5 Fast facts about “without cause” terminations | Employment Law Show TV – S8 E11

Episode Summary

5 FAST FACTS ABOUT WITHOUT CAUSE TERMINATIONS, commission including in a severance package, misclassifying employees, and more on Season 8 Episode 11 of the Employment Law Show with employment lawyer Lior Samfiru, Partner at Samfiru Tumarkin LLP.

Watch above to discover your workplace rights and learn everything you need about employment law in Alberta, Ontario and British Columbia, on the only employment law show on both TV and radio in Canada.

Episode Notes

Denied leave of absence to care for family member

I have elderly parents who live overseas. Unfortunately, my father has become very ill and needs extra care. I asked my employer for approval for a leave of absence but was denied. I was told if I choose to leave it is considered a resignation. What can I do?

• Protected leaves and accommodation: Employers must accommodate employees based on family status. Employees with care needs regarding a close family member must be accommodated under human rights laws. A failure to accommodate can lead to additional legal consequences for employers.
  

Severance including commission

I’m 56 years old. I recently moved and took a job at a small company in Sales. I earned a base salary as well as a commission. I was let go due to business being slow and was only offered 2 weeks of severance pay.

• Severance package inclusions: Short-service employees can be owed comparatively more severance entitlements than long-service employees. Employees should also consider whether or not they were recruited from another company. Induced employment can lead to enhanced severance obligations.
  • Learn more about severance pay
    • Severance in Alberta
    • Severance packages in Ontario
    • Severance entitlements in B.C

Employee’s failure to meet sales targets

I work in software at an engineering firm. My expected daily deliverables were vague, and I’m worried a failure to meet the targets could lead to termination. Can a failed performance review negate severance and E.I. entitlements?

• Employee performance and terminations: Employees who feel sales goals or targets that have been set are unrealistic, should voice their dissent in writing. Employees who fail to speak up can be considered to have accepted the new metric of evaluation. Employees who have been let go due to performance issues are generally still owed severance pay.

A pay cut due to modified duties

I’ve been off on a long medical leave but I believe my doctor is going to grant permission to return to work, with accommodation. Can my employer pay me less if I go back to work on modified duties?

• Changes made to your job: Employers are within their rights to offer a different salary if an employee can no longer perform the essential tasks of their job and must perform in a new role. The change in pay structure cannot be arbitrary and should be based on the new position’s expected compensation.

5 Fast facts about “without cause” terminations

• Terminated employment for any reason: Employers can terminate an employee’s job at any point and for any reason. Employees mistakenly assume that wrongful dismissal occurs due to the reason, or lack of, for termination.
  
• Terminations due to a discriminatory reason: Employees cannot be let go due to discriminatory reasons, such as age, gender, religion, etc. This would be considered a human rights violation.
• Termination without cause applies even if you made a mistake: Simple mistakes or performance issues can lead to a termination however, in most cases this is still considered a without cause termination.
• Owed full severance pay: Employees are owed full severance pay upon a termination without cause. Severance for some employees can be up to twenty-four months’ pay.
• Up to two years to claim severance: Employees have up to two years after the date of termination to pursue their severance entitlements. Employers often impose deadlines to pressure employees into accepting an inadequate severance package.

Labelled contractor and not given severance

I worked for a company as a sales rep for 15 years. I was classified as a contractor. Last month I was let go when they changed their whole sales structure. I was told that since I’m not an employee I’m not owed any severance.

• Misclassification of an employee: Employees are often misclassified as independent contractors. Many employees are mistakenly labelled as contractors by their employers despite the regular workday schedule, exclusivity and lack of control over daily tasks. Independent contractors are in business for themselves and can choose the jobs and hours they work.
  

Less severance due to employer financial difficulties

If my employer moves me to a new department, can they change my hours? I’ve been working the same schedule for 10 years, and nothing in my employment contract mentions working weekends or evenings.

• Financial difficulties and severance pay: Employers do not have the right to impose significant changes to the terms of employment, such as a drastic change to a work schedule. Employees can refuse a major change and consider it a constructive dismissal.

Rapid Fire Employment Laws

• Fired for going on long-term disability benefits: Employees cannot be let go for choosing to take long-term disability leave. Employees can be off on leave for as long as necessary with the support of their doctor.
• Pay employees while on medical leave: Employers are not obligated to pay employees while on medical leave or continue benefits. Employees can seek compensation through a government program or disability benefits.
• Withhold tips/commission payments: Employers cannot legally withhold tips or commission payments. Wages must be paid to all employees.
• Justify a termination “for cause”: Employers cannot terminate an employee “for cause” due to simple mistakes and errors.
• Automatically on three-month probation: Employees are not on automatic probation at the start of new employment. Probation periods must be consented to in an employment contract.
• Severance if pressured to resign: Employees cannot be pressured to resign by their employers. Forced resignations are considered terminations of employment.

PREVIOUS EPISODE: Employment Law Show S8 E10 – Common Myths about the Termination Process