Lilly Canada Layoffs and Severance Pay

Lilly Canada, also known as Eli Lilly Canada, is a pharmaceutical company that operates across the country. The company is a subsidiary of Eli Lilly and Company, a global pharmaceutical corporation headquartered in Indianapolis, Indiana. Eli Lilly Canada focuses on discovering, developing, and marketing pharmaceutical products.

Lilly Canada provides a range of pharmaceutical products and therapies across various therapeutic areas, including diabetes, oncology, immunology, neuroscience, and more. They offer medications for conditions such as diabetes, cancer, autoimmune diseases, and mental health disorders.

Hundreds of people are employed by the pharmaceutical company, with many working at Lilly Canada’s head office in Toronto. The company’s workforce is spread across many roles, including research and development, clinical trials, regulatory affairs, sales and marketing, manufacturing and production, quality control, supply chain, and more.

The parent company, Eli Lilly, was founded in 1876. The first Canadian location was opened in 1946 on the Danforth. In October 2023, Lilly purchased Point Biopharma for $1.4 billion.

Recent layoffs at Lilly Canada

• April 2013: Eli Lilly is cutting its U.S. sales force by 30%.

Severance for Lilly Canada employees

In Canada, non-unionized employees at Lilly Canada can get up to 24 months of severance pay when they are fired or laid off from their job. This includes individuals working full-time, part-time, and hourly in Ontario, Alberta, or B.C.

Severance is the compensation a non-unionized worker in Canada receives from their employer when they are fired without cause.

Even if you are fired for cause, it’s very likely that you are still entitled to full severance pay because employees often don’t meet the conditions necessary for this type of dismissal.

LEARN MORE
• Severance for provincially regulated employees
• Severance packages in mass layoffs

Regardless of a company’s grasp on employment law, they are legally required to provide proper compensation following a termination.

This concept applies during challenging economic conditions, downsizing, the closure of a business, or major public health events such as the COVID-19 pandemic.

WATCH: Employment lawyer Lior Samfiru explains everything you need to know about severance pay on an episode of the Employment Law Show.

The employment lawyers at Samfiru Tumarkin LLP have represented numerous pharmaceutical industry employees over the years in severance package negotiations.

We have successfully secured much larger amounts for individuals employed across a variety of positions, from entry level jobs to executives.

How to properly calculate severance pay

Employers often incorrectly calculate severance pay. There is a belief that severance pay is one week’s pay, two weeks’ pay, or a week for every year of service an employee has with the company.

For non-unionized employees, the main factors of termination or severance pay include age, length of service, position, bonuses, benefits, and the ability to find new work.

If you work at Lilly Canada, you are likely a provincially regulated employee. That means your severance package must consider:

• Your minimum severance pay as a provincially regulated employee, which is determined by each individual province.
• Your full severance pay according to our legal system (common law) which can be as much as 24 months’ pay.

To figure out how much compensation you may be entitled to, use our firm’s Pocket Employment Lawyer.

ADDITIONAL RESOURCES
• Severance Pay in Ontario
• Alberta severance packages
• Understanding severance in B.C.
• Layoffs in Canada

Don’t sign on the dotted line!

Do not accept any severance offer, termination papers, or exit agreement that Lilly Canada may provide you with.

Once you sign back these documents, you eliminate your ability to negotiate a fair and proper severance package.

Generally speaking, if an employee does not receive the proper amount of severance pay when they lose their job, they may be considered to have been wrongfully dismissed. An employment lawyer at Samfiru Tumarkin LLP can analyze your situation and explain how much compensation you may be owed.

Talk to an employment lawyer

The experienced employment law team at Samfiru Tumarkin LLP has helped tens of thousands of non-unionized individuals across the country. In addition to severance package negotiations, our team has experience securing solutions for the following employment matters:

Our lawyers in Ontario, Alberta, and B.C. stand ready to help you solve your workplace issues.

If you are a non-unionized employee who needs help with an employment issue, contact us or call 1-855-821-5900 to get the advice you need, and the compensation you deserve.

Disclaimer: The materials above are provided as general information about the rights of 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.