Alex Lucifero on COVID-19 layoffs

Interview Summary

A recent court decision by a judge has stated that employees who have been laid off during the pandemic can still treat the layoff as a termination of employment. This ruling comes after months of speculation and many layoffs by employers who felt they were within their rights to do so due to COVID-19.

What will this mean for employees and employers as the pandemic and public health measures continue? Alex Lucifero, an employment lawyer and Managing Partner at Samfiru Tumarkin LLP joins Leslie Roberts on CTV News Ottawa to answer this question and more.

Interview Notes

What was the conclusion from the recent court case and the judge’s decision?

This court case was closely tied to a temporary layoff, as many other Canadians have since. This is the first decision by a court in Ontario that has confirmed that an employer does not have the right to lay off employees temporarily. Employees can treat the layoff as a termination and pursue their severance.

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What would the temporary layoff look like in practice and how can an employee refuse?

An employee who was let go temporarily and told to wait to be recalled, if they have not been recalled they can treat the layoff as at termination. Employees’ severance entitlements will be based on their age, length of employment and position.

Will employees still receive severance if their employer has informed them they will be recalled to work?

If an employee has not accepted the layoff, they can accept the recall but simultaneously can also receive back pay for the time they were unemployed.

Can employers refuse to pay severance entitlements due to COVID-19?

Ultimately, employers cannot force temporary layoffs and before doing so should contact an employment lawyer to determine what their rights and obligations are.  Employers are often unaware of their severance obligations.

Is it common for a wrongful dismissal case to go to court?

It is uncommon for a wrongful dismissal suit to go to court or be decided by a judge. The vast majority of wrongful dismissals are settled outside of court.