Woodbridge Foam layoffs 2026: what to do if you're affected at the Blenheim plant

Yes, Woodbridge Foam confirmed to CK News Today that layoffs will occur at the Blenheim plant beginning in May 2026, described as 'short-term or indefinite' and linked to a plant retooling. The exact number of affected employees has not been officially confirmed by the company, though an unconfirmed report suggests up to approximately 96 workers could be affected.

Woodbridge Foam has not publicly confirmed a specific total. The plant employs roughly 155 hourly and salaried workers. An anonymous source cited by CK News Today suggested up to 88 hourly and up to eight salaried employees could be laid off, but this figure has not been verified by the company. The final number may be determined as production winds down across individual product lines.

The company has described the layoffs as 'short-term or indefinite' and indicated it plans to launch a new product line in 2027, which suggests an intent to recall workers. However, recall is not guaranteed, and the word 'indefinite' means there is no firm return date. Unionized employees should review their collective agreement for recall provisions and timelines.

In many cases, employees placed on temporary layoff in Canada are eligible for Employment Insurance (EI) through Service Canada, provided they meet the insurable hours threshold for their region. You should apply as soon as you stop working, as delays can reduce the benefit period available to you. Your specific eligibility depends on your individual work history and circumstances.

If your layoff converts to or is treated as a termination, your severance entitlement depends on whether you are unionized, the terms of your collective agreement or employment contract, your length of service, and other factors. Ontario's ESA sets minimum termination and severance pay, but non-unionized employees may be entitled to significantly more under common law. Unionized employees should consult Unifor Local 127 for guidance specific to their agreement.

It may be possible, depending on the circumstances. Under Ontario's ESA, if a temporary layoff exceeds the permitted time limits (generally 13 weeks in a 20-week period, or 35 weeks in a 52-week period under certain conditions), it is deemed a termination. Additionally, under common law, a layoff may amount to constructive dismissal if your employment contract does not explicitly permit layoffs. This is a complex area and outcomes vary by individual situation.

It is generally advisable to review any severance offer carefully before signing. Signing a release typically forfeits your right to pursue additional compensation. Employer-set signing deadlines are not always legally binding, and in Ontario you generally have up to two years from termination to pursue a claim. Non-unionized employees are often encouraged to consult an employment lawyer before accepting any offer.

Ontario's ESA mass termination provisions apply when an employer terminates 50 or more employees at a single establishment within a four-week period, increasing minimum notice requirements to 8-16 weeks. Whether this threshold is met at the Blenheim plant depends on how many employees are formally terminated - as opposed to placed on temporary layoff - within the relevant time period. It is not yet publicly confirmed whether a Form 1 notice has been filed with the Director of Employment Standards.