Resignation vs. Termination: The $64,000 (or more) Question

by | Feb 10, 2017 | For Employees

Resignation vs. Termination: The $64,000 (or more) Question

by | Feb 10, 2017 | For Employees

Employers prefer it when an employee resigns because the employee is not entitled to any termination pay. To be valid, a resignation must be voluntary, clear and unequivocal; otherwise a so-called resignation could in fact be a termination, in which case the employee is entitled to termination pay. A contested resignation often takes place when an employee leaves the workplace after an emotional outburst. A recent from British Columbia considered this kind of situation.

Bishop v Rexel Canada Electrical Inc.

Mr. Bishop was a buyer in Rexel’s purchasing department. In December 2015, his supervisor asked him to take on an additional task of releasing web orders to assist another buyer who was overwhelmed. Mr. Bishop began feeling significantly overburdened by the addition of this task.

On January 4, 2016, Mr. Bishop’s supervisor requested that he continue to perform the task of releasing web orders. Mr. Bishop sent a hasty email to his supervisor saying he was “up to [his] ass in orders” and that if the web orders were being “dumped” on him again, he would not be returning.

Mr. Bishop and his supervisor then had a phone conversation, the contents of which were debated between the parties. While Mr. Bishop said he did not resign during this call, his supervisor testified he confirmed his resignation. Mr. Bishop was then escorted from the office and asked to return his keys.

In finding that Mr. Bishop had not resigned, the judge pointed to the following three factors:

  • Bishop was clearly upset on January 4, 2016, Ms. King was aware of his emotional state and should not have taken his word as definitive without further inquiry once his emotions had settled.
  • Prior to the alleged resignation, his supervisor had nominated Mr. Bishop for termination/layoff in January 2016. His resignation must be viewed within this context.
  • Rexel was in a rush to confirm Mr. Bishop’s resignation.

Given that Mr. Bishop did not resign, the court found that Mr. Bishop was in fact terminated after he was asked to return his keys.

Lessons to be Learned

Resignations are not necessarily black-and-white. A judge will look at surrounding circumstances to determine whether the resignation was voluntary, clear and unequivocal. If an employer is insisting you resigned, and you disagree, you should consider speaking with an employment lawyer about your situation. You can contact us at [email protected] or 647-204-8107.

The material and information in this blog and this website are for general information only. They should not be relied on as legal advice or opinion. The authors make no claims, promises, or guarantees about the accuracy, completeness, or adequacy of any information referred to in this blog or its links. No person should act or refrain from acting in reliance on any information found on this website or blog. Readers should obtain appropriate professional advice from a lawyer duly licensed in the relevant jurisdiction. These materials do not create a lawyer-client relationship between you and any of the authors or the MacLeod Law Firm.

 

k

Recent Posts

k

Recent Posts

Justice for Unionized Employees

Unionized employees often seek our advice regarding human rights issues in their workplace. Sometimes this is because human rights violations have occurred and the union is not assisting them. Other times, the union itself may be part of the problem. The rights of...

read more

The material and information in this blog and this website are for general information only. They should not be relied on as legal advice or opinion. The authors make no claims, promises, or guarantees about the accuracy, completeness, or adequacy of any information referred to in this blog or its links. No person should act or refrain from acting in reliance on any information found on this website or blog. Readers should obtain appropriate professional advice from a lawyer duly licensed in the relevant jurisdiction. These materials do not create a lawyer-client relationship between you and any of the authors or the MacLeod Law Firm.

 

k

Recent Posts

k

Recent Posts

Justice for Unionized Employees

Unionized employees often seek our advice regarding human rights issues in their workplace. Sometimes this is because human rights violations have occurred and the union is not assisting them. Other times, the union itself may be part of the problem. The rights of...

read more

Toronto Office

702 - 2 Bloor Street West,
Toronto, ON M4W 3E2

Barrie Office

277 - 92 Caplan Avenue,
Barrie, ON L4N 9J2

Collingwood Office

220 - 1 First Street
Collingwood, ON
L9Y 1A1

Locations

Toronto Office

700 - 2 Bloor Street West, Toronto ON M4W 3E2

Barrie Office

277 - 92 Caplan Avenue, Barrie ON L4N 9J2

Collingwood Office

220 - 1 First Street, Collingwood, ON L9Y 1A1

Translate

Subscribe To Our Newsletter

Join our mailing list to receive the latest news and updates from our team.

You have Successfully Subscribed!