Monday, April 7, 2014

B.C. Lottery Corporation has recently terminated a large number of employees. Our understanding is that this reflects BCLC’s position that people are moving to online gambling, resulting in a need to reorganize. Some of these terminations may take the form of constructive dismissal – an erosion of one’s actual job to a point it becomes unacceptable. This can take many forms including reduced pay, loss or prestige or the creation of a working environment which is objectively intolerable. This is unfortunate because it will create a difficult job market saturated with dozens of people who have been wrongfully dismissed without cause – meaning they are the victims of circumstance, who have performed their job duties to their employer’s satisfaction. Often these people will be left to compete for new employment with former co-workers in a field that BCLC says is shrinking. These dismissed employees have significant recourse. As a starting point, the Employment Standards Act (“ESA”) will provide them with certain minimum rights, which should be immediately paid without any argument by an institution of this size. We understand that for certain employees, the dismissals are part of a “group termination”, which can increase the employer’s liability to these employees under the ESA. But for many people, it will be more important to understand their “common law” rights, which often exceed those ESA entitlements. The common law will usually grant terminated individuals a good deal more than the ESA, this is often called severance pay, pay in lieu of notice or damages for wrongful dismissal. Sometimes employers will write letters which suggest that the ESA is the only source of remedy. It is not. In all but exceptional circumstances, an employee’s legal rights far outstrip the minimum legislated amounts because of the common law. Depending on the circumstances, public service and Crown Corporation employees can be entitled to as much as 18 months’ (or at the very highest end 24 months’) severance at common law, barring a binding contractual provision otherwise. Hopefully all terminated employees will pursue their lawful rights in this very unfortunate circumstance. If you or someone you know has been terminated or otherwise affected by BCLC’s recent actions, the lawyers at Tevlin Gleadle would be happy to assist.

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