On July 14, 2016, the Supreme Court of Canada ruled in Wilson v. Atomic Energy that the “unjust dismissal” provisions contained in Part III of the Canada Labour Code ensure that non-unionized employees of federally regulated employers are protected from termination of their employment without cause and that federally regulated employers cannot avoid this protection by providing an employee with termination notice and/or severance pay in lieu of notice.
Victory for Federally Regulated Employees
This landmark decision confirms that non-unionized employees working in federally-regulated businesses enjoy the similar protection that unionized employees have managed to collectively bargained in collective agreements with their employers. Wilson also means that, with some exceptions, a federally regulated employer must prove “just cause” to lawfully terminate an employee.
The common law permits an employer to dismiss a non-unionized employee without cause if it provides the employee with proper notice or pay in lieu of … Continue reading