Sentences with phrase «termination provisions unenforceable»
Continue Reading Employment Contracts: Termination Provisions Unenforceable Unless They Provide For Statutory Benefits Continuation
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The Court also concluded that the termination provision's silence on severance pay did not make it void and unenforceable.
Where a termination provision in a fixed - term employment agreement is rendered unenforceable, the employee may be entitled to wages for the balance of the fixed term, without any reduction for mitigated damages.
The common understanding was that in order to protect employees, courts would consider termination provisions that failed to reference the full scope of the employee's entitlements (including the continuation of benefits) to be unenforceable and instead grant common law notice of dismissal.
There had been a real willingness on the part of lower courts to rule that under - inclusive termination provisions were unenforceable, and that employees subject to them were actually entitled to common law notice of termination (which, again, is often far in excess of what the ESA provides for).
The termination provisions should not provide for any entitlements less than those under the CLC as this could risk the provision being declared unenforceable.
That said, termination provisions must still comply with local employment standards legislation or they will be unenforceable.
Zoomermedia argued that that the termination provision was unenforceable because it contravened section 61 (1) of the ESA by expressly excluding entitlement to short - term and long - term disability benefits during the statutory notice period.
Therefore, the entire termination provision was unenforceable and Mr. Roberts was not entitled to receive the contractual severance payment.
First, any attempt to contract out of or waive a provision of the ESA will render a termination clause unenforceable, even if both parties freely agree to do so.
In Oudin v. Le Centre Francophone de Toronto, The Ontario Superior Court dismissed a motion for summary judgment brought by an employee who alleged that the termination provision in his employment agreement was unenforceable.