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Wrongful Dismissal in Canada

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Source: Canada Labour Code, Part III, Divisions IX, X, XIV (sections 230-246)

Reviewed by the Commoner Law Editorial Team. Sourced from Canadian federal statutes and official sources. Provincial information reflects each province's own legislation and court rulings. Written in plain language for general understanding — this is educational content, not legal advice. Our editorial standards

Canadian Federal Law

What is this right?

Federally regulated employees with 12 months or more of service get one of the strongest job-protection regimes in the common-law world. The Supreme Court's 2016 ruling in Wilson v. Atomic Energy of Canada made it official: a non-union employee on federal turf cannot simply be paid out — the employer either shows just cause or risks reinstatement.

Notice of termination scales with tenure:

  • 3 months to 3 years: 2 weeks' notice
  • 3 to 8 years: graduated up to 8 weeks
  • 8+ years: 8 weeks' notice

Severance pay kicks in after 12 months: the greater of 2 days' wages per year of service or 5 days' wages.

The bigger weapon is the unjust dismissal complaint under section 240 — an adjudicator can order reinstatement and back pay, not just damages.

When does it apply?

  • You work for a federally regulated employer.
  • 3+ months of service for notice rights.
  • 12+ months of continuous service for severance and unjust-dismissal protection.
  • Not available to managers or workers under a collective agreement — union members go through their grievance process instead.

What to Do If You Were Wrongfully Dismissed by a Canadian Employer

The 90-day clock starts the day you're dismissed. Don't let it run out while you're still processing what happened.

  • File the complaint within 90 days — this deadline is strict and not extendable.
  • Keep your termination letter and your Record of Employment (ROE).
  • Ask in writing for reasons for the dismissal — under section 241, your employer has 15 days to provide them.

What should you NOT do?

  • Don't sign a release at the door. Once you sign, you've usually given up the s. 240 remedy. Get advice first.
  • Don't miss 90 days. It cannot be extended for any reason short of incapacity.
  • Don't take the employer's "just cause" story at face value. After Wilson, the bar for cause on federal jobs is high — and the burden sits on the employer.
Provincial Law

Use the jurisdiction bar at the top of the page to pick your province — you'll see how provincial law differs from Canadian federal law.

6 provinces available

Common Questions

When does wrongful dismissal apply?

You work for a federally regulated employer.3+ months of service for notice rights.12+ months of continuous service for severance and unjust-dismissal protection.Not available to managers or workers under a collective agreement — union members go through their grievance process instead.

What should I do if I think my Canadian employer fired me without just cause?

The 90-day clock starts the day you're dismissed. Don't let it run out while you're still processing what happened.File the complaint within 90 days — this deadline is strict and not extendable.Keep your termination letter and your Record of Employment (ROE).Ask in writing for reasons for the dismissal — under section 241, your employer has 15 days to provide them.

What mistakes should I avoid with wrongful dismissal?

Don't sign a release at the door. Once you sign, you've usually given up the s. 240 remedy. Get advice first.Don't miss 90 days. It cannot be extended for any reason short of incapacity.Don't take the employer's "just cause" story at face value. After Wilson, the bar for cause on federal jobs is high — and the burden sits on the employer.

Wrongful Dismissal in other states

Same topic, different jurisdiction. Pick the one that applies to you.

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