McKay v. Camco Inc.

1983 CanLII 1644 (ON SC)Decided Wrongful dismissal

Wrongful Dismissal: Disability Benefits Deducted from Damages

Summary

A wrongful dismissal case where the employee was dismissed with notice of termination effective two months later. The employee argued for nine months' notice based on their position, age, and economic conditions, but the court found three to six months' notice appropriate. The court also ruled that disability benefits received by the employee, equivalent to five-and-a-half months' salary, should be deducted from the damages awarded, as the employer should not be required to pay the employee's salary twice.

Outcome

Notice deemed adequate, disability benefits deducted from damages

Award

Disability benefits equivalent to five-and-a-half months' salary were deducted from the damages awarded

Key Factors

  • wrongful dismissal
  • notice of termination
  • disability benefits
  • adequacy of notice
  • deduction of benefits from damages

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This is legal information, not legal advice. Ontario Severance is an educational tool. If you are facing a serious employment law matter, consult with a qualified employment lawyer in Ontario.