Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

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Ontario: New Law Introduces COVID-19 Liability Protection with Exceptions

New Legislation Enacted

Authors: Rhonda B. Levy, Knowledge Management Counsel and Monty Verlint, Partner – Littler Canada

Bill 218, Supporting Ontario's Recovery and Municipal Elections Act, 2020 was enacted on November 20, 2020. Bill 218 prevents legal action from being brought against companies that make an honest effort to act in accordance with applicable public health guidance and any federal, provincial or municipal laws relating to COVID-19.

Supreme Court of Canada’s Decision on Landmark Bonus Case

Precedential Decision by Judiciary or Regulatory Agency

Authors: Rhonda B. Levy, Knowledge Management Counsel and Monty Verlint, Partner – Littler Canada

On October 9, 2020, the Supreme Court of Canada (SCC) issued a decision in an employee’s appeal of the Nova Scotia Court of Appeal’s decision setting aside the damages awarded under an employee’s long-term incentive plan following a constructive dismissal. The SCC decision clarifies the analysis for determining the entitlement to damages for a lost bonus in a wrongful dismissal case. It also puts employers on notice that (a) certain bonus language will not be viewed as unambiguously removing or limiting the employee’s common law entitlement; and (b) if an employee sues for damages for mental distress and/or punitive damages for a breach of the duty to exercise good faith in the manner of dismissal, and the circumstances are appropriate, a court may declare that the employer breached the duty and award damages.

British Columbia: Court of Appeal Sets Aside Aggravated Damages Award in Wrongful Dismissal

Precedential Decision by Judiciary or Regulatory Agency

Authors: Rhonda B. Levy, Knowledge Management Counsel and Monty Verlint, Partner – Littler Canada

The British Columbia Court of Appeal recently overturned the trial court’s decision to award aggravated damages to an individual whose job was terminated before his employment began because the manner of dismissal did not cause the requisite “mental distress.” The court concluded the plaintiff’s “feeling of strong dismay and anxiety for himself and family” was not beyond the “normal distress and hurt feelings” that employees generally experience following a dismissal, which are not compensable.

New Brunswick Appellate Court Finds in Favor of Employee in Wrongful Dismissal Action

Precedential Decision by Judiciary or Regulatory Agency

Authors: Rhonda B. Levy, Knowledge Management Counsel and Monty Verlint, Partner – Littler Canada

The New Brunswick Court of Appeal recently considered an employee’s appeal of a decision dismissing his action for damages in lieu of reasonable notice upon his job termination without cause. A key issue was whether, after terminating the plaintiff’s employment without cause, the employer could then claim the dismissal was for cause and therefore the employer had no obligation to provide common law reasonable notice. The court decided the employer could not do so.

Ontario Court: Termination Provisions That Can Possibly Violate ESA in the Future Are Unenforceable

Precedential Decision by Judiciary or Regulatory Agency

Authors: Rhonda B. Levy, Knowledge Management Counsel and Monty Verlint, Partner – Littler Canada

Ontario’s Superior Court recently held that a termination provision in an employment contract that has even a remote possibility of violating the Employment Standards Act, 2000 (ESA) in the future is unenforceable. Therefore, a termination provision that purports to deny an employee employment standards they might potentially be entitled to in the future will raise issues of enforceability if challenged.