employment agreements

You’ve wined them, you’ve dined them…and they’ve stood you up: What employers can do when jobseekers fail to commit

July 16, 2019 Piccolo Heath LLP Employee Relations, Human Resources, Notice, Damages and Settlements, Payroll, Recruiting and Hiring, 0

Although the interview process is generally quite stressful for employees, it’s no walk in the park for employers either. A lot of time, energy and resources go into courting a candidate. So, it’s fair to say that when a winner finally is selected and they’ve signed their shiny new employment contract, it hurts when they’re a no-show on their first day.

employment agreements, employment contract, employment law, hiring, notice period, onboarding process for new employees, wrongful resignation

Lack of clear warning voids termination provision

July 5, 2018 Occasional Contributors Employee Relations, Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll

It has become harder and harder to have a binding termination provision in an employment agreement, but it can still be done. Several cases provide further details.

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BC Supreme Court awards aggravated damages in the absence of medical evidence

February 9, 2018 Employer Advisor, McCarthy Tétrault LLP Employee Relations, Health and Safety, Human Resources, Notice, Damages and Settlements, Payroll

The decisions in Ensign and Karmel demonstrate the risk of liability for failing to be honest and forthright in the manner of termination of an employee’s employment. Employers would be well-advised to be conservative in assessing whether they have cause, assessing reasonable notice periods, carrying out the termination and avoiding bad faith and/or misrepresentation.

aggravated damages, Dismissal, employment agreements, employment law, medical evidence, mental health, psychological distress, termination

Consideration: What’s good for the goose is good for the gander

February 6, 2018 Stringer LLP Employee Relations, Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll, Recruiting and Hiring, Wages and Compensation

The facts of this case are extremely unique. We more commonly see the courts using the doctrine of consideration to deny employers the ability to enforce restrictive termination clauses imposed after employees have already commenced working. However, the ruling gives employers hope that, if the circumstances were sufficiently extreme and an employee’s behavior egregious, the courts will apply the doctrine of consideration to an employer’s advantage.

consideration, employment agreements, employment contracts, employment law, fixed-term employment contract

Fishing for notice: British Columbia Supreme Court addresses inducement and contingency factors in wrongful dismissal suits

July 6, 2017 Employer Advisor, McCarthy Tétrault LLP Human Resources, Recruiting and Hiring

Care is required when recruiting a potential employee, but not all active recruitment activities qualify as inducement. More than giving the employee the impression there is room to grow or job security is required. Actual evidence of promises made by the company and the employee’s reliance upon those promises is necessary to sustain a determination of inducement. Nevertheless, employers can avoid claims of inducement by using written employment agreements that contain “entire agreement” clauses and confirm that the employee has not been induced by any promises.

employment agreements, employment contract, employment law, inducement, promotion, reasonable notice, recruiting, wrongful dismissal

Home renos and employment agreements: How employers can avoid the money pit

March 24, 2017 Rubin Thomlinson LLP Employee Relations, Employment/Labour Standards, HR Policies and Procedures, Human Resources, Notice, Damages and Settlements, Payroll, Pensions and Benefits, Recruiting and Hiring, Source Deductions and Reporting, Wages and Compensation

With home repairs, there is risk in DIY. Similarly, employment agreements require the input of an expert. If you’re not an employment lawyer, don’t try this (i.e. drafting or revising an employment agreement) at home.

bonus entitlements, consideration, employment agreement, employment agreements, employment law, fresh consideration, severance packages

Silence proves costly: employment agreements and reasonable notice

June 13, 2016 Vey Willetts LLP Employee Relations, Employment/Labour Standards, HR Policies and Procedures, Human Resources, Human Rights, Notice, Damages and Settlements, Payroll, Wages and Compensation

Employers who fail to incorporate a binding termination clause into their written employment agreements may face significant, and unexpected, liability for severance. This lesson was learned the hard way by Qualified Metal Fabricators (“QML”) in a recent case out of Toronto.

accommodation, comparable re-employment, damage award, Dismissal, duty to accommodate, employment agreements, employment law, employment standards act, reasonable notice, severance entitlement, termination, termination pay, terminations, wrongful dismissal

Sacking your co-founder

February 10, 2016 Lisa Stam, Spring Law Employee Relations, Employment/Labour Standards, HR Policies and Procedures, Human Resources

For true entrepreneurs, there is nothing more exhilarating and satisfying than launching your own baby into the economy, nurturing it, and watching it flourish with co-founders, friends, employees and supporters along the way.

Satisfying, that is, until your co-founder starts to slack, develop a different vision, or simply become an energy suck that is destroying the business. Once the honeymoon start-up phase is over, founders either thrive in the get-down-to-business phase, or get itchy for the next creative start up adventure. Here are some big-picture tips for handling the post-honeymoon phase.

Business, business venture, co-founder, contracts, creative start up adventure, employment agreements, employment standards act, entrepreneur, Partnership agreements, progressive discipline, shareholder agreements, strong communication skills

Severance limiting clauses CAN work especially in employment agreements

February 2, 2016 Employer Advisor, McCarthy Tétrault LLP Employee Relations, Employment/Labour Standards, HR Policies and Procedures, Human Resources, Payroll, Wages and Compensation

A recent Ontario Superior Court decision reinforces some basic principles previously discussed on this Blog (and unfortunately often missed or forgotten by employers). In Asgari v 975866 Ontario Ltd, a motion for summary judgment was decided in the Plaintiff’s favour. One issue was whether a clause, purporting to limit the Plaintiff’s pay in lieu of notice entitlements to the statutory minimum, was enforceable.

employee handbook, employment agreements, employment law, employment standards act, offer of employment, pay in lieu of notice entitlements, properly drafted severance clause, summary judgment, termination, terminations

Employment contract law changed in 2015. Have you reviewed yours?

December 10, 2015 Adam Gorley Employee Relations, Employment/Labour Standards, HR Policies and Procedures, Human Resources, Notice, Damages and Settlements, Payroll, Penalties and Fines, Pensions and Benefits, Source Deductions and Reporting, Wages and Compensation

Recent court decisions changed how the law applies to employment contracts, most importantly terminations, but also off-duty conduct, consideration and restrictive covenants. Important lessons from the changes are that employers need to review their employment contracts, you can update them or change their terms while complying with the law, and failing to do so can damage your organization’s finances and reputation.

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Agreement to sign an agreement

December 4, 2015 Rudner Law, Employment / HR Law & Mediation Employee Relations, Employment/Labour Standards, HR Policies and Procedures, Human Resources, Notice, Damages and Settlements, Payroll, Pensions and Benefits, Wages and Compensation

The issue of whether termination clauses contained within employment agreements will be enforceable is one that routinely arises. As I have discussed on many occasions, many employers weaken their legal position by entering into a verbal agreement, or presenting an “offer letter”, and then subsequently asking their new employee to sign a far more detailed employment agreement that is designed solely for the benefit of the employer.

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Danger ahead: Beware of changes to employment agreements

September 17, 2015 Occasional Contributors Employee Relations, Employment/Labour Standards, HR Policies and Procedures, Human Resources, Payroll, Pensions and Benefits, Recruiting and Hiring, Wages and Compensation

To appreciate the dangers of varying employment terms, we must start with the foundations of contract law. First, a contract requires that each party receive a benefit (consideration). Second, if the parties agree to a variation of contract, but consideration is not received by both parties, Courts will consider the new contract an “unenforceable unilateral variation”. Third…

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Three popular articles this week on HRinfodesk

September 10, 2015 Yosie Saint-Cyr, LL.B. Managing Editor Employee Relations, Employment/Labour Standards, Health and Safety, HR Policies and Procedures, Human Resources, Human Rights, Notice, Damages and Settlements, Payroll, Union Relations, Wages and Compensation

Three popular articles this week on HRinfodesk deal with changes to employment agreements; consequences of employee comments; and, opinions from non-doctor health and medical professionals.

common law, constructive dismissal, Disciplinary measures, doctor's note, duty to accommodate, employee leaves of absence, employment agreements, employment contracts, employment law, HRinfodesk, medical information, Statutory leaves

Common traps that many Ontario employers fall into in the course of termination

February 6, 2015 Rudner Law, Employment / HR Law & Mediation Employee Relations, Employment/Labour Standards, HR Policies and Procedures, Human Resources, Notice, Damages and Settlements, Payroll, Pensions and Benefits, Wages and Compensation

This post is focused on common traps that many employers fall into in the course of termination. While it is written from the perspective of employers, each of these points applies equally to employees, since an individual that misunderstands these issues will fail to enforce their legal rights and end up leaving substantial amounts of money on the table when they lose their job.

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Are your employment contracts enforceable?

May 15, 2014 Stringer LLP Conferences, Employee Relations, Employment/Labour Standards, HR Policies and Procedures, Human Resources, Payroll, Pensions and Benefits, Recruiting and Hiring, Wages and Compensation

Many employers prepare written employment agreements that limit employee entitlements on termination of employment. In the absence of an enforceable termination provision, employees are entitled to notice of termination at common law, or pay in lieu thereof.

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