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Employee Terminations

Employee terminations are generally the most contentious issue in employment law. From a legal perspective, there are generally two types of terminations: terminations without cause and terminations for cause.

What is termination without cause?

Most employee terminations at law are considered dismissals without cause, which means that if the employer intends to terminate the employment relationship it must provide advance notice of termination or payment in lieu (i.e. a severance package).

The amount of notice or payment in lieu that the employee is entitled to receive will depend on a variety of factors including the employee’s contract of employment, age, character of employment and opportunities for comparable employment.

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What is termination for cause?

Cause for termination exists when an employee has engaged in serious misconduct or neglect of duty that amounts to a repudiation of the employment relationship.

If an employer has cause for termination, it is not required to provide the employee with any advance notice or any payment in lieu of notice (i.e. a severance package), subject only to minimum employment standards requirements.

Cause for termination is generally limited to situations in which the nature and severity of the employee’s misconduct is very serious. After all, not all misconduct is cause-worthy, for instance, an employee who may having persistent performance issues may nevertheless be entitled to reasonable notice or payment in lieu of notice.

There is no clear rubric and there are many factors to consider, however, any decision to terminate for cause should be made with care and caution, and ideally with legal advice.

What should I do before I terminate an employee?

If your organizations requires advice in connection with a pending termination or if a former employee has made a wrongful dismissal claim against your organization, reach out to JPAK Employment Lawyers. Our experienced team have successfully resolved thousands of wrongful dismissal claims.