What Rules Must Employers Follow When Ending Employment in Quebec?
Terminating an employee is one of the most sensitive and legally complex actions an employer can take. In Quebec, unlike in some jurisdictions that follow “employment-at-will,” employers must comply with specific statutory obligations and legal principles under the Act respecting labour standards, the Civil Code of Québec, and case law.
This article provides employers with a practical, law-based framework for conducting lawful employee terminations in Quebec — including notice requirements, immediate termination for cause, indemnities, and documentation best practices.
1. Understand the Legal Framework
In Quebec, most employees are covered by the Act respecting labour standards (Loi sur les normes du travail). This statute sets out minimum requirements for termination procedures, including advance notice or indemnities. Additionally, the Civil Code of Québec imposes an overarching obligation to provide “reasonable notice” on employers and employees in contracts of indefinite duration.
Key principles include:
- Employers must provide written notice of termination or pay in lieu of notice based on the employee’s length of continuous service.
- In some cases, employers can terminate an employee immediately for serious fault (cause) without notice.
- The obligations in Quebec differ from federal labour standards (which govern federally regulated workplaces) and should not be conflated.
Federal and provincial resources:
Termination, layoff or dismissal (Canada)
2. Types of Terminations
There are three principal bases on which employment can end in Quebec:
Termination Without Cause
This is the most common scenario where the employer decides to end the employment for business reasons, restructuring, performance issues (not serious fault), redundancy, etc.
Requirements:
- Written notice of termination must be given to the employee.
- The notice period depends on the employee’s length of continuous service (uninterrupted service with the employer):
| Length of service | Minimum notice period |
| <3 months | No minimum notice |
| 3 months-1 year | 1 week notice |
| 1-5 years | 2 weeks notice |
| 5-10 years | 4 weeks notice |
| 10+ years | 8 weeks notice |
- Instead of giving working notice, the employer may pay the employee an indemnity in lieu of notice equal to the wages they would have earned during the notice period.
Exceptions to notice:
No written notice is required when:
- The employee has less than 3 months uninterrupted service.
- The contract is for a fixed term and ends on its expiry.
- The employee is terminated due to force majeure (e.g., a disaster destroying the workplace).
- The employee commits a serious fault justifying immediate dismissal.
Termination for Cause (Serious Fault)
When an employee engages in conduct of such severity that continuing the employment relationship is unreasonable, an employer may terminate without notice.
Examples of serious faults can include theft, fraud, violence, gross insubordination, or repeated serious breaches of company policy — but each case must be objectively justified. Employers intending to proceed for cause should be prepared to demonstrate the seriousness of the conduct and that lesser disciplinary actions were considered where appropriate.
Important: Even when terminating for cause, employers must ensure that the conduct truly meets the legal threshold of “serious fault.” Courts and tribunals in Quebec scrutinize such terminations closely.
Layoff and Collective Dismissals
Layoff – A temporary layoff suspends employment without ending it. If a layoff exceeds 6 months or is expected to exceed 6 months, it triggers termination notice obligations and/or indemnities under the labour standards.
Collective Dismissal – A collective dismissal occurs when multiple employees are terminated within a short timeframe (e.g., 10 or more employees in two months). In these cases:
- Employers must issue a collective dismissal notice to the Minister of Employment and the CNESST and post it at the workplace.
- Similar notice periods and indemnities apply.
3. Best Practices for Compliance
Deliver Written Notices Carefully
A legally compliant notice of termination should include:
- The date of termination
- Length of service and basis for the notice period
- Pay in lieu of notice or working notice option
- Information about benefits, records of employment, and leave entitlements
- Contact information for follow-up questions
Note: Failure to provide notice as required results in an indemnity equal to the wages the employee would have earned during the notice period.
Respect Other Statutory Obligations
In addition to notice:
- Pay all wages and earned vacation indemnities when employment ends.
- Issue a record of employment for federal employment insurance purposes.
- Do not discriminate or terminate for prohibited reasons (e.g., illness, pregnancy, religion) — such actions can trigger human rights claims.
Document Performance and Progressive Discipline
Where terminations involve performance or conduct issues:
- Maintain records of performance discussions, warnings, corrective plans, and any steps taken before termination. This documentation supports the employer’s position if the termination for cause or termination without cause is challenged later.
4. Common Legal Risks and Remedies
Wrongful or Unjust Dismissal Claims
Employees with 2 years or more of continuous service may file a complaint with the CNESST claiming wrongful dismissal if they believe the reasons for termination are unjustified.
Legal remedies may include:
- Reinstatement (rare)
- Compensation for lost wages beyond statutory requirements
- Additional damages awarded by a tribunal
5. Summary Checklist for Employers
Before terminating an employee in Quebec:
- Determine whether the termination is with cause or without cause.
- Check the employee’s length of uninterrupted service.
- Provide written notice or indemnity according to statutory notice periods.
- Ensure all wages, vacation pay, and final compensation are paid.
- Issue a record of employment.
- Document the reasons and process to support your decision in case of a dispute.
Final Takeaway
Terminating an employee in Quebec requires careful attention to statutory notice requirements, documentation, and fairness throughout the process. By understanding the Act respecting labour standards, assessing whether termination is with or without cause, and following best practices, employers can reduce legal risk while treating employees with dignity and respect. When in doubt, seeking guidance before proceeding can help ensure compliance and avoid costly disputes.
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343 Preston Street, Suite 1100, Ottawa, ON, Canada K1S 1N4
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