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    This chapter discusses resignation and retirement from employment. It notes that resignations should be formally accepted by employers in writing and must be voluntary. Employers receiving notice of resignation may ask employees not to work their notice period if paying them instead to prevent potential liability. There is a common law requirement for reasonable notice of resignation. Mandatory retirement policies are generally not permitted but may be allowed if a bona fide occupational requirement exists. Employers must carefully document reasons for terminating older employees to avoid age discrimination complaints.

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    EL4-ch12(1) (1)

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    This chapter discusses resignation and retirement from employment. It notes that resignations should be formally accepted by employers in writing and must be voluntary. Employers receiving notice of resignation may ask employees not to work their notice period if paying them instead to prevent potential liability. There is a common law requirement for reasonable notice of resignation. Mandatory retirement policies are generally not permitted but may be allowed if a bona fide occupational requirement exists. Employers must carefully document reasons for terminating older employees to avoid age discrimination complaints.

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    7 views5 pages

    EL4 ch12

    Uploaded by

    harjitsaini1331
    This chapter discusses resignation and retirement from employment. It notes that resignations should be formally accepted by employers in writing and must be voluntary. Employers receiving notice of resignation may ask employees not to work their notice period if paying them instead to prevent potential liability. There is a common law requirement for reasonable notice of resignation. Mandatory retirement policies are generally not permitted but may be allowed if a bona fide occupational requirement exists. Employers must carefully document reasons for terminating older employees to avoid age discrimination complaints.

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    of 5

    Employment Law for Business and Human Resources Professionals, 4e

    CHAPTER 12
    Resignation and Retirement

    Copyright © 2019 Emond Montgomery Publications. All rights reserved.


    2

    Resignation
    • Resignation should be:

    • Formally accepted: Employers should send a letter to confirm


    acceptance of a letter of resignation
    • A letter of resignation may not be binding if it is retracted before
    the employer accepts the resignation
    • Voluntary: An employee who is given a choice between resigning or
    being dismissed may be found to have not resigned voluntarily
    • An involuntary resignation may trigger the employer’s duty to
    provide reasonable notice or pay in lieu of notice
    • Resignation may be inferred from an employee’s intentional,
    unequivocal, and non-impulsive conduct
    Copyright © 2019 Emond Montgomery Publications. All rights reserved.
    3

    Resignation
    • An employer who receives advance notice of an employee’s resignation may
    not want the employee to work during the notice period
    • However, if the employer reacts by dismissing the employee, it has effectively
    fired that individual and may be liable for wrongful dismissal damages
    • Therefore, to prevent an employee from working during the notice period, the
    employer should pay the employee but advise her not to attend work
    • There is a common law requirement, but not a statutory requirement, to provide
    reasonable advance notice of resignation
    • Special circumstances may trigger a statutory requirement to provide notice

    • For example, employees who have special expertise or a key role

    • Exit interviews may provide employers with valuable information and allow them
    to identify issues that, left unaddressed, could lead to claims
    Copyright © 2019 Emond Montgomery Publications. All rights reserved.
    4

    Retirement
    • Generally, Ontario law no longer permits employers to institute
    mandatory retirement policies at a particular age
    • Until 2006, the Ontario Human Rights Code limited protection
    against age-based discrimination in employment to ages 18 to
    64
    • Now, mandatory retirement policies may constitute age-related
    discrimination
    • Mandatory retirement policies are only permissible now if an
    employer can show that mandatory retirement is a bona fide
    occupational requirement
    Copyright © 2019 Emond Montgomery Publications. All rights reserved.
    5

    Retirement
    • Employers should carefully document the reasons for
    terminating an older employee to avoid an age
    discrimination complaint
    • Assuming that an older employee will retire may also invite
    liability
    • Making an early retirement incentive available does not in
    itself constitute age discrimination
    • Employers should ensure that early retirement offers are
    presented in a neutral way by a neutral contact person—
    that is, not the individual’s immediate supervisor
    Copyright © 2019 Emond Montgomery Publications. All rights reserved.

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