Bain v. Insurance Corp. of British Columbia, 2002 Carswell BC 2470 (B.C. S.C.)
In this case the court considered the effect of the economic climate on the appropriate notice period for wrongful dismissal. Bain’s employment was terminated after seven years in a junior managerial position. He was 57 and had worked in the area of information technology and systems management. The dismissal was a result of restructuring. At issue was the appropriate notice period.
Bain argued he should receive 18- to 20-months’ notice, taking into account the economic climate in which few positions were available in the IT field. At the time of dismissal Bain had received seven-months’ notice which the defendant argued was adequate.
The court adopted the reasoning of earlier cases which held the appropriate notice period is not equivalent to the time it takes to obtain new employment. Such an approach would result in the employer being held responsible for shortages of work in a depressed economy. No employer would agree to such a condition of employment.
Although a court should consider the absence of job opportunities due to the economy, this factor should not be given undue emphasis. The court held he was entitled to 12-months’ notice based on his age, position, length of service and, to a limited degree, the economic climate.
In this case the court considered the effect of the economic climate on the appropriate notice period for wrongful dismissal. Bain’s employment was terminated after seven years in a junior managerial position. He was 57 and had worked in the area of information technology and systems management. The dismissal was a result of restructuring. At issue was the appropriate notice period.
Bain argued he should receive 18- to 20-months’ notice, taking into account the economic climate in which few positions were available in the IT field. At the time of dismissal Bain had received seven-months’ notice which the defendant argued was adequate.
The court adopted the reasoning of earlier cases which held the appropriate notice period is not equivalent to the time it takes to obtain new employment. Such an approach would result in the employer being held responsible for shortages of work in a depressed economy. No employer would agree to such a condition of employment.
Although a court should consider the absence of job opportunities due to the economy, this factor should not be given undue emphasis. The court held he was entitled to 12-months’ notice based on his age, position, length of service and, to a limited degree, the economic climate.
