4 Key Take-Aways for Non-profits from the Wayne Hannan vs Scouts Canada Case

The recent Wayne Hannan vs Scouts Canada case has become a watershed moment for non-profits and organizations that engage volunteers. In this landmark ruling, 87-year-old Wayne Hannan—who had loyally volunteered with Scouts Canada since 1956—challenged the manner in which his volunteer service was terminated. The court ruling provides new guidance to organizations on managing volunteer relationships and highlights the potentially high cost of failing to treat volunteers with fairness and dignity.

Case Overview

Wayne Hannan dedicated nearly 60 years of his life to Scouts Canada, only to have his long-standing volunteer relationship abruptly ended. The court found that the termination was unfounded lacking sufficient performance issues evidence and that the termination process was conducted in a manner that fell short of the respect and procedural fairness that volunteers deserve. The court awarded Hannan his reinstatement as a volunteer and full indemnity costs.

By granting the declaratory relief Hannan was seeking and awarding him $50,000 in court fees reimbursement, the ruling underscores that even non-profit organizations must adhere to rigorous standards when managing volunteer terminations.

Why the Judgment can be seen as a Hardship

While many non-profits understandably support the rationale behind this ruling, it can also be seen as a significant setback.  Non-profit organizations often operate with limited budgets and rely heavily on volunteer support. Despite the undeniable value of Hannan's dedicated service with Scouts Canada, the decision also:

• Feels like Employment: This ruling effectively shifts volunteer relationships in non-profits toward an employment model, applying legal standards that are typically reserved for employees. Such standards can be impractical, setting a rigid precedent. It also raises critical questions about whether both parties ever intended to form a contractual relationship and if Hannan’s volunteer status should have been subject to legal proceedings.
• Increases Financial Risks: The full indemnity award for legal fees (totaling $50,000) could strain non-profit budgets, discouraging organizations from making necessary but nuanced staffing decisions.
• Overlooks Operational Realities:  While the ruling safeguards individual volunteers, it fails to consider the practical challenges non-profits face in managing volunteer programs and effectively allocating donor resources.

4 Key take-aways for Non-Profits going forward

In light of this case , non-profits must take proactive steps to safeguard their operations while respecting the contributions of their volunteers:

1. Revise and Strengthen HR Policies:  Revisit volunteer engagement protocols and termination procedures. Clearly documented policies that respect the dignity of volunteers are essential to mitigate legal risks. Also, revising the scope of existing policies and procedures and whether these policies and procedures apply to their volunteers.
2. Enhance Transparency and Documentation: Maintain meticulous records of volunteer agreements, interactions, and decisions. This transparency not only builds internal trust but also provides a robust defense in potential legal challenges.
3. Treat Volunteers with Fairness and Dignity: Recognize the immense value of volunteer contributions. Ensure that all actions, particularly terminations, are conducted with the respect and procedural fairness that long-serving volunteers like Wayne Hannan deserve.
4. Seek Expert Legal Guidance: Regular consultations with legal professionals experienced in non-profit law can help ensure that your organization’s practices are in line with current legal standards and tailored to the unique challenges of volunteer management.

The Wayne Hannan vs Scouts Canada ruling is a crucial wake-up call for non-profits. By embracing these four key take-aways, organizations can better protect their missions, manage legal risks, and, most importantly, honor the commitment of every volunteer.