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It’s All in the Timing: The Best and Worst Times to Terminate Employees

The English magician Tony Corinda once said: “Good timing is invisible. Bad timing sticks out a mile”. As employment lawyers, we talk a lot about the “why”, “what” and definitely the “how much” of terminating an employee, but the “when” is a sometimes overlooked aspect. Some termination timing issues are a question of best practice or common courtesy, while others can attract significant legal liability and can be costly for employers. An employee who is being terminated may not recognize an employer’s considerate timing, but they will certainly recognize inconsiderate timing, and this will make everything go a lot less smoothly. 

It’s All in the Timing: The Best and Worst Times to Terminate Employees

When should you not terminate an employee? 

Discrimination 

It is contrary to the Ontario Human Rights Code (the “Code”) to terminate or otherwise discriminate against an employee because of a protected ground. The protected grounds under the Code are citizenship, race, place of origin, ethnic origin, colour, ancestry, disability, age, creed, sex/pregnancy, family status, marital status, sexual orientation, gender identity, gender expression, and record of offences. 

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Learning Lessons from OpenAI’s Pitfalls: Preparing for the Potential Ripple Effect of Terminations

Earlier today we learned that Sam Altman, CEO of OpenAI the company behind ChatGPT, was returning to his post as CEO, bringing a captivating story to a close (well at least for now).

In case you missed it, the company dismissed Altman on Friday. The company provided few details on its decision to terminate Altman beyond citing a lack of candour on his part when communicating with its Board.

Learning from OpenAI’s Pitfalls

Over the weekend we learned that following a failed attempt at reinstatement, the former CEO had agreed to join the company’s financial backer, Microsoft. Altman was joined at Microsoft by other executives and management who quickly exited the company following his termination. While Microsoft welcomed the employees, it also publicly left the door open for Altman to return to his former company. 

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British Columbia Becomes The Second Province with Pay Transparency Legislation

On November 1, 2023 British Columbia’s new Pay Transparency Act (“Act”) took effect, which requires employers throughout British Columbia to post expected salary ranges for job postings. Notably, as explained by the British Columbia government in a guidance document, this requirement will also apply to postings for remote positions if the position is open to candidates in British Columbia, among other locations. 

Pay Transparency

British Columbia is now the second province in Canada with such legislation in effect following Prince Edward Island in 2022. Ontario may also follow suit with the Minister of Labour, Immigration, Training and Skills Development recently announcing the intent to introduce legislation next week regarding pay transparency. As details emerge and if the legislation progresses toward becoming law in Ontario, we will keep you informed.

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Ontario’s Working for Workers Act, 2023: Key Changes Affecting Employers

On October 26, 2023, the Working for Workers Act, 2023 (the “Act”), the Ontario government’s third iteration of this legislation aimed at protecting workers,  received Royal Assent and came into force. The Act introduces amendments to several employment-related statutes, impacting employers across the province. Below are some of the most relevant amendments. 

Working for Workers Act

Mass Terminations Under the ESA:

One of the most notable changes introduced by the Act is the expansion of the definition of an employer’s “establishment” under the Employment Standards Act, 2000 (“ESA”). This expansion now includes the private residences of employees who work from home. As a result, employers must take these employees into account when assessing mass terminations. Mass terminations occur when 50 or more employees are terminated within the employer’s “establishment” in a four-week period.

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You’ve been served with notice to bargain, now what?

Receiving a notice to bargain can be overwhelming for an employer, especially if it is to negotiate a first collective agreement. It is important to understand key steps in the process in order to be prepared to achieve the best outcome for your business. 

“You’ve been served with notice to bargain, now what?”

Do not feel rushed 

There is no need to immediately schedule bargaining sessions once you receive notice to bargain. The obligation is to commence bargaining within a reasonable time frame such that the employer is not interfering with the union’s right to collective bargaining. Understandably, it could take up to a few months to align the schedules of the bargaining teams on both sides and to ensure adequate time for preparation. 

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Approaching, Understanding and Implementing Legal Settlements

At a time when our civil justice system is plagued by extreme delay, I am grateful to practice law in an area that is well known for its focus on creative and practical problem-solving and settling, as opposed to litigating disputes. There are certainly some labour and employment disputes which simply must be litigated, but the majority of disputes will ultimately be settled. 

Legal Settlements: Mastering Disputes

 

There are many reasons why settlement is often an attractive option (the delay and cost of litigation, the peace of mind a settlement can bring, and avoiding the disruption and harm that litigation can cause to a business or its reputation …just to name a few) but in this blog we will provide some tips for considering, understanding and implementing legal settlements.

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