By: Stephanie McDonald and Murtaza Najmi
What is Reasonable Notice?
Reasonable Notice is when you lose your job, your employer must give you time or money to help you transition. The reasonable notice period is meant to bridge the gap between your old job and your new job. It protects employees from being left without income after termination.
Why Do Employment Contracts Try to Limit It?
Many employment contracts include a “termination clause.” This clause usually attempts to limit your entitlements on termination to those outlined by the Employment Standards Act (ESA). However, most of these clauses fail to meet legal standards. If a termination clause is illegal, unclear, or violates the ESA, the courts will read the contract without considering the termination clause. In that case, you are entitled to common law reasonable notice, which is usually much higher. Make sure you ask a lawyer to assess your termination clause before you sign anything.
Who Gets Reasonable Notice?
Any employee who is terminated without cause, is entitled to reasonable notice or pay instead of notice, unless there is a legal termination clause. You are also not entitled to reasonable notice if you were fired for just cause. You can learn more about just cause terminations here.
How is Reasonable Notice Calculated?
The courts use something called the Bardal factors, from a case called Bardal v. Globe & Mail Ltd.
These factors look at:
- Age: Employees over 55 get more notice
- Length of Service: The longer you have worked, the more you are entitled to
- Position: Senior, managerial or specialized roles usually get longer notice
- Availability of Similar Work: If there are few available roles, more notice is usually warranted.
- Any other factor which could increase or decrease the amount of time it will take you to find a new role. For example, the poor health of a departed employee that prevents the employee from engaging in a job search, or child or family caregiver responsibilities that require workplace accommodations will be considered.
Find more information about reasonable notice here.
If your employment was terminated with or without cause, or you have been constructively dismissed, make sure you have a lawyer assess your entitlement to reasonable notice before signing anything. If you sign the termination documents before speaking with a lawyer, you will forfeit your entitlement to anything beyond what is outlined in the termination agreement. Book a consultation today.
DISCLAIMER: This article/blog is provided for educational/informational purposes only. The views expressed are solely those of the author(s) and should not be attributed to any other party not listed as the author(s).
While reasonable efforts have been made to ensure the accuracy of the content provided, it does not constitute legal advice. Prior to relying on any aspect of this article, you should consult with a suitably qualified legal professional promptly in your relevant jurisdiction, to obtain advice tailored to your individual circumstances
Nothing in this article should be interpreted as forming a solicitor-client relationship or construed as a solicitation for legal services.
