Client Win: Drilling Down on Severance for 30-Year Dental Employee After Practice Closure
Samfiru Tumarkin LLP helped a dental receptionist defeat a contract that tried to limit her severance after 30 years with the same employers. The court also rejected their attempt to deduct $10,000 in pandemic benefits from her award.
Rose Henderson was 63 when the Bolton dental practice where she worked closed. Losing her job meant losing her only source of income, just as the pandemic made finding another position especially difficult.
The employment law team at Samfiru Tumarkin LLP represented Rose at trial.
What Happened in Henderson v. Slavkin?
- Rose began working for oral surgeons Dr. David Slavkin and Dr. Melvyn Kellner in April 1990. She was the receptionist at their Bolton office.
- After approximately 25 years without a written employment contract, she was asked to sign one in 2015 as the dentists planned for retirement.
- Her choice was to sign and receive a $500 bonus, or continue working for another 24 months before her employment ended. She signed.
- In November 2019, the dentists gave her six months’ notice that her job would end on April 30, 2020.
- By then, Rose had worked for them for 30 years and earned $46,000 a year.
- With her income gone, she moved to be closer to family and pay less rent.
The Employers Said They Had Already Provided Enough
The dentists relied on the contract Rose had signed in 2015. It limited what she could receive when her job ended to Ontario’s minimum employment standards.
They argued that they had handled the closure properly and provided more than enough advance notice.
They also said Rose had waited too long to look for another job and wanted the $10,000 she received in Canada Emergency Response Benefit (CERB) payments deducted from any award.
Our Team Challenged The Fine Print
Rose’s contract said she could be fired without notice or pay for mistakes that could be minor or accidental. That went further than Ontario law allows.
The court ruled that her employers could not use the contract to limit her severance—even though she lost her job because the practice closed, not because she did anything wrong.
Finding Work At 63 During A Pandemic
Rose’s job ended when dental offices across Ontario were closed because of COVID-19. When they reopened, they operated with restrictions.
She began looking for work in January 2021, applying to medical offices and other advertised positions. In May, she found a job as a frontline worker in a long-term care home.
The judge considered her age, the pandemic and her move to a smaller community where living costs were lower.
The Result: The Contract Could Not Limit Rose’s Severance
- Our team defeated the contract’s severance limit. Rose could claim more than Ontario’s minimum requirements.
- The court used a 15-month notice period. The parties had agreed on 18 months if the contract failed, and the judge deducted three months because of her job search.
- No $10,000 CERB deduction. The court refused to reduce her damages by the pandemic benefits she had received.
Read the full court decision: Henderson v. Slavkin et al., 2022 ONSC 2964.
What This Means For You
- Signing a contract does not mean every part is enforceable. An employer may point to your agreement and say your severance is limited. Have it reviewed before accepting that answer.
- The whole contract matters. Rules about confidentiality or workplace conduct can affect your severance, even when you have done nothing wrong.
- A business closure does not erase your rights. You may still be owed severance in Ontario when an employer retires or shuts down.
- Your job search can affect your compensation. Make reasonable efforts to find suitable work and keep records of your applications. Learn more about your responsibility to look for another job.
A Lesson For Employers
A severance limit can fail because of wording elsewhere in the same contract. Our employment lawyers can review your agreements and help you plan for staff departures or a business closure.
Another contract win: See how our team helped an Ontario youth coordinator recover $157,000 after her fixed-term contract was cut short.
Told Your Contract Limits Your Severance?
Before accepting your employer’s calculation, get your contract and severance offer reviewed. The wording your employer relies on may not hold up.
Our Ontario employment lawyers help employees understand what they may be owed after losing their jobs. For workers in Bolton and the Greater Toronto Area, our Toronto employment law team can explain your options and help you take the next step.
Many severance disputes can be resolved without going to court. When an employer refuses to pay what is owed, Rose’s case shows how our team can challenge the contract standing in the way.