Author: Ryan Carroll, LAW 365 Summer Student
A fixed term employment contract differs from an indefinite employment contract by the length of employment. A fixed term contract has a set date on which the employment will cease. An indefinite employment contract does not specify a date.
If you are currently employed on a fixed term contract, it may be confusing to understand what you are entitled to if your employer abruptly ends your employment. If the employer were to end your employment early, they will likely be found in breach of contract. That breach can entitle you to damages. Unlike an indefinite employment contract, your entitlement is clearly defined. Even if the agreement does not indicate the penalty you are owed by your employer, you are still entitled to damages. The Ontario Court of Appeal in Howard v Benson Group Inc. noted that an employee’s lost wages can be the entitlement.
If your employer has let you go despite your fixed term employment contract, you are not expected to mitigate your damages. You are under no obligation to actively seek out other employment. If you find yourself in this situation and your employer is advising you otherwise, you should seek out legal advice to guide you through the next steps.
If you are currently experiencing an issue with your employment, give us a call at (647)-494-9599 or email us at info@law365.ca
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