Can’t have it both ways

Employer cannot rely on the terms of an employment contract it has refused to sign
|Canadian Employment Law Today

Thelma Sawyer worked for Rab Energy Group Inc. continuously from November 1987 until she was terminated on June 3, 1999. Rab is in the business of fabricating and marketing windows. In 1999 the board of directors decided to terminate Ms. Sawyer when an agreement could not be reached with her as to salary and job position.

When Ms. Sawyer began in 1987, she was employed as the office manager responsible for accounting, office administration, personnel and the organization of the board and shareholder meetings. In April 1988 Ms. Sawyer was promoted to controller/office manager and reported directly to the board of directors. She also became the PVC window manager.

In April 1993 Ms. Sawyer entered into an employment contract with Rab. This was the first time she had an employment contract with Rab. The agreement was for a five-year term and contained a provision that permitted either party to terminate the agreement by giving the other three months’ written notice of termination. The termination clause also gave Rab the right to provide three months’ salary plus bonus to Ms. Sawyer in lieu of notice.