Can employers in Ontario allege cause after firing someone?

After-acquired cause in Ontario

If a non-unionized worker in Ontario is initially fired without cause, their employer can allege cause after the termination. This is known as after-acquired cause.

In order to change a without-cause dismissal into a termination for cause, companies in the province must prove:

1. They learned of misconduct that would have justified firing the employee for cause
2. They didn’t have any knowledge of the misconduct at the time of the termination
3. They didn’t excuse the misconduct by failing to take action

Considered the harshest punishment in an employer’s arsenal, a termination for cause is reserved for the worst kinds of workplace offences, such as serious insubordination, theft, or assault.

In this situation, your boss doesn’t have to provide you with a severance package and you can’t access Employment Insurance (EI) benefits.

If you were initially fired without cause, and the company is now alleging cause after your termination, contact an experienced Ontario employment lawyer at Samfiru Tumarkin LLP.

We can determine if after-acquired cause is applicable in your situation and help you secure the compensation you deserve if it isn’t.

LEARN MORE
• Wrongful dismissal in Ontario: Your rights
• Employment Law Show: What your employer legally can’t do
• Should I negotiate my own severance package in Ontario?

WATCH: Employment lawyer Lior Samfiru explains what rights employees have if they are being fired or let go on an episode of the Employment Law Show.

Doyle v. Zochem Inc.

In Doyle v. Zochem Inc., Melissa Doyle was fired without cause after submitting a gender and sexual harassment complaint to her employer.

Following her termination, Zochem Inc. (Zochem) alleged after-acquired cause — claiming that Doyle participated in extortion during her time with the company.

However, the Ontario Superior Court of Justice (ONSC) ruled that Zochem’s allegations were unsubstantiated and rejected the claim.

As a result, Doyle was awarded 10 months of severance pay and additional damages associated with the mental distress that she endured throughout the entire ordeal.

SEE ALSO
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• Tesla to pay $137 million to worker following constant racial harassment

How is severance pay calculated?

In Ontario, severance for non-unionized employees can be as much as 24 months’ pay.

The amount of compensation you are entitled to is calculated using several factors, including:

• Age
• Position at the company
• Length of service
• Ability to find new work

To figure out how much you could be owed, use our firm’s free Severance Pay Calculator. It has helped millions of Canadians determine their severance entitlements.

If your company’s offer falls short of what is appropriate, you have been wrongfully dismissed and should take legal action.

An experienced employment lawyer at Samfiru Tumarkin LLP can help you file a claim to ensure that you receive proper compensation.

LEARN MORE
• Severance pay for provincially regulated employees
• Rights to severance for federally regulated employees
• Severance pay in a recession

Do I get more severance if my boss doesn’t have a legitimate reason for alleging cause?

If your employer doesn’t have a legitimate reason for alleging cause after firing you, there is a very good chance that you could be entitled to additional compensation.

In some cases, companies allege cause at a later date to punish non-unionized employees in Ontario for asserting their workplace rights.

If you believe that your employer is pursuing after-acquired cause in bad faith, contact Samfiru Tumarkin LLP immediately.

We can review your situation, assess your legal options, and help you secure the compensation you are owed.

SEE ALSO
• Do I have to look for a new job after getting fired?
• Can I get my job back if I am fired?
• Do I get severance if I quit?

My boss is pressuring me to sign my severance offer immediately, what should I do?

Employers in Ontario can’t legally force non-unionized workers to accept a severance offer before leaving a termination meeting or even a few days after receiving it.

If your boss provides you with an offer, don’t sign anything before speaking with our firm.

It’s not uncommon for companies to add:

• A termination clause that limits the amount of severance pay you can receive
• Non-compete clauses that prevent you from being able to pursue employment elsewhere in your industry

As long as you didn’t accept the offer and return it to your employer, you have two years from the date of your dismissal to pursue full severance pay.

SEE ALSO
• I already accepted a severance package, what should I do?
• ’60 days or more’: Is it an enforceable termination clause?
• Employment Law Show: 5 facts about employment contracts

Lost your job? Speak with an employment lawyer

If you were initially fired without cause, and your employer is now alleging cause after your termination, contact the experienced employment law team at Samfiru Tumarkin LLP.

Our lawyers in Ontario, Alberta, and B.C. have helped tens of thousands of non-unionized individuals resolve their workplace issues.

We can review your situation, enforce your rights, and ensure that you receive the compensation you are legally entitled to.