Employment Law

Terminating Older Employees in Ontario: What Employers and Employees Should Know

Terminating an older employee in Ontario is legal — but it comes with higher risks and obligations. Employees over 50, 60, or even 65 are often entitled to enhanced severance pay, and employers must avoid age discrimination.

If you’re an employee who has been let go later in your career, or an employer considering a termination, here’s what you need to know.


Can Employers Terminate Older Employees in Ontario?

Yes. Employers can terminate employees of any age — but only if they provide proper notice or severance pay, and do not terminate because of age.

💡 Age discrimination is prohibited under Ontario’s Human Rights Code. If the reason for termination is linked to age, it could lead to a costly human rights claim.

Terminating Employees Over 50

Employees over 50 are often granted longer severance packages because:

  • Courts recognize they face greater challenges finding new work.
  • Age is a key factor in determining reasonable notice.
  • Long service + older age usually = more severance.

🔵 Example: A 55-year-old professional with 15 years of service could be entitled to 16 – 20 months or more of severance.


Terminating and Elderly Employee (60-65+)

Some employers mistakenly believe employees must retire at 65. This is false. Mandatory retirement is abolished in Ontario, except in rare jobs where physical ability is a bona fide requirement.

💡 Learn More: For more details on how severance works after age 60 or 65, see our article on severance pay over 60 years old in Ontario →


Age and Severance Entitlements

When calculating severance, the law in Ontario looks at multiple factors, including:

  • Age
  • Length of service
  • Character of employment
  • Availability of similar work

Older age almost always increases severance entitlement.

✅ How Severance Works: When you’re terminated without cause, you must receive full severance. Severance pay in Ontario can be as much as 24 months. Most Canadians are not offered the correct amount — this is called a wrongful dismissal.

Ontario Severance Pay Calculator

Find out in seconds how much you may be owed. Fast, free, and anonymous. Used by over 2 million Canadians.

Try It Now

Employer Best Practices When Terminating Older Employees

Employers should:

  • Avoid age-related comments. Even casual remarks can be evidence of discrimination.
  • Offer fair severance. Older employees are often owed much more than the ESA minimum.
  • Provide support. Reference letters and outplacement services can reduce risk.

Failing to follow these practices can result in wrongful dismissal claims and human rights complaints.


Key Takeaways for Employers and Employees

  • Employers: You can terminate older employees, but only with fair severance and without discrimination.
  • Employees: Age strengthens severance claims — don’t accept the first offer without legal advice.
Key Takeaway: Age does not reduce your rights. If you;re over 50 or 60 and terminated, you may be entitled to significantly more severance pay.

FAQs About Severance and Retirement in Ontario

👉 Can an Employer Terminate an Older Employee in Ontario?
Yes, but they must provide proper severance and can’t fire because of age.

👉 Is It Legal to Fire Someone Because of Their Age in Ontario?
No. That is age discrimination and a breach of the Human Rights Code.

👉 What Happens If an Employee Over 50 is Terminated?
Yes. Age is a factor the law uses to increase severance amounts.

👉 What Should Employers Consider Before Terminating an Elderly Employee?
Provide proper severance, avoid age-based remarks, and consider offering job search support.

Speak to an Employment Lawyer

If you’re over 50 and have been terminated, or if you’re an employer unsure about your obligations, get legal advice before making decisions.

At Samfiru Tumarkin LLP, our employment lawyers in Ontario have helped tens of thousands of employees enforce their workplace rights.

🛡️ We Know Employment Law
Our employment lawyers in Toronto and Ottawa fight for non-unionized workers to receive fair severance pay.

At our firm, we have:

  • ⚖️ Settled over 99% of cases quickly through negotiation or mediation
  • 💰 Secured millions in compensation
  • 📱 Free Termination Consultations — in many, but not all, cases
  • ⭐ Earned 3,215 5-star Google reviews (4.7 average)
  • 🏆 Recognized as one of Canada’s Best Law Firms (Globe and Mail)

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

⚠️ Unionized?
You must consult your union representative regarding termination, severance pay, and other workplace issues. By law, employment lawyers can’t represent unionized employees with these issues. Their collective bargaining agreement governs their rights.

Facing a Letter of Expectation? Know Your Rights

Our experienced lawyers can help you respond and safeguard your future.

Book Your Consultation

Advice You Need. Compensation You Deserve.

Consult with Samfiru Tumarkin LLP. We are one of Canada's most experienced and trusted employment, labour and disability law firms. Take advantage of our years of experience and success in the courtroom and at the negotiating table.

Get help now