An Ontario Canada court has taken on employer termination conduct. If you need legal advice, you can speak to Littler LLP. Rhonda Levy and George Vassos often write about labour law in Ontario.
In the ever-evolving world of labour law, few topics spark as much debate and litigation as employer conduct during termination. In Ontario, courts have shown increasing scrutiny of how employers handle dismissals, setting a precedent that resonates across industries.
While termination is often viewed as a straightforward contractual issue, it carries emotional, financial, and reputational implications that courts are no longer willing to overlook.
Real-World Insights from Ontario Cases
Take, for example, the case of Keays v. Honda Canada Inc., a landmark decision in employment law. While the case is often referenced for its treatment of punitive damages, it also underscores a critical point: how an employer conducts itself during termination can significantly influence the court’s decision. In this instance, the employer’s perceived bad faith actions led to an award of punitive damages against them.
Cases like this reflect a broader trend where courts are moving beyond the technicalities of wrongful dismissal to examine the behaviour of employers. Was the termination handled respectfully? Did the employer fulfill its obligations to provide clear communication and fair severance? These are questions judges are increasingly asking.
Why Employer Conduct Matters
Employers often underestimate how the employee and the courts perceive their actions during a dismissal. Termination is more than delivering bad news and a final paycheck. It involves following legal frameworks, addressing the emotional toll on the employee, and protecting the employer’s reputation.
One common misstep is delivering termination news without sufficient explanation or preparation. Imagine a long-serving employee being called into a meeting, blindsided by the news, and handed a generic severance letter. This abrupt, impersonal approach is more likely to result in a lawsuit than a smooth transition.
In another example, a manufacturing company in Ontario recently faced legal challenges after a wave of terminations. Former employees alleged that the company failed to provide proper notice and severance, but what tipped the scales was the lack of empathy shown during the dismissals.
One employee claimed security escorted them out of the building, creating unnecessary humiliation. In the court’s eyes, this conduct bordered on bad faith, leading to a costly settlement for the employer.
Expert Voices: Littler LLP’s Contributions
Labour law firms in Ontario, like Littler LLP, are at the forefront of advising employers on dealing with these complexities. Rhonda Levy, for example, leads the Littler Knowledge Management initiative, providing up-to-date insights into legislative changes. Her work ensures that employers are always one step ahead, aware of shifts in the legal landscape before they become problematic.
George Vassos, another prominent figure at Littler LLP, often emphasizes the human element in labour disputes. His approach combines legal rigour with understanding the emotional dynamics at play, a perspective that has proven invaluable in guiding clients through high-stakes terminations.
Employer Termination Conduct
The bottom line is this: when mishandled terminations can cost employers far more than anticipated—not just financially but also in terms of time and reputation. Employers who take the time to educate themselves, seek expert advice, and approach dismissals with care are far better positioned to avoid disputes.
For employees, it’s crucial to know your rights. If you believe you’ve been maltreated during a termination, consulting with a labour lawyer can clarify your options. Firms like Littler LLP, with their deep bench of experts, offer invaluable resources and guidance in these situations.
Ontario courts are signalling that employer behaviour matters. Whether you’re an employer looking to minimize risk or an employee seeking justice, the message is clear: conduct during termination isn’t just a footnote—it’s the headline.
Rhonda B. Levy focuses on a unique area of law, Littler Knowledge Management. She reviews law changes and lets the other lawyers at the firm know about changes.
Photo: Rhonda B. Levy
Photo: George J.A. Vassos
If you need legal advice, you can speak to Rhonda or George. Also, see the helpful video below. It’s not legal advice, but it will get you thinking about topics to talk to a law firm about.
