Spotify Severance Packages
![spotify-canada-severance-package A hand holds up a smartphone that is shown to be playing music, against an orange background. Spotify Canada employees are entitled to severance pay when they lose their job.](https://stlawyers.ca/wp-content/uploads/2023/06/spotify-canada-severance-package-1200x625.jpg)
Spotify is a digital music streaming platform that offers a wide range of music, podcasts, and other audio content. It provides users with access to millions of songs from various genres and artists.
The platform has as many as 10,000 employees worldwide, with many individuals based in Canada. Spotify offers diverse job opportunities across different fields. Some common job roles at the company include software engineers, data analysts, product managers, music curation specialists, content creators, marketing professionals, and customer support representatives.
Spotify has offices in 43 countries, including its Canadian headquarters in downtown Toronto.
Founded in 2006 in Stockholm, Sweden, by Daniel Ek and Martin Lorentzon, Spotify initially launched its music streaming service in 2008.
The company gained popularity by providing a legal and accessible alternative to piracy, offering both free and premium subscription options.
Recent layoffs at Spotify
- December 2023: Spotify is eliminating approximately 17 per cent of its workforce, or 1,500 jobs, in an effort to “rightsize our costs.”
- June 2023: Spotify is cutting approximately 200 jobs, or two per cent of its workforce, as it enters the “next phase” of its podcasting strategy.
- January 2023: Spotify is laying off six per cent of its workforce. CEO Daniel Ek said the company had been “too ambitious” with its growth.
Severance for Spotify employees
In Canada, non-unionized employees at Spotify 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 tech sector 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 Spotify, 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 Spotify 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.