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Atlantic Employers’ Counsel – Winter 2013

REASONABLE PEOPLE DOING QUESTIONABLE THINGS: CONFLICTS OF INTEREST AND JUST CAUSE

Can a unionized employee moonlight in his off hours to earn some extra money by doing the same work he does for his daytime employer at cut rates? Can a high level executive take kickbacks for directing contract work to a friend? In both unionized and non-unionized environments, an employee who engages in a conflict of interest can lead to a just cause termination.

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CATCH ME IF YOU CAN: DEALING WITH FRAUDULENT MISREPRESENTATION OF QUALIFICATIONS OR CREDENTIALS IN THE WORKPLACE

It happens often. A potential candidate arrives at a job interview with a stellar curriculum vitae. She shares with you that she’s got a stable and secure job but might be interested in contributing to the success of your organization. Without hesitation or question, you decide that this is the person you’re looking for and an employment relationship is formed. Who didn’t hear about Yahoo’s situation with recent hire Scott Thompson when it was disclosed six months after the hiring that Thompson may not have had the qualifications set forth on this curriculum vitae.

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DUMB AND DUMBER: GET SMART ABOUT SERIOUS INCOMPETENCE

Every employer has a movie or two in the making based on the outrageous tales of its most incompetent employees.

Maybe the employee harmed a patient, lost a million dollars, angered a valued client, missed a critical deadline, or did something so dumb it put the company’s reputation at risk. Once an employee has demonstrated such incompetence, the employer usually loses confidence in the employee’s ability to do the job and is keen to terminate employment.

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WHOEVER SAID ABSENCE MAKES THE HEART GROW FONDER? THINGS TO CONSIDER ABOUT INNOCENT ABSENTEEISM BEFORE TERMINATION

One of the most frustrating, costly and challenging issues facing employers is chronic absence of employees. Culpable absenteeism, or absenteeism within the employee’s control, may very well constitute cause for dismissal, but this article focuses on termination of employees for innocent absenteeism, particularly caused by illness, disability, or other protected grounds under human rights legislation.

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LIAR, LIAR: DEALING WITH DISHONEST EMPLOYEES

Clarence Darrow is an unlikely inspiration for an employer-focused article about dishonest employees. However, Darrow captures a key truth about the employment relationship: the difference between honest and dishonest behaviour in the workplace isn’t easily discernible and can seriously impact your business.

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IT’S ALL IN THE ATTITUDE: INSOLENCE & INSUBORDINATION

One of the most challenging issues in the workplace is dealing with bad attitude and employees refusing to perform the work for which they were hired. Disruptive behaviour can take on many forms: outright refusal to carry out work, manifest non-performance, inappropriate comments, persistent complaints and non-verbal communication expressions of dissatisfaction (i.e., eye rolling, sighing, etc.). Employers dealing with employees who have a negative and disruptive attitude often consider dismissal for insubordination and insolence. What exactly are those two concepts?

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JUST CAUSE, DUTY OF FIDELITY AND BREACH OF TRUST

Every employee, at every level, owes a duty of fidelity to their employer. Although the extent of this duty depends on the particular circumstances of the employment relationship, all employees have a duty to act in a manner consistent with the employer’s interests (i.e. duty of loyalty). Where the conduct of an employee is dishonest and inconsistent with the employer’s interests, the trust in the employment relationship can be compromised and can amount to just cause for dismissal.

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TERMS OF “ENDEARMENT”: SEXUAL HARASSMENT AS JUST CAUSE FOR DISMISSAL – SEXUAL HARASSMENT IN THE COURTS

Sexual harassment is prohibited under all human rights legislation in Canada and employers have a duty to protect employees against sexual harassment in the workplace. This may, in certain circumstances, require dismissing an offending employee. Failing to protect an employee against sexual harassment by a co-worker may also lead to a constructive dismissal claim against the employer. For the purpose of this article, we look specifically at the issue of when an employee can be terminated for just cause when there is proven sexual harassment.

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Restart the Clock!: Confirmation and resetting limitation periods in Tuck v. Supreme Holdings, 2016 NLCA 40

August 11, 2016

Joe Thorne1 and Giles Ayers2 Limitation periods serve a critical function in the civil justice system. They promote the timely resolution of litigation on the basis of reliable evidence, and permit litigants to assess their legal exposure…

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Client Update: SCC issues major decision affecting federal employers: Wilson v. Atomic Energy of Canada Limited

July 15, 2016

On July 14, 2016 the Supreme Court of Canada issued a significant decision affecting federally regulated employers across Canada. In Wilson v. Atomic Energy of Canada Limited the Court held that the purpose of the unjust dismissal…

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Client Update: Requirement to register as a mortgage brokerage and mortgage administrator in New Brunswick

July 7, 2016

On April 1, 2016 New Brunswick’s Mortgage Brokers Act came into force, requiring businesses acting as mortgage brokerages or as mortgage administrators in New Brunswick to be licensed. A mortgage brokerage is a business that on behalf…

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Copyright does not monopolize facts – documentary filmmakers’ claim against book author and publisher fails

June 29, 2016

In May 2016, the Federal Court of Canada confirmed that copyright does not protect facts, even where a book’s author is clearly inspired by the content of a film (Maltz v. Witterick, 2016 FC 524 (CanLII)).…

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Solicitor-client privilege vs the Canada Revenue Agency: the SCC speaks

June 10, 2016

By Jennifer Taylor “…firms of notaries or lawyers…must not be turned into archives for the tax authorities”1 So says the Supreme Court of Canada in one of two highly anticipated decisions on solicitor-client privilege, offering lawyers…

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Why can’t we be friends?: Lessons on corporate dissolution from Smith v. Hillier

May 30, 2016

Joe Thorne1 and Clara Linegar2 As joint owners of a business, what do you do when the business relationship falls apart? And what if one owner undermines the business in the process? In Smith v Hillier,3 Justice Paquette…

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Client Update: Supreme Court of Canada dismisses appeals in punitive damages cases

May 26, 2016

The Supreme Court of Canada has dismissed the appeals in Bruce Brine v. Industrial Alliance Insurance and Financial Services Inc.1 (with costs) and Luciano Branco, et al. v. Zurich Life Insurance Company Limited, et al.(without costs). Both of…

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Client Update: Pension update: Countdown to Nova Scotia Pooled Registered Pension Plans

May 17, 2016

On May 4, 2016, the Nova Scotia Pooled Registered Pension Plans Act (“PRPP Act”) was proclaimed in force, and finalized Pooled Registered Pension Plan Regulations were released. While there were no major changes from the previously released draft regulations, the proposed rules…

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Pension Primer: Pooled Registered Pension Plans (“PRPPs”) in Nova Scotia

April 22, 2016

By Level Chan and Dante Manna Pooled Registered Pension Plans (“PRPPs”) are closer to becoming a reality for Nova Scotian employers. PRPPs were established by the Federal government in an effort to address the lack of retirement savings…

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Client Update: Perrin v Blake reaffirms the law on contributory negligence and recovery of damages

April 14, 2016

In a case where there is a contributorily negligent plaintiff and two or more negligent defendants, can the plaintiff recover 100% of her damages from any of the defendants? The answer in Nova Scotia is…

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