Am I eligible for the WEPP?
You may apply if:
- your employment has ended;
- your former employer has filed for bankruptcy or is subject to a receivership;
- you are owed wages, vacation pay, termination or severance pay from the former employer; and
- amounts were earned during the eligibility period or, in the case of termination or severance pay, your employment was terminated during the eligibility period ending on the date of bankruptcy or receivership
What is the eligibility period?
The eligibility period is defined as the period in which wages and vacation pay must be earned to be compensated under the WEPP and in which your employment must have ended to be eligible for termination and severance pay.
The eligibility period starts six months before a restructuring event and ends on the date of bankruptcy or receivership. Should your employer not have gone through restructuring, the eligibility period is the six-month period ending on the date of bankruptcy or receivership.
You are generally not eligible if, during the period for which you are owed eligible wages, you:
- were an officer or a director of the former employer;
- had a controlling interest in the business of the former employer;
- were a manager whose responsibilities included making binding financial decisions impacting the business of your former employer, and/or making binding decisions on the payment or non payment of wages by your former employer; or
- were not dealing at arm's length with any of these persons.
Note:
- If your employer has not declared bankruptcy or is not subject to a receivership, you are not eligible for the WEPP.
- If your employer has applied for bankruptcy protection but has not declared bankruptcy or subject to a receivership, you are not eligible for the WEPP. However, if your employer later becomes bankrupt or enters into receivership under the Bankruptcy and Insolvency Act, you may be eligible for the WEPP.