A recent summary judgment motion before the Ontario Superior Court of Justice, Amberber v. IBM Canada Limited, serves as an important reminder to employers of the need to draft contractual termination clauses with a high degree of clarity, or risk unanticipated liability in the event of a without cause dismissal.
reasonable notice of termination
In Canada, employers can dismiss employees in one of two ways: with cause or without cause. If an employer dismisses an employee without cause, and then later discovers that they had been stealing from the company for years, can they now allege just cause for dismissal?
Including a probationary period clause in an employment contract is not a good idea unless your organization is prepared to assess the suitability of the employee during the probationary period. Failure to do so can result in your organization being ordered to provide a probationary employee with common law reasonable notice of termination. This blog discusses one such case.