Case Law Round Up 2022

Stay informed on recent BC, Alberta and Ontario court decisions. Get access to past and future cases you need to know about.   

2022-10.  Another Ontario termination clause deemed invalid. Nearly $50k judgment. 

The termination clause in an employment contract for a sales rep at Oracle has been ruled invalid by an Ontario court for being overly broad.

Aftim Nassar began working for oracle on March 5, 2018. His title was “applications sales representative IV” — and he was the only Canadian employee in that role.

Oracle terminated his employment, without cause, on Feb. 9, 2021. Despite not alleging cause, it did cite alleged repeated poor performance and his documented failure to reach sales targets.
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2022-09.  Alberta Judge rules employees must decide quickly if they want to pursue constructive dismissal

If an employee does not protest and take action reasonably quickly to a change in their employment terms and conditions, they may be deemed to have implicitly accepted the change and is not considered constructive dismissal. “No more than 10 business days” was a reasonable period of time for the employee “to make an informed and prudent decision on the merits of rejecting or accepting the new employment terms,” said Justice Thomas Wakeling of the Court of Appeal of Alberta.  More

2022-08.  Ontario, Canada Arbitrator Deems Termination of LTD Coverage for Employees at Age 65 a “Reasonable Limit” Under Canadian Charter of Rights

Take away for unionized employers:  If an employer plans to reduce or exclude a benefit for employees ages 65 and over, this should be expressly stated in their collective agreements. 

In Rayonier vs Unifor, an Ontario arbitrator has upheld a company’s long-term disability (LTD) benefit plan that stopped at age 65 as not discriminatory, while quashing a life insurance policy that changed for employees at the same age.

The collective agreement’s LTD provision stated that LTD benefits would terminate on one of three events – the date the employee ceased to be disabled, the employee’s death, or the earlier of retirement or age 65.

Although the life insurance provision was in place for decades, it didn’t become an issue until a 66-year-old employee raised concerns about his failing health. He died a short time later and the union believed, as an active employee, the employee’s estate should receive an insurance payment of twice his salary. Rayonier disagreed, saying that it should be $5,000.

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2202-08. Vancouver company fined $125,000 after worker killed at Ontario jobsite

An Ontario worker employed by a third-party trucking company was fatally injured at the workplace belonging to CRM of Canada Processing while onsite to remove a bin. CRM of Canada Processing failed to provide information and instruction to workers, the province said in a press release. More

2022-08. Workplace injury results in $75,000 fine for Belleville, Ontario employer

JBS Foods Ontario Inc. failed to ensure the machine had a guard or other device to prevent access to the pinch points as prescribed by Occupational Health and Safety Act. More

2022-08.  BC employer pays $80,000 for keeping mat leave replacement

A car dealership in Prince George "constructively dismissed" a former employee during her maternity leave and, in doing so, discriminated against her, the B.C. Human Rights Tribunal has ruled. More

2022-08.  Ontario employees launch legal action after being fired over vax mandate

A group of 20 Windsor Ontario workers fired by the municipal government for defying its jabs mandate has launched a legal action, claiming the policy violated their constitutional rights. "One individual was within six months of retirement when these individuals should have been allowed to work from home." More

2022-08. Vancouver worker terminated during the pandemic, awarded 18 months’ notice

A 58 year-old B.C. hotel worker with 32 years of service who was laid off and then terminated during the pandemic is entitled to 18 months’ notice, the B.C. Supreme Court has ruled. More

2202-08.  Ontario arbitrator finds 3-dose vaccination policy reasonable in long-term care home

On August 30, 2022, Arbitrator Raymond upheld a mandatory three-dose vaccination policy in a long-term care home setting and found the employer even had a positive obligation to impose the policy, despite revocation of the Government Directive mandating vaccination policies in long-term care homes. More

2022-08. HRTO awards Ontario worker $56,000 - victim of repeated acts of sex discrimination

The Human Rights Tribunal of Ontario (HRTO) found that the applicant was a victim of discrimination on the basis of sex and that her work environment was poisoned by repeated acts of discrimination and harassment by the company’s owner. More

2202-08. Ontario class action settlement of $450,000 reclassifies volunteers as employees, setting new precedent

More than four years after the launch of a class action lawsuit against a company that ran student travel excursions, an Ontario court has approved a settlement between the organization and former trip leaders who argued they were not paid as employees. The suit alleged trip leaders with travel firm S-Trip were classified as volunteers while leading student trips, but in reality were doing the work of employees.  More

2202-06. Waksdale strikes back: ONCA upholds Rahman v Cannon - overturns Superior Court decision

The Ontario Court of Appeal in its decision Rahman v Cannon Design Architecture Inc., 2022 ONCA 451, confirmed that employee sophistication and involvement in negotiation of an employment agreement is not relevant when assessing whether a termination provision is legally enforceable and compliant with the Employment Standards Act, 2000 (“ESA”).  More

2022-06. Union defamed BC employer and ordered to pay $500,000

After concluding that the Union defamed the Employer without a proper defence, Arbitrator Glass turned to the matter of damages. After considering the factors relevant to claims of defamation and awards of punitive damages, the arbitrator ordered the Union to pay $400,000 in general damages and $100,000 in pecuniary damages. He also ordered the Union to retract the Impugned Statements. More

2022-05. Vancouver worker awarded $170K severance - reduced by three months because of her failure to take reasonable steps to secure a new job

A Hong Kong-based airline that permanently shut down its Vancouver operations in 2020 because of the COVID-19 pandemic has been ordered to pay nearly $170,000 severance to the woman who managed the office with 35-year tenure. Severance was reduced by three months because of her failure to take reasonable steps to secure a new job. More