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Reasonable Notice Roundup for 2016

Employment Law and Human Rights

Reasonable Notice Roundup for 2016

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Written by Michael J WeilerThe most common question from clients with respect to terminations without cause and without notice in the absence of an enforceable agreement is “How Much Notice?” Courts will look at four key elements to determine how much is reasonable notice: age, length of service, position and the availability of similar employment having regard to the employee’s skills and qualifications. The court will often look at economic circumstances but will not give that factor undue weight.Contrary to popular belief there is no legal rule of thumb of “one month for each year of service”. The highest period of notice, subject to a few exceptions, is 24 months. Please bear in mind the fact that each case will be decided on its own facts and there is no litmus test. Further the amount of notice will not always define the amount of damages as the employee must mitigate her damages and must also prove her loss (e.g. lost benefits or bonuses). On the other hand, the employee may be awarded additional punitive, exemplary or aggravated damages.The following cases from this past year will give you some idea of the courts’ present thinking on the matter. A bit of good news for employers is found in Cabott v Urban Systems Ltd where the Court of Appeal reduced the amount of notice by 1/3 given the short period of service. These can be very important factors in each case especially dealing with senior executives whose compensation can often exceed $20,000 per month.CASEPOSITIONCOMPAGESERVICENOTICEO’Dea v Ricoh Canada Inc.salesman$103,00577 years9 monthsKeenan v Canac Kitchens [dependent contractors]husband and wife supervise and install kitchens as contractors$125,00063/6132/2526 monthsSaliken v Alpinemechanic5415 months6 monthsWaterman v Mining AssociationVP Env & Tech453 ½ yrs10 monthsCabott v Urban Systems Ltdregional planner/leader5314 months4 monthsPakozdi v B & Bbidder/estimator$125,0005513 months8 monthsCheong v Grand PacificDirector of Sales/Marketing$60,000+ bonus5913 yrs14 monthsLuchuk v StarbucksSr Regional Mgr–significant responsibilities$194,665+ bonus $85004818 years18 monthsSmith v Pacific Coast TerminalsManger/engineer$171,000+ 30% bonus4816 years19 monthsOzorio v Canadian Hearing SocietyReg Director/Sr Mgr$102,0006030 years24 monthsTCF Venture v MalonesCFO$100,000*?3.5 years9 monthsGust v Right of Way“jack of all trades” not certified tradesman$60,0003113 months2 monthsSchinnerl v KwantlenDirector programs$99,000489 years10 monthsBishop v RexelBuyer (clerical not specialized$52,0006127 years20 monthsPrice v #’d CompanyManager$77,000 + Commission4720 years20 months

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Michael J. Weiler

Mike Weiler has more than 35 years experience in the ever evolving world of employment, labour and human rights law. And experience in this area is critical to protect our clients—this is where law is not just a science but most often an art. Judgment is critical for our clients and that is what we bring to the table based on our years of experience. This means first and foremost knowing the law—keeping updated and current. Experience also means knowing the players in the game and their processes—the LRB, the Employment Standards branch, WorkSafeBC, the courts etc. It means not only seeing the...

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