Client Win: Ill social worker proves “frustration” no excuse to deny severance

When Mr. Hoekstra, a medical social worker, fell gravely ill, he thought his 12-year career with Rehability Occupational Therapy was secure. Instead, he found himself battling not only his health but also his employer, who refused to pay him a dime of his hard-earned entitlements. Employment lawyer Jon Pinkus and the team at Samfiru Tumarkin LLP stepped in to fight for Hoekstra’s rights—and we delivered.

The Case: Hoekstra v. Rehability Occupational Therapy Inc.

Career Cut by Illness: Hoekstra, 51, worked tirelessly for Rehability since 2005, earning $90,000 annually. Tragically, in 2008, severe esophageal and stomach conditions forced him onto medical leave. For years, Hoekstra juggled periods of recovery and relapses, always intending to return to work when his health allowed.

Hit Amid Hardship: Despite his condition, Hoekstra maintained contact with his employer and even attended company events. But in 2017, Rehability dropped a bombshell: they claimed his employment had been “frustrated” by his absence and denied him the termination and severance pay he was owed under Ontario’s Employment Standards Act (ESA).

Holding Rehability Accountable

Rehability claimed that frustration of contract freed them from their financial responsibilities. They even went so far as to offer Hoekstra his job back—despite knowing his medical condition made returning to work impossible. Hoekstra saw this offer as insincere.

With no other options, Hoekstra sought help from Samfiru Tumarkin LLP. Partner Jon Pinkus took the case to court and successfully argued that while Hoekstra’s condition did frustrate his contract, it didn’t erase Rehability’s obligation to compensate him fairly.

The Court’s Decision: A Strong Win for Hoekstra

The Ontario Superior Court ruled firmly in Hoekstra’s favour. Justice Mitchell delivered a clear message to employers: fairness and accountability matter.

• ESA Severance Pay: Rehability was ordered to pay Hoekstra every cent of his entitlements under the ESA, recognizing his 12 years of dedication and his annual salary.
• Employer Obligations Upheld: The court rejected Rehability’s excuses, making it clear that even when a contract is frustrated by illness, employers must honour their legal responsibilities.
• Aggravated and Punitive Damages: While the court acknowledged Rehability’s poor handling of the situation, it didn’t find their actions malicious enough to warrant further penalties.

To top it off, Hoekstra was awarded $15,000 in legal costs—a recognition of the unnecessary fight he was forced to endure to claim what was rightfully his.

What This Means For You

Lessons for Employees

• Your Rights Don’t Disappear with Illness: Even if you’re unable to work due to a medical condition, you still have protections under Ontario’s employment laws.
• Frustration Doesn’t Mean Abandonment: When your contract is frustrated due to illness, your employer can’t simply walk away from their legal obligations.
• Legal Help Makes a Difference: If your employer refuses to provide you with severance, consulting a lawyer at Samfiru Tumarkin LLP can ensure your rights are upheld and help secure the compensation you deserve.
• Stay Proactive: Keep records of all communications with your employer, especially during medical leaves, to strengthen your case if disputes arise.

Lessons for Employers

• Understand Frustration of Contract: Illness may frustrate an employment contract, but this doesn’t absolve you of the legal requirement to pay severance.
• Communicate Clearly: Ambiguity around benefits and entitlements can lead to unnecessary disputes. Be transparent and proactive with employees on leave.
• Avoid Unnecessary Litigation: Refusing to comply with statutory obligations is costly and can harm your reputation. Complying with the law upfront saves time, money, and goodwill.
• Respect Employee Rights: Even in challenging circumstances, treating employees fairly and with dignity is not just a legal requirement—it’s a cornerstone of good business practice.

We’re Here to Help

This case shows that even when illness or disability prevents you from working, employers can’t ignore their legal obligations to provide severance pay. Frustration of contract due to a medical condition doesn’t erase your rights—it reinforces the need for fairness and compliance with the law.

Since 2007, we’ve stood up for non-unionized employees in Ontario, Alberta, and B.C., achieving countless victories that protect workers’ rights and ensure justice. At Samfiru Tumarkin LLP, we’re more than legal advocates—we’re your partners in navigating workplace challenges and reclaiming your future.

Most disputes are resolved quickly and efficiently without going to court. But as this case demonstrates, when employers refuse to do what’s right, we’re ready to fight for your rights and secure the compensation you deserve.

If you’ve been denied your workplace rights or are facing challenges related to medical leave, contact us today. Let us help you protect your dignity and achieve the justice you’re owed.