed, contact us. We can determine if you’ve been wrongfully dismissed.

UNIONIZED? If you’re a unionized employee, severance and wrongful dismissal claims must be handled by your union through the grievance process outlined in your collective bargaining agreement (CBA).

By law, employment lawyers can’t represent you in these types of matters.

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Can Employer.com make major changes to the jobs of Bench Accounting staff?

In Canada, non-unionized employees at Bench Accounting don’t have to accept substantial changes to their job that Employer.com might try to enforce.

Major modifications, such as a demotion, longer shifts, or reduced pay, are illegal.

When significant adjustments are made to the terms of your employment without your consent, there is a very good chance that you can treat it as a constructive dismissal.

In this situation, the law allows you to quit your job and pursue full severance pay.

If you believe you’ve been constructively dismissed, don’t resign before contacting an experienced employment lawyer at Samfiru Tumarkin LLP.

ADDITIONAL RESOURCES
Changes to your employment in B.C.: Your rights
Job changes in Alberta: What employees need to know
Can my employer make changes to my job in Ontario?

New contracts for Bench Accounting employees

If you work for Bench Accounting in Canada, and you receive a new employment contract from Employer.com, take the time to carefully review it before signing it.

In many cases, these agreements take away key protections that would otherwise be available to non-unionized employees, including:

  • Eliminating past service: The new owner might attempt to reduce or eliminate your years of service with your previous employer. Don’t sacrifice your seniority. Length of service is a key factor when determining how much severance pay you are entitled to.
  • Reducing severance pay: Some employers try to use a termination clause to reduce your severance entitlements to the bare minimum. Instead of months of pay, you might only receive a few weeks’ pay if you are fired without cause or let go.
  • Ability to make changes: The new owner might attempt to add a clause that gives them the right to change aspects of your job (i.e. hours or pay) without your permission or lay you off without penalty.

Employers in Canada can’t legally force non-unionized workers to sign a new employment contract immediately or a few days after receiving it.

SEE ALSO
Starting a new job? Here’s how an employment contract could limit your rights
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Do I still have the same workplace rights with a non-Canadian owner?

Yes. Companies headquartered outside of Canada, including Employer.com, must adhere to either provincial or federal employment laws — depending on the province where the employees work and the industry that the employer operates in.

Workplace issue? Talk to our team

Since 2007, the experienced employment law team at Samfiru Tumarkin LLP has helped tens of thousands of non-unionized individuals resolve their workplace issues.

Whether you’re in B.C., Alberta, or Ontario, our lawyers can review your situation, enforce your rights, and ensure that you receive the compensation you deserve.

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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.

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