Across Canada, employers are obligated to provide financial assistance to employees who have been dismissed from their employment in the form of reasonable notice, pay in lieu of notice, or some combination of both notice and pay in lieu.
reasonable notice period
In the recent decision of Cormier v. St. Joseph Communications, the Court of Appeal upheld a motion judge’s finding that when calculating reasonable notice periods, an employee is entitled to include the duration of time they were an dependent contractor. This case highlights the risks posed by evolving employment relationships and the importance of drafting legally defensible termination clauses.
The Ontario Court of Appeal observed that calculating reasonable notice is “case-specific” and, while there is “no absolute upper limit or ‘cap’ on what constitutes reasonable notice, “exceptional circumstances” may support a notice period in excess of 24 months.