Add Comment Question: do small businesses (less than 10 employees) require to pay severance if an employee is terminated due to lack of work? Answer: Unless the employer is in the construction industry, all provincially-regulated employers must pay termination pay under the Employment Standards Act, 2000 and, most likely, the common law, regardless of the size of the business. To determine how much termination pay an employee should receive, please contact our firm to discuss the matter with a lawyer. Your Comment * Your Email * Your Name * Your City Note, your name, city and email is not displayed on the website. It is used to notify you that we have approved your comment.