New Client Policy Results in Frustration of Employment

If you are an employer in the service industry, and your largest client introduces a new rule or policy that imposes new requirements on your employees, and if one of your employees refuses to comply with that new rule or policy, has the employee’s contract of employment been “frustrated” or must the employer allege that it has “cause” for termination?

In Croke v. VuPoint System Ltd, 2024 ONCA 354 (CanLII), the Court of Appeal for Ontario upheld a decision in which it was found that an employee’s refusal to comply with his employer’s client’s rule requiring proof of vaccination against Covid-19 was a frustration of contract.

This is case about Covid-19 vaccination, which is not about Covid-19.

No Implied Term in Employment for Layoff for COVID State of Emergency

By now one might have thought that the issue of whether an employer had the legal right to layoff an employee in the face of the COVID 19 pandemic would have been resolved. And yet in the case of Webb v. SDT North America, 2023 ONSC 7170, heard June 12, 2023, with further written submissions delivered September 8, 2023, and September 29, 2023, with reasons for decision released on December 19, 2023, the court was once again asked the question of whether a “COVID layoff” constituted as dismissal.

Court Declines to Issue Injunction Preventing Terminations for Failure to Adhere to Covid Vaccination Policy – But Employers Beware

What is the court’s power to prevent an employer from terminating an employee’s employment if that worker refuses to adhere to the employer’s mandatory COVID-19 vaccination policy?

In Blake v. University Health Network, 2021 ONSC 7139 (CanLII), Justice Sean F. Dunphy said, essentially, “none.”

Ottawa Businesses and Organizations Legally Required to Establish COVID-19 Vaccination Policy

Is my business legally required to have a mandatory COVID-19 vaccination policy?

In Ontario, the answer unfortunately depends on where you are located. Let me explain.

Infectious Disease Emergency Leave *Does* Oust Common Law Constructive Dismissal

Does Infectious Disease Emergency Leave under the Employment Standards Act, 2000, S.O. 2000, c.41 oust the common law of constructive dismissal or were employees ostensibly placed on leave actually terminated?

If that question sounds familiar, it is because that is the question answered by the case of Coutinho v. Ocular Health Centre Ltd., 2021 ONSC 3076 (CanLII), about which I blogged in my post Infectious Disease Emergency Leave Does Not Oust Common Law Constructive Dismissal.

Problem is, there is a new decision, Taylor v Hanley Hospitality Inc, 2021 ONSC 3135, which reaches the opposite conclusion.

CERB Proper Deduction against Wrongful Dismissal Damages: BCSC

Are amounts received under the Canada Emergency Response Benefit (“CERB”) a set-off against wrongful dismissal damages?

It would appear that the answer to the question still depends on which judge you ask.

In Hogan v 1187938 B.C. Ltd., 2021 BCSC 1021 (CanLII), the Honourable Madam Justice Gerow of the British Columbia Supreme Court held such amount was a proper deduction.

COVID-19 and Reasonable Notice Calculations – The State of Affairs at the End of May 2021

It is the end of May 2021. The COVID-19 pandemic has been a reality for approximately 15 months in Ontario. The legal system has changed in ways seemingly unimaginable at the end of 2019: Appearances for scheduling matters by video rather than in-person attendance? Remote commissioning of affidavits? Full blown hearings by video conference? Service of documents by email rather than the beloved fax?! The procedural elements of the legal landscape of 2021 are practically unrecognizable from what it was a year and a half ago.

So what of the substantive law of wrongful dismissal and the calculation of reasonable notice?

Since the pandemic was declared, plaintiffs’ counsel has advanced the position that the disruption associated with same means an automatic extension of the reasonable notice period due to dismissed employees. But has the judiciary agreed?

Infectious Disease Emergency Leave Does Not Oust Common Law Constructive Dismissal

Does Infectious Disease Emergency Leave under the Employment Standards Act, 2000, S.O. 2000, c.41 oust the common law of constructive dismissal or were employees ostensibly placed on leave actually terminated?

In Coutinho v. Ocular Health Centre Ltd., 2021 ONSC 3076 (CanLII), Justice David A. Broad of the Ontario Superior Court ruled that the regulatory changes did not oust the common law, meaning that employees objecting to be placed on IDEL could still sue for constructive dismissal damages.

Mandatory Covid Testing Reasonable Exercise of Management Rights

Is an employer policy requiring bi-weekly testing for COVID-19 a reasonable exercise of management rights, or is such a policy an unreasonable infringement on the workers’ rights?

In Caressant Care Nursing & Retirement Homes and Christian Labour Association of Canada (Covid Testing Grievance), Labour Arbitrator Dana Randall found that such a policy was reasonable.

Failure to Follow Covid-19 Directions Cause for Termination

Is an employee’s failure (or blatant refusal) to follow an employer’s directions to protect public health – during a global pandemic – cause for termination of employment?

In Garda Security Screening Inc. v. IAM, District 140 (Shoker Grievance), [2020] O.L.A.A. No. 162, Labour Arbitrator M. Brian Keller had no problem finding that it was.

Dismissed “Vice President” Awarded Just Two Months Pay in Lieu of Notice – Despite Title, COVID-19 Pandemic

Is the title “Vice President” sufficient to move the needle in the calculation of reasonable notice?

In George v. Laurentian Bank Securities Inc., 2020 ONSC 5415 (CanLII), counsel for the dismissed employee urged the court to find that there is a presumption at common law that senior management or executives who are wrongfully dismissed are entitled to a minimum of 12 months’ notice irrespective of the length of service. He cited Mulrooney v Terra Nova Brokers Ltd., CanLII 3970 (NL CA), Felice v. Cardinal Health Canada Inc. 2014 ONSC 1190 (CanLII) and Lovely v. Prestige travel Ltd., 2013 ABQB 467 (CanLII), for this proposition.

For reasons given and summarized below, the Honourable Madam Justice Susan Vella of the Ontario Superior Court of Justice disagreed – awarding only two months’ pay in lieu of reasonable notice or $11,359.98 gross of taxation.