Taking it to the limit

What an employer doesn’t say in a termination letter can cause unnecessary problems down the road
By Alex Kowal
|Canadian Employment Law Today|Last Updated: 11/17/2010

It is the practice of most employers in a without cause termination to provide the recently terminated employee with a termination letter outlining the severance package being offered — which is a good practice. In a for cause termination, it is equally important to clearly communicate the decision not to provide a severance package. As a recent case suggests, failing to do so can negatively impact an employer’s ability to argue a limitation period defence.