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"You're Fired" - Can be very expensive! Part I

One of the most challenging elements of business ownership is firing an employee.

Unfortunately, as many business owners discover to their detriment, firing an employee can also have serious financial consequences. Employees, particularly those with significant service time, may be entitled to:

- advance notice of termination,

- or severance in lieu of advance notice,

Severance can be well in excess of the minimum amounts set out in the Employment Standards Act. For employees with long service times, it is common to see notice periods and corresponding orders for severance in excess of a year and sometimes approaching two years.

The unfortunate part for many employers is that such devastating payments can be avoided by forethought, but in many case are not. With a little planning and the aid of a employment attorney familiar with these specialized laws and contract, employers can protect themselves from such exposure.

Get prepared, contact Mark to discuss your company employment contracts and limit your exposure. Mark W. Hundleby is a lawyer and partner at ERA Law, and maintains a litigation and employment practice.

Mark W. Hundleby Barrister and Solicitor


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