Indeed and Glassdoor cut approximately 1,300 jobs in July 2025, with additional layoffs in November 2025. This marks the third consecutive year of workforce reductions, driven by AI integration and corporate restructuring.
If you’re a Canadian Indeed employee affected by the 2025 layoffs, understanding your rights is crucial. Here’s what you’re entitled to and how to protect yourself.
Your Rights as a Canadian Employee
Good news: Canadian employees have strong legal protections. Non-unionized employees in Ontario, Alberta, and B.C. can receive up to 24 months of severance pay when laid off.
Your severance entitlement depends on:
- Your age
- Length of service with Indeed
- Your position and salary level
- Your ability to find comparable employment
- The circumstances of your termination
The Two Types of Severance
1. Statutory Minimum (Employment Standards Act) This is the bare minimum Indeed must pay by law. For example, in Ontario, it’s typically 1 week per year of service up to 8 weeks, plus additional severance pay if you’ve been there 5+ years.
2. Common Law Severance (What You’re Actually Entitled To) This is usually much higher—often 3-24 months of total compensation. Courts consider all factors above to determine what’s fair. Most employees are entitled to significantly more than the statutory minimum.
Calculate Your Severance Pay
Before accepting Indeed’s offer, calculate your severance pay to understand what you should actually receive. This helps you identify if the company’s initial offer is fair or if you need to negotiate.
Don’t accept the first offer without knowing your true entitlement—most initial offers are lower than what employees deserve under Canadian law.
What Your Package Should Include
A comprehensive severance package includes:
Base Compensation:
- Severance pay (often equivalent to several months of salary)
- Payment for unused vacation days
- Outstanding bonuses and commissions
Benefits:
- Continued health, dental, and other benefits during the notice period
- Pension contributions
- Stock option treatment (if applicable)
Additional Support:
- Career transition or outplacement services
- Neutral reference letter
Here you can read about Manulife Short-Term Disability & recent layoffs at popular companies such as Stericycle, Telus, Hudson’s Bay and Bell layoffs.
Critical Steps to Take Now
1. Don't Sign Immediately
You typically have 21 days to review severance agreements. Once signed, you lose negotiating power. Take time to understand what you’re entitled to.
2. Review Your Employment Contract
Check for termination clauses. If the clause doesn’t comply with employment standards legislation, it may be unenforceable—meaning you’re entitled to full common law severance.
3. Document Everything
Keep copies of:
- Your employment contract and offer letter
- Performance reviews and awards
- Details of Indeed’s severance offer
- Any communications about the layoff
4. Get Legal Advice
Employment lawyers often provide free consultations and many work on contingency (only paid if you win). They can:
- Review your severance offer
- Calculate your true entitlement
- Negotiate a better package on your behalf
- Often double or triple initial offers
Red Flags That You Need a Lawyer
Consult an employment lawyer immediately if:
- Indeed’s offer seems low compared to your years of service
- You’re being pressured to sign quickly
- The agreement contains broad release language or restrictive covenants
- You’re over 40 or have 5+ years of service
- Your position was senior or specialized
Can You Negotiate?
Absolutely. Most severance offers are negotiable. Indeed’s initial offer is typically their starting position, not their final one. Successful negotiation tactics include:
- Pointing to your contributions, performance, and loyalty
- Highlighting your age and years of service
- Requesting extended benefits if cash is non-negotiable
- Having a lawyer send a demand letter (often results in improved offers)
AI-Driven Layoffs Work in Your Favor
Since these layoffs are due to AI restructuring rather than performance issues, this strengthens your position. You’re losing your job through no fault of your own, which:
- Makes wrongful dismissal claims stronger
- Supports requests for enhanced severance
- Demonstrates you were a valued employee
Tax Implications
Severance pay is taxable income. Consider:
- Lump sum: Tax is deducted immediately
- Salary continuance: Taxed as regular income over time (may keep you in a lower tax bracket)
- RRSP contribution: Transfer eligible amounts directly to your RRSP to defer taxes
Employment Insurance (EI)
You can apply for EI benefits after your severance period ends. Severance structured as “salary continuance” may delay EI eligibility, while a lump sum payment typically doesn’t affect it.
What Previous Indeed Layoffs Tell Us
Indeed laid off 1,000 employees in 2024 and 2,200 in 2023. If the company offered enhanced severance packages in those rounds, they should offer comparable packages now to avoid discrimination claims. Ask HR or colleagues about previous severance offers.
Bottom Line
Don’t accept Indeed’s first offer without understanding your rights. Most Canadian employees are entitled to significantly more than statutory minimums, and many successfully negotiate better packages.
Take these three actions today:
- Calculate your severance pay to know what you deserve
- Don’t sign anything until you’ve reviewed the offer carefully
- Consult with an employment lawyer (most offer free consultations)
Canadian employment law protects you. Make sure you get everything you’re legally entitled to.
