A Cautionary Tale: Appellate Court Upholds Judgment Against Employer for Punitive Damages, Aggravated Damages and “Unusually High” Costs

In Ruston v. Keddco MFG. (2011) Ltd., 2019 ONCA 125 (CanLII)(Keddco), a unanimous Court of Appeal for Ontario upheld a substantial damages and costs award against an employer that breached its “duty of good faith and fair dealing in the manner of dismissal.” The Keddco decision serves as an important reminder for employers across Canada…

Notice of Intended Decision Considers Whether Vacation Pay Forms Part of Pensionable Earnings

The Ontario Superintendent of Financial Services (Superintendent) issued a Notice of Intended Decision (NOID) in late 2018 that considered whether vacation pay should be factored into a pension plan’s definition of pensionable earnings. The NOID indicates that, in the absence of clear exclusionary language, the Superintendent will interpret the phrase “base pay” to include vacation…

Appellate Court Upholds GSB Decision that Appropriate Jurisdiction to Adjudicate Mental Stress Claim is under WSIA

The Divisional Court has upheld a decision of the Grievance Settlement Board (Board) that found that it did not have jurisdiction to award damages as a remedy for grievances alleging workplace bullying and harassment as the alleged injuries would be compensable under the Workplace Safety and Insurance, 1997 (WSIA). In Ontario Public Service Employees Union…

Supreme Court of Canada Grants Appeal in Case Which Considered Constructive Dismissal, Long-Term Incentive Plan Entitlements and Duty of Good Faith

The Supreme Court of Canada has granted leave to appeal from a decision which considered long-term incentive plan entitlements as part of a constructive dismissal claim, and, in the dissent, the duty of good faith and honesty in the performance of employment contacts. In Ocean Nutrition Canada Ltd. v. Matthews, an employee resigned from employment…

An Update on the Status of Family Status – Just in Time for Family Day

In a recent decision released by the Human Rights Tribunal of Ontario, the Tribunal found that an employer discriminated against the Applicant, a personal support worker, by failing to accommodate her special childcare needs. The Tribunal found that the Applicant’s employment was terminated at least in part because she was unable to offer more flexible hours due to her childcare obligations. The Tribunal awarded a remedy of $30,000 in compensation for injury to the Applicant’s dignity, feelings and self-respect.

Appellate Court Upholds Finding that Injured Worker who Returned to Full-Time Work Entitled to Receive 100% FEL Benefits to Age 65

In Hydro Ottawa v. Ontario (Workplace Safety and Insurance Appeals Tribunal), the Divisional Court has upheld a decision of the Workplace Safety and Insurance Appeals Tribunal (Tribunal) that concluded an injured worker remained entitled to his 100% future economic loss (FEL) benefits until age 65 despite the fact he returned to full-time work in 2013….

Federal Court Finds Release Signed upon Termination Not a Bar to Unjust Dismissal Complaint

The Federal Court recently upheld a decision of an adjudicator made under the Canada Labour Code (Code) that an agreement and release signed by an employee whose employment with a bank was terminated did not act as a bar to her unjust dismissal application. The employee had received a lump sum payment and had released…

Appellate Court Considers Employment Issues Arising out of a Termination Post-Sale of Business

In Kerzner v American Iron and Metal Company Inc., the Ontario Court of Appeal considered a number of complex issues arising out of a sale of business and successive employment contracts entered into after that sale. The Court provided guidance on what can and cannot be agreed to during those transitions and how releases should…

OLRB Finds Global Payroll not to be Considered in Calculation of ESA Severance Pay

In Doug Hawkes v. Max Aicher (North America) Limited, the Ontario Labour Relations Board (OLRB) addressed the issue of whether an employer’s global payroll should be considered in determining an employee’s entitlement to severance pay under the Employment Standards Act, 2000 (ESA). The OLRB determined that global payroll should not be included for the purposes…

Cause Termination Upheld Where Employee Found to Have Installed Spyware on Employer’s Computer

The Ontario Superior Court of Justice recently upheld a cause termination where an employee was found to have installed spyware onto his employer’s computer. The Court also considered the availability of the “after-acquired cause” defence In Sankreacha v. Cameron J. and Beach Sales Ltd., the plaintiff’s employment as a service advisor in the automotive department…