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Failure to properly mitigate damages results in a reduced award for damages
|Canadian Employment Law Today

Lorna Gillespie had worked for Snowflake Trading Corp. Ltd., a relatively small retailer of women’s fashions, for 12 years. She began her employment as a salesperson at one of its stores and was eventually promoted to the position of manager at its “flagship” store in the Hotel Vancouver.

As a store manager Ms. Gillespie was responsible for all aspects of the day-to-day operations of the store including opening and closing the store, banking, security, receiving and displaying merchandise. She also hired and trained new personnel. Initially she was responsible for staff scheduling but this task was eventually transferred to head office. She did not have authority to fire people. She prepared monthly sales reports and evaluated the product lines carried by the store. Finally she did some seasonal buying for the store but the head office had a principal buyer.

Ms. Gillespie’s remuneration was a combination of an hourly wage, a personal commission and a store commission. Her earnings between 1996 and 1999 ranged from $45,525 to $55,225.