The gut reaction of most employers when they have to deal with an employee who has behaved in an outrageous fashion is to terminate the employee in question without much inquiry into the background of the conduct.
Under the Ontario Employment Standards Act, an employer can terminate an employee by providing the employee with either written notice of termination, termination pay or a combination (as long as the notice and the number of weeks of termination pay together equal the length of notice the employee is entitled to receive under the ESA).
Many employers include termination clauses in employment contracts to limit their liability when dismissing employees. When employers draft generous termination provisions providing for more than statutory minimums, they must follow through on that generosity when terminating employees. Failing to do so could leave employers exposed to full liability under the common law.