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Employee Dismissal Letter for Canada

Employee Dismissal Letter Template for Canada

A formal document issued under Canadian employment law to officially terminate an employee's employment relationship with an organization. This letter serves as written confirmation of the termination decision, outlining the effective date, reason for termination (if applicable), notice period or payment in lieu of notice, final pay details, benefit information, and next steps. The document must comply with federal and provincial employment standards legislation, including the Canada Labour Code or relevant provincial Employment Standards Acts, and ensures proper documentation of the termination process while protecting both employer and employee rights.

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Employee Dismissal Letter

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What is a Employee Dismissal Letter?

The Employee Dismissal Letter is a crucial document in Canadian employment law, used when an employer needs to formally terminate an employment relationship. This document serves multiple purposes: it provides written confirmation of the termination decision, outlines the terms of the separation, and ensures compliance with legal requirements under both federal and provincial jurisdictions. The letter must be carefully drafted to include essential information such as the termination date, notice period or payment in lieu, final pay calculations, benefit details, and requirements for returning company property. It should align with the Canada Labour Code for federally regulated employees or the applicable provincial Employment Standards Act. The document may be used in both with-cause and without-cause terminations, though the content and structure will vary accordingly. Proper documentation through an Employee Dismissal Letter is essential for risk management and maintaining clear records of the termination process.

What sections should be included in a Employee Dismissal Letter?

1. Letter Header: Company letterhead, date, and employee's full contact information

2. Termination Statement: Clear statement of employment termination and effective date

3. Notice Period: Details of the notice period or payment in lieu of notice

4. Final Pay and Benefits: Information about final salary, vacation pay, and continuation of benefits

5. Company Property: Instructions for returning company property (devices, keys, documents, etc.)

6. Reference Letter Policy: Statement about the company's policy regarding employment references

7. Closing: Professional closing with contact information for HR representative

What sections are optional to include in a Employee Dismissal Letter?

1. Reason for Termination: Include only for with-cause terminations or when specifically required by law

2. Severance Package: Details of any additional severance beyond statutory requirements

3. Outplacement Services: Information about career transition services if provided

4. Non-Compete/Non-Solicitation: Reminder of ongoing obligations if applicable from employment agreement

5. Release Agreement: Reference to any separation agreement requiring signature

6. Benefits Continuation: Extended benefits coverage details if offered beyond termination date

What schedules should be included in a Employee Dismissal Letter?

1. Schedule A - Severance Calculation: Detailed breakdown of final pay, severance, and statutory entitlements

2. Schedule B - Benefits Summary: Details of benefit continuation and termination dates

3. Schedule C - Property Checklist: List of company property to be returned

4. Appendix 1 - Release Agreement: Separate legal document for signature if severance beyond statutory minimum is offered

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Canada

Document Type

Termination Letter

Cost

Free to use
Relevant legal definitions




















Clauses




















Relevant Industries

Technology

Manufacturing

Retail

Financial Services

Healthcare

Education

Construction

Professional Services

Hospitality

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Energy

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Non-Profit

Government Services

Media and Entertainment

Relevant Teams

Human Resources

Legal

People Operations

Employee Relations

Corporate Services

Executive Leadership

Administration

Compliance

Relevant Roles

Human Resources Manager

HR Director

Legal Counsel

Employment Lawyer

HR Business Partner

HR Coordinator

Chief Human Resources Officer

People Operations Manager

Employee Relations Manager

HR Compliance Manager

Department Manager

Chief Executive Officer

Chief Operating Officer

General Manager

Managing Director

Industries






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