TD Bank Layoffs 2024: Severance Pay for Employees

Toronto-Dominion Bank (TD Bank) is a Canadian multinational banking and financial services company. With roots going back to 1855, TD Bank was formed following the merger of The Bank of Toronto and The Dominion Bank on Feb. 1, 1955.

To date, the financial services company is the sixth largest bank in North America by assets — serving more than 27.5 million customers. Headquartered in Toronto, TD Bank has offices in other major Canadian cities, including Montreal, Calgary, and Vancouver. The bank claims on its website that it employs a global workforce of approximately 95,000 people.

TD Layoffs: Severance pay facts

Employees at TD are entitled to up to 24 months of severance pay when laid off or terminated without cause, whether full-time, part-time, or hourly. Independent contractors may also qualify for severance if they have been misclassified.

Key Severance Facts

• Severance Pay: Can reach up to 24 months’ pay, based on factors like position, tenure, age, and ability to find similar work. Learn more about severance pay, and explore resources that explain how it works in Ontario, Alberta, and B.C.
• What’s Included: In addition to salary, severance may cover bonuses, commissions, and other compensation.
• Deadlines: You have up to two years from termination to pursue severance, regardless of any employer-imposed deadlines, which are not legally enforceable.
• Better Packages: We have successfully secured much larger amounts for individuals employed across a variety of positions, from entry-level jobs to executives.

Layoffs at TD, like any other Canadian employer, must comply with employment laws. Employees are entitled to severance packages if they are laid off, even during corporate restructuring or business closures.

Historically, TD has faced layoffs during specific times of the year, such as the fall, which often coincides with bonus periods. It’s important to note that bonuses, commissions, and other compensation may still be owed as part of your severance package, even if your employment ends before payout dates.

Your rights when facing a layoff

• Notice of Termination: TD must provide advance notice or pay in lieu of notice.
• Severance Pay: Compensation depends on your age, position, length of service, and ability to find similar work.
• Enhanced Severance: TD often offers enhanced packages to avoid potential legal claims.
• Wrongful Dismissal: If TD doesn’t meet its obligations, you have grounds for a wrongful dismissal claim.
• Temporary Layoffs: Even a temporary pause in your work can result in a severance package through a constructive dismissal claim.

Employer tactics to watch for

Employers may employ certain strategies during layoffs to minimize their obligations:

• Pressuring Employees to Sign Quickly: Avoid signing agreements under pressure. Employer deadlines for severance acceptance are not legally binding.
• Misclassification of Roles: Many independent contractors are actually employees entitled to severance.
• Leaving Out Bonuses and Other Compensation: Ensure severance includes all entitlements, such as commissions or accrued bonuses.

How is severance pay calculated for TD employees?

Severance pay is meant to bridge the gap between jobs, offering financial stability as you transition. It’s based on several factors:

• Length of Service: Longer tenure often means higher severance.
• Age: Older employees may be entitled to more due to challenges in finding comparable work.
• Position: Senior roles or specialized positions may attract higher compensation.
• Availability of Similar Work: If your skills are in a niche market, severance may increase.
• Employment Contract: A termination clause in your employment agreement may attempt to limit your severance, but these are often unenforceable.

Many employees mistakenly believe they are only entitled to the minimum ESA amounts. In reality, you may be owed up to 24 months’ pay. Use our TD Severance Pay Calculator to get a quick estimate.

To learn more about how severance works in Canada, watch this quick primer featuring employment lawyer Lior Samfiru:

TD job cuts: Layoff timeline and analysis

TD has announced several layoffs over recent years due to recessions, downsizing, restructuring, cost-cutting measures, and shifts in operational focus. Below is a timeline of recent layoffs:

• November 2023: TD Bank is cutting approximately three per cent of its workforce as part of a restructuring.
• October 2015: TD Bank is eliminating an undisclosed number of jobs as part of a company-wide review to trim costs amid a challenging operating environment.
• April 2015: TD Bank confirmed that it recently laid off some senior executives as part of an “organizational review.”

Steps to take if you’ve been laid off

If you’ve been affected by TD layoffs, here’s what you need to do:

1. Don’t Sign Anything Right Away: Avoid signing severance agreements until you’ve reviewed them with an employment lawyer at Samfiru Tumarkin LLP.
2. Understand Your Entitlements: Use our Severance Pay Calculator to determine what you’re owed.
3. Speak to an Employment Lawyer: Contact us for a consultation to review your severance package.
4. Document Everything: Keep records of termination notices, severance offers, and communication with HR.

Why choose Samfiru Tumarkin LLP?

Unlike firms that rely heavily on courtroom victories, our proven strategy focuses on maximizing severance packages early in the claim process, helping clients avoid the time, cost, and stress of litigation. With extensive courtroom experience to fall back when necessary, we excel at securing generous severance outcomes quickly and efficiently for our clients.

By prioritizing resolution and client-focused strategies, we’ve successfully helped thousands of non-unionized employees navigate layoffs and terminations with confidence.

FAQs about TD layoffs

Does TD offer enhanced severance packages?

Yes, TD often offers enhanced severance packages to avoid legal disputes. However, these offers may still fall short of what you are owed under common law.

Can TD lay me off without notice?

Not without compensating you appropriately. If proper notice or severance pay isn’t given, you have been wrongfully dismissed, and are owed additional pay.

Resources for TD employees

• Severance for provincially regulated employees
• Severance pay by company
• Federally regulated employees and severance pay
• Severance packages in mass layoffs
• How severance pay works for banking industry workers
• Layoffs in Canada
• BMO Layoffs
• CIBC Layoffs
• Scotiabank Layoffs
• RBC Layoffs
• National Bank Layoffs

If you’re a TD employee facing layoffs, you don’t have to navigate this challenging time alone. Our experienced employment lawyers in Ontario, Alberta, and B.C. are ready to stand by your side, protect your rights, and secure the severance and compensation you’re owed. Beyond employment law, Samfiru Tumarkin LLP also offers expert guidance in disability claims and personal injury cases, ensuring comprehensive support for all your legal needs.

As a non-unionized employee, you deserve clear advice and effective solutions for your employment issues. Contact us today or call 1-855-821-5900 for a consultation and take the first step toward the compensation you deserve.

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.