Ontario Severance

M. v Motion Industries (Canada) Inc.

2014 ONSC 7556 (CanLII)Ontario Superior Court of JusticeDecided Constructive dismissal

Constructive Dismissal: 16 Months Notice for Role Change

Appeal history

Summary

This constructive dismissal case involved a project manager whose role was fundamentally altered to an outside sales representative upon recall from lay-off. The court determined that the plaintiff was entitled to treat the employment as terminated due to the employer's failure to offer a comparable position and was not obligated to mitigate damages by accepting the ill-defined role. A sixteen-month notice period was awarded, with damages calculated based on lost commissions.

Outcome

Plaintiff awarded sixteen months' notice and damages in lieu of notice.

Award

Sixteen-month notice period awarded; damages calculated based on lost commissions.

Key Factors

  • constructive dismissal
  • fundamental change to employment terms
  • duty to mitigate
  • reasonable notice
  • comparable position

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More Ontario employment decisions from 2014

This summary was written by AI from the published decision and its headnote. It is not an official version of the decision; read the full text on CanLII before relying on it. 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.