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What is the Difference Between Being Fired and Laid Off?

What is the Difference Between Being Fired and Laid Off?

Though no one likes to think about it, being laid off or fired from your place of employment is a common occurrence. Despite being common, many employees are not fully aware of what layoffs are and are left wondering, is being laid off the same as being terminated? Though in many cases, a layoff signals the end of your employment, it typically differs from being fired, particularly in the case of being fired with cause.

At Soni Law Firm, we are the employment lawyer Toronto employees turn to when looking for help with navigating layoffs and terminations. In this post, we help you answer the question, what is the difference between fired and laid off, to help you better understand your rights as an employee and determine if working with a termination lawyer is right for you.

If you have been laid off or fired, contacting a dismissal lawyer is often a smart choice. Consider booking a free 15-min phone consultation to see if working with an employment lawyer is right for you.

What is the Difference Between Being Laid Off and Fired?

Being fired and being laid off can both result in the permanent termination of your employment. Yet, being fired and laid off are not the same thing. It is true that being laid off means that you have been let go from your place of employment. However, the termination for your employment is not related to poor performance and is instead due to the operational needs of the business.

Being fired, on the other hand, often refers to being let go from your employment due to an employee’s unsatisfactory performance or other serious reasons such as severe misconduct. It is important to note the difference between being fired and laid off as with a layoff, you may be able to be re-employed by your employer, whereas being fired is permanent.

Our post, What Happens When You Get Laid Off, provides insight into what employees can expect in the event of a layoff.

Does Being Laid Off Count as Being Terminated?

Termination of employment refers to the end of an employer-employee relationship. But does terminated mean laid off? If a layoff continues beyond a certain length of time, it is considered a termination. However, it is important to remember that it is not due to reasons related to work performance; instead, it is typically due to operational needs.

Our post, What Employees Need to Know About Layoffs, highlights important information on layoffs and how they can differ from other forms of termination.

Is Being Furloughed the Same as a Layoff?

Employees should also be aware that being furloughed is something that could arise within their employment. But what is the difference between furlough and laid off? Unlike layoffs, which can often result in permanent termination of employment, being furloughed is generally a temporary leave of absence, often in instances where there is a shortage of work available. Being furloughed is not typically permanent, however, it is important to understand your rights as an employee if you have been furloughed.

What Should I Do If I am Fired or Laid Off?

If you have been fired or laid off, speaking with an employment lawyer can help you ensure that your rights are being protected. Every employee-employer relationship is different and knowing if hiring an employment lawyer is right for you will depend on your unique circumstances. Our post, Should I Hire an Employment Lawyer? How to Know When to Get Help With Protecting Your Rights, can help you determine if speaking with an employment lawyer is your best option.

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About Post Author

Rahul

Rahul founded Soni Law Firm, a boutique employment law firm focusing on contingency law, with the goal of taking his Downtown Toronto litigation experience and making it accessible to Ontario’s Main Street employees and employers.