RBC Layoffs 2024: Your Rights and Severance Pay Explained

Facing a layoff at RBC? Know your options

What is RBC?

Royal Bank of Canada (RBC) is one of Canada’s largest banks and financial institutions, with a global presence spanning banking, wealth management, and capital markets.

With its headquarters in Toronto, Ontario, RBC employs tens of thousands of professionals in diverse roles, including technology, finance, customer service, and operations.

It serves approximately 17 million clients in Canada, the U.S., and 27 other countries.

Your rights as a non-unionized employee

The banking industry comes with unique dynamics that can affect employees during a layoff.

For instance, banking professionals often work under specific employment contracts, bonus structures, or non-compete clauses that may impact their severance entitlements and future job prospects.

If you’ve been let go from RBC, it’s critical to review your employment agreement carefully.

We’re here to support your next steps

Losing your job is more than just a financial setback—it’s a major change that can impact your career trajectory and personal confidence.

This guide is here to provide clarity and empower you during this transition.

We’ll outline your severance rights, explain what non-unionized employees are entitled to, and offer actionable steps to help you move forward and protect your future.

WATCH: Key things non-unionized employees should know after a layoff, with employment lawyer Lior Samfiru on the Employment Law Show.

5 steps to take if you’ve been laid off by RBC

1️⃣ Don’t sign anything immediately: Take your time to review all termination documents carefully. Speak with a lawyer before signing anything to ensure you’re fully informed and protected.

2️⃣ Document everything: Save copies of termination letters, severance offers, and correspondence with your employer for future reference.

3️⃣ Use our Severance Pay Calculator: Estimate what you’re owed with our Severance Pay Calculator. This quick step helps you understand your entitlements and plan your next move.

4️⃣ Get legal advice: Contact an employment lawyer at Samfiru Tumarkin LLP to ensure your severance package reflects your full rights.

5️⃣ Start exploring new opportunities: Update your resume and begin searching for new roles. Proactively seeking work not only boosts your career but also demonstrates your effort to find a new job, which is important in severance claims.

Layoff FAQs

Do employment contracts affect severance?

Yes, an employment contract can affect your severance entitlements if it includes enforceable termination clauses. However, many of these clauses may be invalid for several reasons.

Are temporary layoffs legal?

Temporary layoffs for non-unionized employees are generally not permitted unless specifically allowed by an employment contract. Otherwise, a layoff may be treated as a termination through a constructive dismissal claim.

Am I entitled to severance as a contractor?

If your work closely resembles that of an employee—such as reporting to a manager, using company equipment, or working regular hours—you may qualify for severance even if classified as a contractor.

Should I negotiate my severance package?

To ensure that you receive the amount of compensation that you’re entitled to, let our lawyers in Ontario, Alberta, and British Columbia negotiate on your behalf.

Are severance deadlines legal?

Your employer’s deadline to accept a severance offer isn’t legally binding. You have up to two years from your termination date to file a claim for severance, so it’s important to review your offer carefully and seek legal advice before signing anything.

Can unionized employees get severance?

Unionized employees are governed by collective agreements, which outline severance and other rights. By law, only your union can represent you in these matters—even if you feel your union isn’t providing adequate assistance. Unfortunately, our firm can’t assist represent employees with severance or wrongful dismissal issues.

Why choose Samfiru Tumarkin LLP?

At Samfiru Tumarkin LLP, we’ve helped over 50,000 clients secure fair severance packages—recovering millions of dollars for non-unionized employees across Canada.

With extensive experience representing workers in roles at small businesses and large organizations across various industries, our team provides the expertise you need to navigate your layoff effectively.

We specialize in assisting employees in Ontario, Alberta, and British Columbia—ensuring their rights are fully protected.

In addition to employment law, our firm handles disability claims and personal injury cases.

Get help today!

Contact Samfiru Tumarkin LLP to get the compensation you’re entitled to. Call 1-855-821-5900 or request a consultation online.

Other RBC legal wins

Chann v. RBC Dominion Securities

This case involved a wrongful dismissal claim by a former investment banker at RBC Dominion Securities Inc. They argued that they were entitled to damages, including a discretionary bonus, after being terminated without cause.

The court found that the former employee was entitled to a bonus, but the amount should be adjusted based on the financial performance of their division and the specific circumstances of the termination. This decision highlighted the complexities surrounding discretionary bonuses and the importance of clear guidelines in employment contracts regarding bonus entitlements.

Key takeaway: Employers must adhere to legal requirements for termination, including providing reasonable notice or severance pay in cases of constructive dismissal. Employees who experience unjust dismissal may be entitled to significant compensation for damages and lost benefits.

Manastersky v. RBC Dominion Securities

In this case, a senior employee was terminated without cause and sought damages for the loss of entitlements under a profit-sharing plan during the notice period. They argued that the profit-sharing plan was a key part of their compensation and that they should be compensated for lost opportunities under the plan.

The Ontario Court of Appeal ruled that the former employee was not entitled to additional profit-sharing benefits during the notice period because the plan’s terms explicitly limited rights to profits from specific funds, and no new funds were created during that time.

Key takeaway: Employees are generally entitled to bonuses or profit-sharing benefits during the notice period unless their employment contract explicitly states otherwise. It is critical for employees to consult with Samfiru Tumarkin LLP to fully understand how termination impacts their rights under incentive plans.

Key resources for RBC employees

• Severance for provincially regulated employees
• Severance pay by company
• Severance packages in mass layoffs
• Termination for cause: Why severance may still be owed
• Wrongful Dismissal: What it is and how to respond
• Employment rights when a business closes

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.