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The Court of Appeal upheld wrongful dismissal damages without deducting pension benefits and increased the savings plan compensation.
The appellant employer appealed and the respondent employees cross-appealed from a motion judge's orders awarding wrongful dismissal damages following the dismissal of the respondents without cause after the sale of part of the employer's retail business.
The appeal addressed whether the respondents failed to mitigate damages by refusing comparable employment with the purchaser, and whether damages for employment benefits should be reduced by pension benefits received.
The cross-appeal concerned the calculation of damages for lost Savings Plan contributions.
The court dismissed the appeal, finding the motion judge did not err in determining the offered employment was not comparable and that pension benefits should not be deducted.
The court allowed the cross-appeal, finding the motion judge erred in calculating Savings Plan contributions at 3% rather than 6%.
Motion to strike dismissed and leave to amend granted where plaintiff alleged breach of reference policy.
The defendants moved to strike the plaintiff's statement of claim, which alleged a failure to provide a timely letter of reference, for disclosing no reasonable cause of action.
The plaintiff brought a cross-motion to amend the statement of claim to allege that the corporate defendant breached its policy to provide a reference.
The court allowed the amendment and dismissed the motion to strike, finding that the amended pleading sufficiently alleged a breach of the employment contract and related torts.
