If 50 or more employees lose their jobs at a single location in British Columbia within a two-month period, the employer may be required to provide additional notice or termination pay under BC’s group termination rules.
These protections apply to mass layoffs and workplace closures. For non-unionized employees, group termination entitlements are separate from individual minimum termination pay. Your full severance package could be significantly higher.
Here’s what qualifies as a group termination in BC, how much notice employers must provide and what to do before accepting a severance offer.
💡 Important: A mass layoff doesn’t reduce your severance rights. Non-unionized employees may be entitled to significantly more than the minimum amounts in BC’s Employment Standards Act, potentially up to 24 months’ pay in appropriate cases.
On This Page
- What Is Group Termination?
- Notice Requirements
- Individual Severance Rights
- How Much Severance?
- Financial Difficulties
- Before You Sign
- Frequently Asked Questions
What Is a Group Termination in BC?
Under section 64 of the BC Employment Standards Act, a group termination occurs when an employer terminates 50 or more employees at a single location within any two-month period.
Group terminations can happen because of:
- Company downsizing or restructuring
- Workplace or facility closures
- Department closures or workforce reductions
- Business mergers or operational changes
- Financial difficulties or declining revenue
The employees don’t have to lose their jobs on the same day. Terminations spread across multiple dates can still trigger the group termination rules if they occur within the same two-month period.
Whether employees work at a single location depends on their actual working arrangements. Separate worksites can sometimes be treated as one location when their operations and management are sufficiently connected.
BC Group Termination Notice Requirements
Employers carrying out a qualifying group termination must provide between eight and 16 weeks of written notice, depending on the number of employees affected.
| Employees Terminated | Minimum Group Notice |
|---|---|
| 50–100 employees | 8 weeks |
| 101–300 employees | 12 weeks |
| 301 or more employees | 16 weeks |
The employer must provide written notice to:
- Each affected employee
- The provincial minister responsible for employment standards
- Any union representing affected employees
The notice must identify the number of affected employees, the termination date or dates, and the reasons for the terminations.
What If the Employer Doesn’t Provide Enough Notice?
If an employer doesn’t provide the required group termination notice, it must provide termination pay instead. Employers can also use a combination of working notice and termination pay.
The required notice period must be calculated from the date of the first termination in the affected group.
⚠️ Important: The eight-, 12- and 16-week amounts are group termination minimums. They don’t represent the full severance package of every employee affected by a mass layoff.
Is Group Termination Pay Added to Individual Severance in BC?
Yes. For non-unionized employees, BC’s group termination notice or pay requirements are in addition to the individual minimum termination pay under the Employment Standards Act.
Individual termination entitlements are based on length of service:
| Length of Employment | Individual Minimum Notice or Pay |
|---|---|
| Less than 3 months | No minimum under section 63 |
| 3 months to less than 1 year | 1 week |
| 1 year to less than 3 years | 2 weeks |
| 3 years | 3 weeks |
| Each additional completed year | 1 additional week, up to 8 weeks total |
Example: 75 Employees Laid Off
A BC company closes a location and terminates 75 employees within two months.
One affected employee has worked there for five years. Under the standard statutory rules, that employee may be entitled to:
- 8 weeks: Group termination notice or pay
- 5 weeks: Individual termination notice or pay
- Total: 13 weeks of statutory notice or pay, or a combination
But 13 weeks isn’t necessarily that employee’s full severance entitlement. Common-law severance rights may provide significantly more compensation, depending on the circumstances and employment contract.
How Much Severance Pay Can You Get After a Mass Layoff in BC?
Non-unionized employees who lose their jobs in a mass layoff may be entitled to up to 24 months’ pay in appropriate cases. The amount depends on the employee’s circumstances, not simply the number of people laid off.
Common-law severance is influenced by factors such as:
- Age: Older employees may face greater difficulty finding comparable work.
- Length of service: Long-serving employees may be entitled to more compensation.
- Position: Seniority, responsibilities and the nature of the role matter.
- Availability of comparable work: Job market conditions can affect how long it may take to find similar employment.
- Employment contract: An enforceable termination clause may affect an employee’s rights beyond statutory minimums.
Severance compensation can also involve benefits, bonuses, commissions and other components of an employee’s compensation package.
A company-wide layoff doesn’t automatically entitle every employee to the same severance package. Two employees laid off on the same day can have very different entitlements.
📲 Use our Severance Pay Calculator to estimate what your full severance package could be worth.
For more information, see our guide to severance pay in British Columbia.
Can an Employer Reduce Severance Because of Financial Difficulties?
An employer can’t simply reduce an employee’s legal severance entitlement because the business is losing money, restructuring or closing a location.
Employees affected by layoffs caused by declining sales, operating losses or corporate restructuring can still be entitled to notice, termination pay and full severance compensation.
In some cases, difficult economic conditions may make comparable employment harder to find. This can actually result in more severance pay for someone who loses their job.
Bankruptcy, insolvency and certain statutory exceptions can create additional complications. Employees should have their rights reviewed rather than assuming financial difficulties eliminate their entitlement.
What Should You Do Before Signing a Mass Layoff Severance Package?
Employers often provide severance offers immediately after announcing a layoff. These offers may cover only minimum entitlements or fall short of the employee’s full legal rights.
Before signing a release or accepting an offer:
- Don’t sign immediately. An employer’s deadline to accept a severance offer doesn’t automatically end your legal rights.
- Check your full entitlement. Your severance may be significantly higher than the initial offer.
- Review your compensation. Consider salary, benefits, bonuses, commissions and other compensation.
- Keep your documents. Save your employment contract, termination letter, severance offer and recent pay statements.
- Have the offer reviewed. An employment lawyer can assess whether your package reflects your legal entitlements.
⚠️ Signing a Release: Accepting a severance package and signing a release can prevent you from pursuing additional compensation. In many BC wrongful dismissal cases, employees have two years to begin a court claim, but different deadlines can apply to other employment claims.
Learn more about your options for a severance package review.
Group Termination in BC: Frequently Asked Questions
How Many Employees Make a Mass Layoff in BC?
BC’s group termination rules apply when 50 or more employees at a single location are terminated within any two-month period, subject to applicable exceptions.
How Much Notice Is Required for Group Termination in BC?
Employers must provide eight weeks’ notice for 50–100 employees, 12 weeks for 101–300 employees, and 16 weeks for 301 or more employees. Termination pay can be provided instead of some or all of the required notice.
Is Group Termination Pay in Addition to Severance?
For non-unionized employees, group termination notice or pay is added to individual statutory termination entitlements. Employees may also have common-law severance rights beyond those statutory minimums. The total amount depends on the circumstances.
What If Fewer Than 50 Employees Are Laid Off?
The group termination provisions may not apply, but employees can still be entitled to individual termination pay and common-law severance. A smaller layoff doesn’t remove an employee’s right to compensation.
Does Group Termination Apply to Employees at Different Locations?
The law refers to employees terminated at a single location. However, what counts as one location depends on how the workplace operates. Multiple worksites may be treated as a single location in some circumstances.
Do Group Termination Rules Apply if the Company Closes?
Yes. A business closure can trigger group termination requirements if the statutory conditions are met. Financial distress or closure doesn’t automatically eliminate those obligations, although certain legal exceptions may apply.
Do Unionized Employees Qualify for Group Termination Notice?
Group termination provisions can apply to unionized employees, but collective agreement rights and grievance procedures affect how entitlements are determined and enforced. Unionized employees should speak with their union representative.
Do Federal Employers Follow BC’s Group Termination Rules?
No. Federally regulated employers, including banks and telecommunications companies, are governed by the Canada Labour Code and its separate group termination requirements.
Can a Company Lay Off Employees in Stages to Avoid Group Termination?
Terminations are assessed within any consecutive two-month period. An employer can’t avoid the requirements simply by splitting a qualifying group termination across different dates within that period.
Laid Off in BC? Find Out What You’re Owed
If you’ve lost your job during a mass layoff, your employer’s initial severance offer may not reflect your full entitlement.
The BC employment lawyers at Samfiru Tumarkin LLP help non-unionized employees understand their severance rights following mass layoffs, company restructuring and workplace closures.
We’ll review your situation, explain your options and help you pursue the compensation you’re owed.
Before you sign, always check first.
➡️ Get a Consultation or call 1-855-821-5900.