Leaving Your Job and Starting a New One? Know Your Rights
According to a recent Indeed Canada survey, nearly nine out of 10 Canadians are happier when they switch careers. Sixty-three per cent of respondents said that better pay was the main reason for switching careers, and 57% said that they wanted more opportunity for growth. This blog discusses important employment laws, rights, and interests for employees who look to leave a job and start a new one.
How much notice of resignation should an employee give?
While many people think that two-weeks’ notice is the rule, this is not the case. An employee’s contract will state how much notice of resignation an employee should give to their employer. If the employment contract does not state how much notice is required, or if there is no employment contract at all, the nature of an employee’s position will dictate how much notice is required. For more junior employees with less responsibility, they may not be required to give notice of resignation at all. The opposite is true: senior employees will be required to give notice of resignation.
But what happens if an employee fails to give the required amount of notice to an employer that they are leaving? Then the employer can sue the employee for “wrongful resignation.” This is essentially a wrongful dismissal (failure for an employer to give an employee enough notice of termination or payment in lieu of notice, i.e. a fair severance package), but in reverse. To be successful in a wrongful resignation lawsuit, an employer must prove that because the employee left without giving sufficient notice, the employer suffered a loss.
Before quitting, ask: am I being forced out?
While better pay and growth may be the main reasons for switching jobs, an employee’s dissatisfaction with their current job may have more than a few reasons. Included among these reasons may be a feeling that the employer is trying to push an employee out in an effort to get the employee to quit. Employees should always remember that a voluntary resignation will mean they will not be entitled to two important things: employment insurance benefits and severance pay. As of January 11, 2020, the maximum employment insurance payments Service Canada will pay an employee in Toronto is $573/week for 36 weeks (total of $20,628.00).
Therefore, it may be beneficial for an employee to be terminated without cause rather than quitting. For a more detailed discussion about quitting or being terminated, click here.
Starting a new job: pay attention to the employment contract
Once an employee has accepted a job, the new employer will likely present an employment contract. This employment contract is quite possibly the most important document for an employee, and it is important to understand all the fine print. Here are just several things to pay attention to:
How much notice of resignation is required
Vacation policy – is it use it or lose it?
Termination clause – this governs how much severance you are entitled to, probably the most important part of the contract
Non-competition and non-solicitation – these provisions can potentially restrict an employee’s ability to work after they leave their job
The employment contract brings this blog full circle, as the employment contract signed at the beginning will always play a significant factor in what happens at the end of an employment relationship. Therefore, employees should always understand what they’re getting into when they sign a new employment contract.
Employees looking to quit a job or start a new job should contact Toronto employment lawyer Jason Wong to understand their rights and interests. You can contact him at 647-242-5961 or jason@wongemploymentlaw.com.