Understanding Employment Termination Notice Requirements in Alberta

Complying with the process of terminating an employee is not too complex. In Alberta, it’s crucial for employers to understand and adhere to the Employment Standards Code. This ensures that terminations are handled legally and ethically. Here’s what you need to know about providing proper notice or pay in lieu of notice when ending employment without cause.

What the Employment Standards Code Says

Section 56 of the Alberta Employment Standards Code outlines the minimum termination notice requirements. This is the legal framework that employers must follow to ensure they are providing their employees with the correct notice period or compensation. It’s important to note that these are the minimum standards; some employers may offer more generous terms in their employment contracts.

Minimum Notice Periods for Termination Without Cause

The Code specifies different notice periods based on the duration of employment. Here’s a breakdown of what’s required:

For Employment Under 2 Years

• One week notice is required if the employee has been employed for more than 90 days but less than 2 years.

For Employment Between 2 and 4 Years

• Two weeks notice is necessary for employees who have been with the company for 2 years or more but less than 4 years.

For Employment Between 4 and 6 Years

• Four weeks notice must be given to those who have worked for 4 years or more but less than 6 years.

For Employment Between 6 and 8 Years

• Five weeks notice is the standard for employees who have been employed for 6 years or more but less than 8 years.

For Employment Between 8 and 10 Years

• Six weeks notice should be provided to individuals who have served the employer for 8 years or more but less than 10 years.

For Employment of 10 Years or More

• Eight weeks notice is mandated for those who have been with the employer for 10 years or more.

Options for Employers: Notice or Pay in Lieu

Employers have the option to provide the notice as actual working notice, where the employee continues to work through their notice period, or as pay in lieu, where the employee is compensated financially instead of working. Some employers opt for a combination of both, which is also permissible under the Code.

Legal Compliance and Best Practices

It’s essential for employers to strictly adhere to these regulations to avoid potential legal complications

As Per the Employment Standards Code

(last updated March 2024)

Options for employer to terminate employment

55(1)  An employer may terminate the employment of an employee only by giving the employee

(a)    a termination notice under section 56,

(b)    termination pay under section 57(1), or

(c)    a combination of termination notice and termination pay under section 57(2).

(2)  Termination notice is not required

(a)    if the employment of the employee is terminated for just cause,

(b)    when an employee has been employed by the employer for 90 days or less,

(c)    when the employee is employed for a definite term or task for a period not exceeding 12 months on completion of which the employment terminates,

(d)    when the employee is laid off after refusing an offer by the employer of reasonable alternative work,

(e)    if the employee refuses work made available through a seniority system,

(f)    if the employee is not provided with work by the employer by reason of a strike or lockout occurring at the employee’s place of employment,

(g)    when the employee is employed under an agreement by which the employee may elect either to work or not to work for a temporary period when requested to work by the employer,

(h)    if the contract of employment is or has become impossible for the employer to perform by reason of unforeseeable or unpreventable causes beyond the control of the employer,

(i)    if the employee is employed on a seasonal basis and on the completion of the season the employee’s employment is terminated, or

(j)    when employment ends in the circumstances described in sections 62 to 64.

RSA 2000 cE‑9 s55;2017 c9 s37;2020 c28 s1(14)

Employer’s termination notice

56   To terminate employment an employer must give an employee written termination notice of at least

(a)    one week, if the employee has been employed by the employer for more than 90 days but less than 2 years,

(b)    2 weeks, if the employee has been employed by the employer for 2 years or more but less than 4 years,

(c)    4 weeks, if the employee has been employed by the employer for 4 years or more but less than 6 years,

(d)    5 weeks, if the employee has been employed by the employer for 6 years or more but less than 8 years,

(e)    6 weeks, if the employee has been employed by the employer for 8 years or more but less than 10 years, or

(f)    8 weeks, if the employee has been employed by the employer for 10 years or more.

RSA 2000 cE‑9 s56;2017 c9 s38

Termination pay

57(1)  Instead of giving a termination notice, an employer may pay an employee termination pay of an amount at least equal to the wages the employee would have earned if the employee had worked the regular hours of work for the applicable termination notice period.

(2)  An employer may give an employee a combination of termination pay and termination notice, in which case the termination pay must be at least equal to the wages the employee would have earned for the applicable termination notice period that is not covered by the notice.

(3)  If the wages of an employee vary from one pay period to another, the employee’s termination pay must be determined by calculating the average of the employee’s wages during the previous 13 weeks in which the employee worked preceding the date of termination of employment.

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