What is Wrongful Dismissal in Ontario?

Understanding Wrongful Dismissal

Wrongful dismissal occurs when an employee is terminated by their employer in a manner that violates the legal protections set out in Ontario’s Employment Standards Act (ESA) or their employment contract. Under Ontario law, an employer is allowed to terminate an employee, but they must do so in compliance with the relevant laws and contractual obligations.

When an employee is wrongfully dismissed, they may be entitled to compensation beyond what was offered in a severance package or final payment. This can include additional severance pay, damages for emotional distress, or even the reinstatement of their position under certain circumstances.

The Key Elements of Wrongful Dismissal

Wrongful dismissal claims generally hinge on two core factors:

Lack of Just Cause: If an employee is terminated without just cause, the employer must provide appropriate notice or severance pay, as stipulated by the Ontario Employment Standards Act (ESA) and the employee’s contract. Just cause refers to serious misconduct, such as theft or insubordination, which would justify immediate termination without notice or severance.
Failure to Provide Proper Notice or Severance: In cases where there is no just cause for termination, the employee is entitled to a reasonable notice period or compensation in lieu of notice. The amount of severance pay depends on various factors, including the employee’s length of service, position, and the terms of the employment contract. If the employer fails to provide the required severance or notice, the employee may have grounds for a wrongful dismissal claim.

Common Causes of Wrongful Dismissal

Termination Without Cause: Even though an employee may be terminated without cause, if the employer fails to provide the appropriate severance or notice, it may still constitute wrongful dismissal.
Breach of Employment Contract: If the terms of the employee’s contract outline specific terms for termination, and the employer does not adhere to those terms, it could be considered wrongful dismissal. For example, if the contract states a specific notice period and the employer does not follow this clause, the employee may have a claim for wrongful dismissal.
Discrimination or Retaliation: If an employee is terminated for discriminatory reasons—based on race, gender, disability, or other protected characteristics under the Ontario Human Rights Code—this can be considered wrongful dismissal. Similarly, an employee who is fired in retaliation for asserting their rights, such as taking medical leave or filing a workplace complaint, may have grounds for a wrongful dismissal claim.
Failure to Accommodate: Employees with disabilities are entitled to accommodation under the Ontario Human Rights Code. If an employer fails to make reasonable accommodations or dismisses an employee due to their disability, this can be considered wrongful dismissal.

What to Do If You Believe You’ve Been Wrongfully Dismissed

If you think you’ve been wrongfully dismissed, here are the key steps you should take:

Review Your Employment Contract: Check your employment contract to see if it includes clauses related to termination, severance, or notice periods. Understanding your contractual rights can help clarify whether the dismissal was handled properly.
Understand Your Rights Under the Ontario Employment Standards Act (ESA): Familiarize yourself with your rights under the ESA, including the minimum notice period or severance pay you are entitled to. The ESA outlines the basic standards for termination and severance, but your contract may provide additional benefits.
Document Everything: Keep a record of all communications related to your termination, including emails, letters, and notes from meetings. This can be important if you need to prove that the dismissal was unjust or that the terms of your contract were violated.
Seek Legal Advice: Contact an employment lawyer to assess whether you have a valid claim. A lawyer will be able to review your case, advise you on your rights, and help you determine the best course of action.

The Importance of Employment Lawyers in Wrongful Dismissal Cases

In cases of wrongful dismissal, consulting an employment lawyer is crucial. An experienced lawyer can help you navigate the complexities of wrongful dismissal claims, ensuring that your rights are protected and you receive the compensation you’re entitled to. Lawyers can also assist in negotiating severance packages, challenging terminations that violate the law, and representing you in court if necessary.

Take Action: Protect Your Rights

Wrongful dismissal is a serious matter that can have long-lasting financial and emotional consequences. If you believe you’ve been wrongfully dismissed, don’t hesitate to seek legal advice. A skilled employment lawyer will help you understand your rights, negotiate a fair severance package, and guide you through the process of challenging an unlawful termination.