Severance Package Lawyer for Wrongful Dismissal in Ontar

What is Just Cause for Dismissal?

Ask any experienced severance package lawyer and most will tell you that under Ontario employment, it is very difficult for employers to successfully defend a wrongful dismissal claim – especially when they have alleged just cause for dismissal.

In fact, the courts in Canada have gone so far as to state that “just cause is truly the capital punishment of employment law.” In other words, a termination for just cause should be the absolute last resort for employers reserved for the most offensive employee misconduct:

“The important factors emerging from these expressions of the principle of law include that the misconduct must be “serious”; that the misconduct must amount to “a repudiation of the contract”; that the acts “evince of intention to no longer be bound by the contract”[sic]; that dismissal is an “extreme measure”; and must not be resorted to in trifling cases. As previously observed, just cause is truly is the “capital punishment of employment law”.”

How Just Cause for Dismissal Works in Ontario

At common law, an employer has the right to summarily dismiss an employee for just cause. Just cause constitutes conduct that is incompatible with those duties that go to the “root” of the employment contract, and therefore breaks the employment relationship in such a way that the employer cannot be expected to provide the employee with a second chance.

To succeed in a wrongful dismissal claim, the employer bears the onus of proving to a court that it had just cause for the employee’s discharge (Gulch v. Rosedale Golf Association, 2004 CanLII 14566). This standard is very high – the conduct issue issue must be “real incompetence or misconduct,” not “simple dissatisfaction with performance” or concerns about future conduct. If an employer can justify it had just cause for dismissal, it can get away with not providing the employee with a financial severance package. Otherwise, an experienced severance package lawyer will challenge the wrongful dismissal in negotiations or a wrongful dismissal claim.

Quite often, an employer’s reasons to allege just cause for dismissal fall far short of the legal standard to avoid a wrongful dismissal claim by an employee. And nearly almost always, it makes most sense for an employee to terminate employment without alleging just cause. In fact, in a termination without cause, an employer can terminate an employee’s job for any or no reason at all as long as they cover the expense – provide the employee with a fair severance package.

To be clear, an employee’s minor level of misconduct, attitude, or poor performance will rarely ever amount to just cause for dismissal. However, those examples are not trivial for most employers and should properly be addressed. In such circumstances, the prudent course is for employers not to deprive an employee of a severance package by alleging just cause for dismissal when it is not warranted. Instead, employers should take proper progressive disciplinary measures any time a serious incident arises, where an employer fully documents, investigates and provide fair warnings to the employee that any further misconduct could result in termination of employment for just cause. Most importantly, employers should not falsify just cause allegations in bad faith as part of an effort to save money on a severance package (as nearly always results in a court awarding additional compensation in moral damages on top of a wrongful dismissal severance package).

That said, there could be occasions where an employee’s misconduct is so serious as to warrant a just cause (summary) dismissal. In fact, where an employee’s is so serious (e.g., fraud, workplace harassment, conflict of interest, theft, etc.), an employer might be able to promptly investigate and terminate employment right away – but only if the workplace investigation is unbiased, thorough and properly conducted. But even then, employers should not throw caution to the wind.

Severance Package Lawyer

In Ontario employment law, it is always prudent for employers (and employees) to speak with an experienced employment lawyer when they would like to know what legal rights you have as an employer or employee in Ontario. If you are an employee who believes you were wrongfully dismissed or want to negotiate your severance package with a severance package lawyer following a wrongful dismissal, please call today to discuss legal rights and options as an employee to obtain the severance compensation you deserve.

Call an Employment Lawyer in Toronto

Contact a Toronto severance package lawyer by phone 647-822-5492 or fill out the contact form to the side. Our experienced employment lawyer in Toronto would be happy to assist in your employment law matter as quickly as possible.

Disclaimer: The content on this website and blog is not legal advice or legal opinion of any kind, and is only to provide general information. It is in no way particular to your individual case and should not be relied upon in any way. The outcome of a legal matter depends on its unique circumstances, and prior successes are not indicative of future results. No portion or use of this website or blog will establish a lawyer-client relationship with the author, this law firm or any related party. Should you require legal advice for your particular situation, please fill out the form below, or call 647-822-5492, to request an initial consultation.