According to CTV, Ontario lost a staggering 38,000 jobs between April and June 2025, with the biggest pain felt by those working in factories and manufacturing. This is the largest set of job cuts Ontario has seen in one quarter since 2009, except during the pandemic.

Cities like Windsor have been especially hard hit, with unemployment there rising to 11.2%, the highest rate in the province. Companies like Stellantis have temporarily halted production, and other companies such as Prepac in BC and Eascan Automation in Manitoba have laid off staff in order to account for the loss of revenue.

For the families facing sudden job loss, these changes can be scary—but options and support are available.

Why Are So Many Jobs Gone?

This wave of layoffs has been triggered by new U.S. tariffs on Ontario’s main exports—like steel, cars, and machinery. These extra taxes have made it much harder for Ontario businesses to compete or keep their doors open. According to Ontario’s financial accountability officer, a “mostly negative” trend has developed: not just job losses, but drops in manufacturing sales, retail trade, and exports. As a result, major manufacturing cities and even smaller communities across the province are feeling these impacts.

These losses also mean a lot of full-time jobs have vanished—56,600 in total—with only 18,700 new part-time jobs partially filling the gap. The overall unemployment rate has now climbed for the ninth quarter in a row, reaching 7.8%, the highest since late 2012 outside of COVID’s peak.

The layoffs aren’t limited to one region or sector—they’re touching nearly every major Canadian hub involved in cross-border trade. As a result, the Employment Insurance (EI) system is already reporting increased claims, and some communities are bracing for more cuts in the months ahead.

What Does This Mean for Workers?

For affected employees, the news can feel overwhelming: quick layoffs, reduced hours, and shrinking job prospects. Many wonder where to turn or how to protect their rights. The reality is that losing a job through no fault of your own—especially when caused by trade actions and tariffs outside Canadian control—does not mean you're out of options. Immediate steps can make a difference, from applying for EI to getting an honest, knowledgeable assessment of your rights.

What is the Government Doing?

The Ontario government has launched a $1-billion “Protect Ontario Financing Program” to help businesses hit by these tariffs so they can keep workers on payroll and avoid more closures or layoffs.

They have also created a $70 million package for employment and training supports aimed at helping workers in the hardest-hit industries, plus billions committed to shoring up the economy.

However, to get support, companies need at least 10 staff, $2 million in annual sales, and must have already used up federal help. Some political leaders argue this isn’t enough, calling for more direct and immediate action for workers and their families.

What Can You Do If You’ve Been Laid Off?

If you’ve lost your job because of these layoffs, here’s what you can do:

• Apply for Employment Insurance (EI) right away.
  
  

• Check with your employer about severance pay or any final compensation.
  
  

• Look for re-training or education programs—the province is offering new funding for these.
  
  

• Talk to an employment lawyer.An employment lawyer can help you understand your rights and walk you through what to do next, making sure you’re getting all the help and support you deserve.
  
  

Even if your employer says the layoffs are because of U.S. tariffs or slowdowns, you may still be owed compensation, notice, or other benefits.

You Are Not Alone—Get Help

Losing work is upsetting, especially when it’s not your fault. But you don’t need to face this alone. As a law firm that helps people through job loss, we want you to know there are resources, rights, and supports that can help you move forward. Reach out if you need advice—an employment lawyer can make things clearer and give you a plan for your next steps.

Stay informed. Ask for help. And remember—change is tough, but support is here for you.

Have you been laid off by your job in the manufacturing sector? Contact our employment lawyers today. Our legal team offers a free consultation and works on a contingency basis—there are no fees unless you win your case.