Termination clause

Wrongful dismissal update: Alleging just cause is a legal minefield

November 12, 2019 Doug MacLeod, MacLeod Law Firm Employee Relations, Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll, 0

A recent case (Headley v. City of Toronto, 2019 ONSC 4496 (CanLII)) shows that alleging just cause for termination for a long-service employee can be a risky and costly strategy.

employment contract, employment law, just cause dismissal, Termination clause, Wallace damages, wrongful dismissal

Excluding STD and LTD during notice period voids termination clause

September 23, 2019 Barry B. Fisher LL.B. Employee Relations, Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll, 0

In Cormier v 1772887 Ontario Limited c.o.b. as St Joseph’s Communications (2019 ONSC 587), Justice Perell had to determine the enforceability of the following ESA termination clause:

employment law, long-term disability benefits, notice period, Severance pay, short–term disability benefits, Termination clause

Failure to repeat termination clause after multiple promotions voids clause

June 28, 2019 Barry B. Fisher LL.B. Employee Relations, Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll, 0

In McKercher v Stantec Architecture (2019 SKQB 100), Justice Elson had a situation where at the time of his hiring as a staff architect, the plaintiff signed an enforceable contract limiting his notice to a maximum of 3 months.

Dismissal, employment contract, reasonable notice of termination, Termination clause, termination notice

OCA upholds ESA related termination clause

February 27, 2019 Barry B. Fisher LL.B. Employee Relations, Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll, 0

In Nemeth v Hatch (2018 ONCA 7), the Court was faced with the following termination clause:

common law reasonable notice of termination, employment law, ESA notice, notice period for a terminated employee, termination, Termination clause

Is 36 months the new 24?

February 1, 2019 Rudner Law, Employment / HR Law & Mediation Employee Relations, Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll, 3

For a long time, the common law notice period had an “unofficial” cap of 24 months, which was generally reserved for very long-service, senior level management. In recent years, things have changed and longer notice periods are becoming the norm.

mandatory retirement, termination, Termination clause

Three popular articles this week on HRinfodesk

January 10, 2019 Yosie Saint-Cyr, LL.B. Managing Editor Employee Relations, Employment/Labour Standards, HR Policies and Procedures, Human Resources, Notice, Damages and Settlements, Payroll, Pensions and Benefits, Source Deductions and Reporting, Wages and Compensation, 0

The three popular articles this week on HRinfodesk deal with termination clauses, 2018-2019 payroll rates and changes to the Employment Insurance Act.

2018 Payroll rates, 2019 payroll rates, EI benefits, Employment Insurance Act, employment law, payroll rates, Termination clause

Court of Appeal partially invalidates release of notice entitlements

December 19, 2018 Devan Marr Employee Relations, Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll, Wages and Compensation, 0

This blog focuses on the issues surrounding statutory minimums and waiving out, leaving the issue of restrictive covenants raised in the cross appeal for another day.

employment contract, employment law, mitigation, notice entitlements, restrictive convenants, Severance pay, statutory minimums, Termination clause

Will a judge enforce the termination clause in your organization’s employment contract?

September 11, 2018 Doug MacLeod, MacLeod Law Firm Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll, Recruiting and Hiring

Although it is theoretically possible to limit an employee’s rights on termination to ESA minimums, it is difficult to do so in practice because trial judges are reluctant to enforce them.

employment contract, employment law, statutory termination pay, Termination clause

Ontario Court of Appeal finds clarity in termination clause

July 25, 2018 Stringer LLP Employee Relations, Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll

The Court’s reversal in this case, while favourable to employers, emphasizes the occasional unpredictability of the law in this area. It is prudent to periodically review your contractual termination provisions for new hires.

common-law entitlements, employment law, pay in lieu of notice, statutory entitlements, Termination clause, termination notice

Putting on the brakes: Ontario courts are limiting the scope post-dismissal mitigatory earnings

July 16, 2018 Vey Willetts LLP Employee Relations, Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll

Employers must be aware that it is now an increasingly risky strategy to fight a wrongful dismissal case on the hopes of saving money via employee mitigation of loss.

employment contract, employment law, post-dismissal, Severance pay, termination, Termination clause, wrongful dismissal

Alberta Court of Appeal rules on termination clause

July 9, 2018 Employer Advisor, McCarthy Tétrault LLP Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll

The case of Holm in this article is a good reminder of the importance of drafting clear and unambiguous termination clauses and the consequences of failing to do so.

employment agreement, employment law, Notice of termination, Termination clause

Why employers shouldn’t use severance calculators

May 25, 2018 Jeff Dutton, Dutton Employment Law Employee Relations, Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll, Wages and Compensation

Determining the period of reasonable notice is an art not a science. In each case trial judges must weigh and balance a catalogue of relevant factors.

employment law, reasonable notice, severance, Severance pay, severance pay calculator, termination, Termination clause

Ontario Court of Appeal confirms offer of employment is consideration after an asset sale

November 22, 2017 Simon Heath, BA, MIR, LLB, Heath Law Employment/Labour Standards, Human Resources, Notice, Damages and Settlements, Payroll, Recruiting and Hiring

This case is a useful reminder that in asset sales, as opposed to share purchases, the purchasing employer is not obligated to hire all the vendor’s employees.

asset sale, consideration, employment contract, employment law, ESA, offer of employment, ontario employment standards act, Termination clause

Short service employee gets four months’ pay in lieu of reasonable notice

November 16, 2017 Stringer LLP Employment/Labour Standards, HR Policies and Procedures, Human Resources, Notice, Damages and Settlements, Payroll

Some employers erroneously believe that there is a “rule of thumb” in the common law that employees are entitled to a month of notice per year of service. The Ontario Court of Appeal has held that there is no such rule, and that determinations of reasonable notice must be based on an assessment of all relevant factors.

common law reasonable notice, employment law, enforceability of termination clauses, reasonable notice, short service employee, termination, Termination clause, termination notice

Amberber v. IBM Canada Limited: Termination clause fails to rebut employee’s entitlement to reasonable notice

November 15, 2017 Vey Willetts LLP Employee Relations, Employment/Labour Standards, HR Policies and Procedures, Human Resources, Notice, Damages and Settlements, Payroll

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.

common law reasonable notice of termination, damages for wrongful dismissal, dismissal without cause, employment law, employment standards act, reasonable notice of termination, Termination clause, wrongful dismissal