The plaintiff, a 63-year-old Vice-President of Finance with 17 years of service, brought a motion for summary judgment alleging constructive dismissal after his employer unilaterally imposed a 40 percent salary reduction due to financial difficulties.
The employer argued the reduction was temporary and later alleged just cause for termination.
The court found the salary reduction constituted a constructive dismissal and rejected the after-the-fact allegations of cause.
The plaintiff was awarded 23.75 months' salary in lieu of reasonable notice, reflecting a 24-month notice period reduced by a small contingency factor for mitigation.