Probationary clauses: Devil is in the details

May 01, 2017 0 COMMENTS

by J. Alexandra MacCarthy

In Canada, the legal effect of a probationary clause in an employment contract can be unclear depending upon the facts of the particular case. The Supreme Court of British Columbia recently addressed probationary clauses in employment contracts in Ly v. British Columbia (Interior Health Authority), 2017 BCSC 42.

The plaintiff (PY) was hired by the Interior Health Authority (IHA) as the manager of quality and patient safety and client experience and moved from Vancouver to Kamloops for the position. The offer of employment contained the following clause: read more…

Staggering cost of ‘no cause’ finding: Employer pays employee LTD benefits to age 65

December 28, 2014 2 COMMENTS

By Katherine Pollock

The Ontario Superior Court decision in Fernandes v. Peel Educational, 2014 ONSC 6506, reminds employers in Canada of how badly matters can go awry when a decision on the merits of a cause case is taken out of the hands of the parties and left in the hands of a third party judge. read more…

Quebec employers can’t waive notice period provided by resigning employee without providing notice

October 19, 2014 0 COMMENTS

by Mohamed Badreddine

Most employers in Quebec know that under Quebec’s Act Respecting Labour Standards (ALS) and the Civil Code of Québec (CCQ), an employer who wishes to terminate an indefinite contract of employment without serious reason must provide notice or pay in lieu of notice. Employees who wish to resign must also give their employer notice of resignation.

In Commission des normes du travail v. Asphalte Desjardins inc., the Supreme Court of Canada held that when an employee gives notice of resignation, the employer cannot waive the notice period and terminate the contract of employment without providing notice or pay in lieu of notice. read more…

Will the abolishment of mandatory retirement result in longer notice periods?

May 11, 2014 3 COMMENTS

By Ralph N. Nero and Nicole R. Singh

You’re about to terminate an employee’s employment without cause. He’s been with you for 30 years, earns $100,000, has a middle management position, and is 69 years old. He could retire with a full pension. Surely you don’t have to provide him with a severance package? Absolutely, say Canadian courts. read more…

Love Lost: Canadian Court Refuses to Defer Buyback of Terminated Employee’s Shares

May 09, 2011 0 COMMENTS

By Maria Giagilitsis

Ontario’s highest court recently ruled that an employer’s right to buy back a senior executive’s shares was triggered on his termination date — not the end of the reasonable notice period. Paul R. Love had argued for the later date. His shares had substantially increased in value during the notice period. Love lost.

Facts
As of the termination date, Love had worked for Acuity Investments for only two and a half years. He had accepted the position primarily because he was offered an ownership stake.

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Employee Stock Options: Get Them Right

February 14, 2011 1 COMMENTS

By Christopher Ferguson and Stephen Acker

In 2010, Jen-Hsun Huang’s salary was $1. No, he’s not a fresh-faced intern. Rather, Huang is the CEO of Nvidia Inc., the graphics and mobile chipmaker with Intel-sized ambitions.

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Foreign Employee Working at Canadian Affiliate Entitled to Large Severance

September 20, 2010 0 COMMENTS

By Bruce Grist and Derek Knoechel

The transfer of employees from foreign-based companies to Canadian-based affiliates is an increasingly common feature of the Canadian labor market. Many employers are familiar with the often complicated process of obtaining the necessary work permits for such employees at the beginning of the transfer. However, ending the relationship between the transferred employee and the Canadian-based employer can present its own challenges. Some of these challenges are illustrated by the British Columbia Supreme Court’s recent decision in Nishina v. Azuma Foods (Canada) Co., Ltd.

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