Tag: employment contract

Employee temper tantrums, resignations, and the law

Employers generally go to great lengths to retain valued employees. They know the benefits of keeping good, experienced people and avoiding the costs of recruiting and training new hires. Sometimes, though, the words “I quit” are music to an employer’s ears. A problem employee out the door seems like a problem solved. But is it? […]

Three Dwight Circus

Litigation Value: Andy’s vocal hatred for Nelly = fodder for her brewing constructive discharge and breach of contract case; New versus Old Dwight dynamic = possible future age discrimination issues; watching Old Dwight’s jealous alter ego attempt a terrifying stunt in the parking lot to put New Dwight in his place = priceless. The Office […]

Did he quit, or was he fired?

by Emilie Paquin-Holmested Generally when employees decide to leave their jobs, they are considered to have quit. But in Canada, if they leave their jobs because the employer substantially changed essential terms of their employment, they are considered to have been constructively dismissed. The line separating these two notions is often unclear. It’s especially so […]

More mysteries of mitigation

by Karen Sargeant and Clayton Jones Last week, we reported on the Ontario Court of Appeal’s decision in Bowes v. Goss Power Products Ltd., which found that an employee does not have a duty to mitigate where an employment contract contains a fixed severance entitlement but no express requirement to mitigate. The Court of Appeal […]

Québec Contractors Can’t Have Their Cake and Eat It Too

by Marie-Julie Lanctôt For a variety of reasons, more and more employees want to create companies to provide their services as contractors, rather than employees. Such services will often be identical to those that were provided when the individual was an employee. Subject to a tax, employment insurance or Canada Pension Plan audit, that may […]

Quitting Before End of Notice Period: Lessons from B.C. Court of Appeal

By Hadiya Roderique Working notice — the default under many pieces of employment standards in Canada — can be a way to reduce an organization’s cost of termination of employment. But what happens when an employee quits in response to getting fired before the end of the notice period? And what happens when the working […]

Should Noncompete Agreement Be in Purchase and Sale Agreement or in Employment Agreement?

By Chris Semerjian When Canadian employers are buying other businesses, the question of noncompetes often arises. But a noncompetition provision in an employment contract may not be the answer. According to the Quebec Court of Appeal in Guay Inc. c. Payette, 2011 QCCA 2282, you may be better protected by only having a noncompetition covenant […]

Demotion Inappropriate Response to Poor Performance

By David T. McDonald “Cause” for termination is a difficult standard to meet in Canada. So what are your alternatives if you don’t have cause? Warning, suspension, demotion, transfer? In Haddock v. Thrifty Foods (2003) Limited and Quadcam Holdings Ltd., the British Columbia Supreme Court has recently said a demotion may not be a proper […]

Loss of Qualifications: What’s the Employer’s Obligation?

By Gulu Punia What’s an employer in Canada to do if an employee loses a required qualification? For example, if drivers lose their licenses? If professional employees lose their accreditation? Is there a requirement to provide notice or pay in lieu of notice of termination? A recent appeal court decision in Ontario suggests that in […]

When Hiring Means Firing

By Marisa Victor and Yael Wexler An employment contract can provide certainty and protection for both the employer and employee. But what happens when it comes time to renew it? A recent Ontario case shows what can go wrong when an employer offers an existing employee a revised contract in order to address performance or […]