Is there a law in Ontario that states the number of years an employer has to keep you as an employee while on LTD before they can terminate you? 2, 3 or 4 years or until age 65 if still deemed perm. disabled or is it up to the discretion of the employer… If they say they need to terminate and here is a severance package - if we refuse what happens?
It’s up to the employer.
Most are 2-4 years.
I think the federal government never does.
Any severance probably goes to the insurance company anyways (each policy varies).
I would think if a severance is offered and it goes to the insurance company and you refuse it, the insurance company would cut off your LTD.
I heard that an employer would pay only 50% of entitled severance if an employee is terminated while on LTD. Not sure if it is true