In the course of practice, employers have repeatedly made two fundamental mistakes when it comes to provision of commission pay: 1) not properly providing for vacation pay in the calculation of commission payments; and 2) failing to ensure commission payments comply with minimum wage requirements. While employer errors of this kind may be innocent or unintentional, significant financial liability can accrue as a result.
In February 2015 we wrote about a case where a former employee was ordered to pay $56,116.11 as a result of his failure to give reasonable notice of resignation. While these so-called wrongful resignation cases are rare, they should give anyone contemplating a hasty exit from their workplace second thoughts. However, as evidenced by a recent decision out of Sudbury, employers too should think twice prior to going to court on the basis of wrongful resignation.