Employment Law

Client Win: Significant Severance Package for Ontario IT Specialist

A photo of a brown gavel in front of a dark background. (Photo: Tingey Injury Law Firm / Unsplash)

Turcotte v. Grenville Management Inc.

Samfiru Tumarkin LLP secured 16 months of severance pay for our client, Richard Turcotte, in the case of Turcotte v. Grenville Management Inc., a matter that was heard at the Ontario Superior Court of Justice (ONSC).

Partner Jon Pinkus and Senior Associate Fiona Martyn successfully argued that Turcotte’s temporary layoff during the COVID-19 pandemic, which lasted more than 2 years, constituted a constructive dismissal at common law.


📺 WATCH: Everything Non-Unionized Employees Need to Know About Constructive Dismissals


What You Need to Know

  • Turcotte, who began working for Grenville Management Inc. (Grenville) on Sept. 5, 2006, held the position of “IT Specialist” at the end of his employment in March 2021.
  • On March 5, 2021, Grenville laid Turcotte off — citing the economic impacts of the COVID-19 pandemic. His employment contract didn’t give the company the right to do this without his consent.
  • On March 9, 2023, Turcotte was recalled by Grenville. Unfortunately, his health deteriorated in the final quarter of 2021 and he wasn’t able to work.
  • Turcotte contacted Samfiru Tumarkin LLP. After reviewing his situation, we informed him that he’d been constructively dismissed after 14 years with Grenville.
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Court’s Decision

The ONSC agreed with Samfiru Tumarkin LLP that Turcotte’s temporary layoff, which lasted more than 2 years, constituted a constructive dismissal at common law.

Justice R. Lee Akazaki also rejected Grenville’s argument that the employment contract became “frustrated” due to Turcotte’s disability.

“Frustration requires cogent and contextually sound evidence of the employee’s permanent inability to perform or continue to perform the duties of the job, at the time of termination,” the ruling reads.

“The frustration argument therefore fails because of insufficiency of evidence of Mr. Turcotte’s permanent inability to work as of March 5, 2021.”

Factoring in that the dismissal took place within the context of the COVID-19 pandemic, the court ordered Grenville to provide Turcotte with 16 months of severance pay.

SEE ALSO
How to Calculate Severance Pay
Should I Negotiate My Own Severance Package in Ontario?
Can I Get My Job Back if I’m Fired?
Wrongful Dismissal in Ontario: Employee Guide


Key Takeaways

For Employees

  • It might be illegal to temporarily lay you off: If you’ve been placed on a temporary layoff or a substantial change was made to your job without your consent, your best course of action is to contact an experienced employment lawyer at Samfiru Tumarkin LLP. We can review your situation, assess your legal options, and help you secure the compensation you’re owed — which can be significant.
  • Not being able to work doesn’t mean you’re not owed severance: This case highlights how the specific circumstances of an employee’s disability are critical. Our firm can properly determine how your inability to work will affect your severance entitlements, if at all.

For Employers

  • Don’t lay staff off before seeking legal advice: It’s not illegal to ask a non-unionized employee to agree to a temporary layoff, as long as you’re upfront about it and obtain proper consent. The team at Samfiru Tumarkin LLP can make sure your layoff agreement is properly drafted and help manage situations where workers don’t approve of being laid off.

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Workplace Issue? Contact Us

Since 2007, the experienced employment law team at Samfiru Tumarkin LLP has helped tens of thousands of non-unionized individuals resolve their workplace issues.

Whether you’re in Ontario, Alberta, or British Columbia, our lawyers can review your situation, enforce your rights, and ensure that you receive the compensation you deserve.

⛔  UNIONIZED?
You must consult your union representative regarding termination, severance pay, and other workplace issues. By law, employment lawyers can’t represent unionized employees with these issues. They’re governed by your collective bargaining agreement.

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