Wrongful Dismissal While on Leave: What Ontario Employees Need to Know in 2026

Taking time away from work for maternity leave, medical leave, or a personal leave should never put your job at risk. Unfortunately, many Ontario employees discover that while they are away, or shortly after they return, their employment is suddenly terminated.

At Lecker & Associates, we often represent employees who are terminated during a leave or shortly after returning to work. In many cases, these terminations are unlawful and may entitle the employee to significant compensation.

Can You Be Fired While on Leave in Ontario?

The short answer is: not if the leave played any role in the decision.

Under Ontario’s Employment Standards Act (ESA) and human rights legislation, employees are protected from termination and retaliation for taking legally protected leaves, including:

• Maternity and parental leave
• Sick leave or medical leave
• Disability-related leave
• Personal or family responsibility leave

Employers are prohibited from firing, disciplining, or penalizing an employee because they took or requested a leave. If they do, it may amount to wrongful dismissal, reprisal, and in some cases, discrimination.

Common Scenarios We See

Termination during a protected leave isn’t always obvious. Some common examples include:

• Termination during maternity or parental leave
• Job elimination while an employee is on medical leave
• Being told your role was “restructured” while you were away
• Returning from leave to a demotion, pay cut, or drastically changed role
• Being terminated shortly after coming back from leave

Timing matters. If your dismissal closely follows your leave, courts often view it with skepticism.

What If the Employer Says It’s “Not About the Leave”?

Employers often claim the termination was due to restructuring, performance issues, or business needs. That does not automatically make the dismissal legal.

Courts look at:

• The timing of the termination
• Whether similar roles were actually eliminated
• Whether performance issues were raised before the leave
• Whether the employer followed a fair process

If the leave played any role in the decision, the termination may still be unlawful.

What Are You Entitled To?

If you were wrongfully dismissed while on leave, you may be entitled to:

• Common law severance (often far more than ESA minimums)
• Human rights damages for discrimination
• Reprisal damages under the ESA
• Compensation for lost benefits and bonuses

In practical terms, this can mean an enhanced severance notice period. Ontario courts often award longer notice periods at common law when an employee is dismissed while on leave, because being terminated during maternity leave, medical leave, or disability leave can make it significantly harder to find new employment. A longer notice period translates into more months of pay and benefits, well beyond the ESA minimums.

Don’t Sign Anything Without Legal Advice

Employees on leave are often presented with severance packages and pressured to sign quickly. Employees on leave are often pressured to sign severance packages quickly. Once you sign a release, you permanently give up your right to pursue further compensation, even if the termination was unlawful. In many cases, the initial offer is far less than what the law requires.

Before signing anything, speak with one of our expert employment lawyers.

How Lecker & Associates Can Help

For over 40 years, Lecker & Associates has represented Ontario employees in wrongful dismissal and workplace rights cases, including terminations connected to maternity leave, sick leave, and other protected absences.

If you were dismissed while on leave or shortly after returning, we can assess whether your severance offer reflects what the law actually requires.

Disclaimer: entitlement depends on the specific facts of your case, including the reason for termination and your employment history.           

📞 Call 416-223-5391, e-mail us at intake@leckerslaw.com or book your no charge assessment today!