Martellacci v. CFC/INX Ltd.
Constructive Dismissal: 16-Year Employee Awarded 12-Month Notice
Summary
A constructive dismissal case where an employee was unilaterally laid off without pay, leading to a dispute over whether this constituted a fundamental change in employment terms. The court determined that the lay-off did constitute constructive dismissal, and that the employer’s failure to provide a reasonable alternative position fulfilled the employee’s duty to mitigate. A 12-month notice period was deemed reasonable for an employee with 16 years of service.
Outcome
Plaintiff awarded reasonable notice period of 12 months and costs fixed at $7,500 plus disbursements.
Award
12-month notice period awarded; costs fixed at $7,500 plus disbursements.
Key Factors
- constructive dismissal
- unilateral lay-off
- reasonable notice
- mitigation of damages
- Employment Standards Act compliance
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