What happens to my group benefits if I am terminated?
If an employee is terminated without cause, then the employer must maintain benefits at a minimum for the statutory notice period required by employment standards legislation.
For provincially regulated employees in Ontario, that is anywhere between 0 and 8 weeks. The employee may be entitled to a much longer period of benefits continuation under the common law, which may be several months or possibly years.
If the employer fails to continue benefits coverages for the period required by common law, the employee is entitled to compensation for the lost benefits. For those who may be high users of the benefits plan, the loss of benefits can be significant and lead to large out of pocket expenses, which the employer is required to cover during the common law notice period.
