GoodLife Fitness Layoffs 2025 – Severance Pay and Employee Rights

Hundreds of GoodLife Fitness instructors were abruptly let go by email in 2022 — and some were told they had “voluntarily resigned.”

Employment lawyers at Samfiru Tumarkin LLP say that approach was illegal, and many affected staff were owed months of severance pay in Canada.

Although no new large-scale layoffs have been reported since 2022, the legal questions raised by GoodLife’s handling of those terminations continue to impact employees today.

If you’ve recently been let go — or were told years ago that you “resigned” — you may still have time to claim severance.

What Happened in the GoodLife Fitness Layoffs

In March 2022, GoodLife Fitness terminated about 480 to 500 instructors across 189 clubs in Canada — many with a decade or more of service (Global News). The company blamed pandemic-era restrictions that hit group classes especially hard.

“We made the difficult decision to end employment,” said Chief Operating Officer Jason Sheridan, acknowledging the strain COVID-19 had placed on the industry.

The terminations arrived by mass email — the same day GoodLife posted online about a “Personal Training Career Webinar,” creating confusion and frustration among staff who had just lost their jobs.

“Voluntary Resignation” or Illegal Layoff?

Employees were given 10 days to respond to their termination email. Those who didn’t reply were told their silence meant they had “voluntarily resigned” — and therefore would not receive severance.

Employment lawyer Jon Pinkus, Partner at Samfiru Tumarkin LLP, called this practice illegal:

“If GoodLife Fitness has already fired these employees, they can’t ‘resign’ if they don’t respond to the email. A resignation has to be voluntary and clear.”

Fiona Martyn, a Toronto employment lawyer with the firm, agreed:

“Emailing employees and saying ‘respond within 10 days or it will be taken as a resignation’ is a breach of employment law,” she told 640 Toronto. “It was a tactic to avoid paying severance.”

Under Canadian law, a resignation must be clear and unequivocal — and failing to reply to an email does not meet that standard.

Severance Pay for GoodLife Fitness Employees in Canada

If you’re a non-unionized employee terminated by GoodLife Fitness, you may be entitled to up to 24 months’ pay as severance — even if you are told otherwise.

How Severance is Calculated

Your severance depends on factors such as:

• Age
• Length of service
• Position or seniority
• Ability to find similar work (job market conditions)

Long-service instructors at GoodLife Fitness may receive significant compensation, an employment lawyer told CTV News.

What a Fair Package Includes

A proper severance package at GoodLife Fitness should cover:

• Salary and bonuses
• Benefits and pension contributions
• Commissions and incentive pay
• RSUs and stock options
• Vacation pay and allowances

Constructive Dismissal and Pay Reductions at GoodLife

Some GoodLife staff see reduced hours, pay cuts, or reassignments.

If your employer changes your role without consent — for example, by lowering your pay or moving you to a different position — this may qualify as constructive dismissal.

In Canada, that is legally treated the same as a termination without cause — and you may still be owed full severance.

Class Action and Wage Disputes at GoodLife Fitness

The 2022 layoffs weren’t the first time GoodLife faced legal scrutiny. Back in 2016, a $75 million class action lawsuit alleged that the company failed to properly compensate employees for overtime and hours worked. The suit was settled in 2018 for $7.5 million (CBC News).

Samfiru Tumarkin LLP told 640 Toronto that companies like GoodLife often struggle to fit their 24-hour business models within employment laws:

“Whether you’re a butcher or a fitness gym, you’ve got to comply with hundreds of small regulations around recording hours and pay. It’s a bit of a nightmare and frankly companies are often non-compliant right from the start.”

Severance Success Stories – Our Track Record

We’ve negotiated significant results for employees at major corporations, including:

• ✅ 24 months’ severance for a long-term professional after refusing unfair new terms post-acquisition. See our win →
• ✅ 6 months’ severance for a short-term executive pressured to sign an unfair release after termination. See our win →
• ✅ 4 months’ severance for an employee terminated after just eight months in a senior role. See our win →

Our clients are often surprised by how much they’re legally owed after being wrongfully dismissed — and legal fees are often covered by the employer.

What to Do If You’ve Been Let Go by GoodLife Fitness

Even if your termination happened years ago, you may still have legal options.
Here’s what to do next:

1. Don’t sign anything without legal advice.
2. Keep emails and termination letters as evidence.
3. Don’t assume you “resigned.” You may have been wrongfully dismissed.
4. Contact an employment lawyer quickly — you have up to two years from termination to pursue a claim.

FAQs About GoodLife Fitness Layoffs

Speak to an Employment Lawyer About GoodLife Fitness Layoffs

If you worked for GoodLife Fitness and were let go — or told you “resigned” after not responding to an email — don’t sign anything until you’ve spoken with an employment lawyer.

At Samfiru Tumarkin LLP, we:

• 👥 Represented 50,000+ Canadians
• 💰 Secured millions in severance payouts
• ⚖️ Settle over 99% of cases out of court
• ⭐ Earned 3,000+ 5-star Google reviews
• 🏆 Named one of Canada’s Best Law Firms

📞 Call us at 1-855-821-5900 or request a consultation online.

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.