Twitter staff receive severance offers two months after mass layoffs

After cutting approximately half of its global workforce in November, Twitter is now providing severance offers to affected employees.

However, news outlets, including CNN, claim that staff are frustrated by the social media giant’s offer and the conditions attached to it.

Rather than the three months of severance pay that CEO Elon Musk confirmed in a tweet on Nov. 4, multiple workers claim their package only provides one month of pay.

Regarding Twitter’s reduction in force, unfortunately there is no choice when the company is losing over $4M/day.

Everyone exited was offered 3 months of severance, which is 50% more than legally required.

— Elon Musk (@elonmusk) November 4, 2022

In order to accept the offer, former Twitter employees also have to agree to a variety of terms, including waiving their right to take any legal action against the company.

One worker told Business Insider on Jan. 7 that they won’t be signing the agreement.

Instead, they are planning to join one of the several lawsuits launched against Musk and Twitter in the wake of the mass layoffs.

LEARN MORE
• Female Twitter staff ‘targeted’ during mass layoffs, lawsuit alleges
• Elon Musk to Twitter staff: Be ‘extremely hardcore’ or quit
• Layoffs in Canada

Severance for Twitter Canada employees

While Twitter is reportedly asking laid-off staff to accept one month of severance pay, affected workers in Canada could be owed much more than this initial offer.

Non-unionized employees and senior executives at Twitter Canada are entitled to full severance pay when they lose their jobs due to downsizing or corporate restructuring.

This includes individuals working full-time, part-time, or hourly in Ontario, Alberta, and B.C.

WATCH: Employment lawyer Lior Samfiru explains why you are still owed severance if you have been downsized on an episode of the Employment Law Show.

How is severance pay calculated?

In Canada, severance for non-unionized employees can be as much as 24 months’ pay.

The amount of compensation you are entitled to is calculated using several factors, including:

• Age
• Position at the company
• Length of service
• Ability to find new work

Our firm’s free Severance Pay Calculator can help you figure out how much you are owed.

If your company’s offer falls short of what is appropriate, you have been wrongfully dismissed.

An experienced employment lawyer at Samfiru Tumarkin LLP can help you file a claim to ensure that you receive proper compensation.

LEARN MORE
• Severance packages in mass layoffs
• Severance for technology industry employees
• Severance pay in a recession

Do employers have to provide severance offers immediately?

The short answer is no. Companies don’t have to provide non-unionized workers in Canada with a severance offer immediately after they have been fired without cause or let go.

However, provincially regulated employees must receive their minimum severance entitlements within a set period of time. In provinces such as Ontario and Alberta, the payment deadline varies.

Employers in Ontario are legally obligated to pay statutory severance within seven days of the termination, or by the next payroll date following the dismissal.

In Alberta, companies must provide appropriate compensation either:

• Within 10 consecutive days following the end of the pay period in which the termination occurred
• 31 days after the individual’s last day of employment

If you are a federally regulated worker, your employer is required under the Canada Labour Code (CLC) to provide you with statutory severance within 30 days of your dismissal.

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• Employment Law Show: Facts about the termination process
• List of federally regulated companies in Canada
• Can I get my job back if I am fired?

Can employment contracts include a clause that allows employers to delay severance payments?

Employers must provide non-unionized workers in Canada with their minimum severance entitlements within the timeframes stated under provincial or federal legislation.

Companies can’t add a clause to their employment contracts that allows them to extend the payment deadline or negotiate the minimum amount of compensation staff are owed.

If your employer is deliberately withholding your minimum severance entitlements, contact an experienced employment lawyer at Samfiru Tumarkin LLP.

We can review your situation, assess your legal options, and help you secure the compensation you deserve.

LEARN MORE
• Employment Law Show: 5 facts about employment contracts
• Starting a new job? How employment contracts can limit your rights
• ’60 days or more’: Is it an enforceable termination clause?

Can employers pressure staff to sign a severance offer immediately?

Companies can’t legally force non-unionized employees in Canada to accept a severance offer immediately.

Once you receive an offer from your employer, don’t sign it until you speak with an experienced employment lawyer at Samfiru Tumarkin LLP.

As long as you didn’t accept the offer, you have two years from the date of your dismissal to pursue full severance pay.

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• ‘I already accepted a severance package’: Next steps
• Employment Law Show: 5 things to never do before talking to a lawyer

Can employers refuse to provide staff with any severance if they decline the offer?

The short answer is no. Even if you decline your employer’s severance offer, the company still has to provide you with your minimum entitlements as required under provincial or federal legislation.

If you turned down your employer’s severance offer, and the company now refuses to provide you with any compensation, it’s very likely that you could file a wrongful dismissal claim and pursue full severance pay.

SEE ALSO
• Employment Law Show: What your employer legally can’t do
• Should I negotiate my own severance package in B.C.?

Received a severance offer? Speak with an employment lawyer

Before accepting any severance offer from your employer, contact the experienced employment law team at Samfiru Tumarkin LLP.

Our lawyers in Toronto, Ottawa, Calgary, and Vancouver can review the agreement and ensure that you receive the compensation you are legally entitled to.