In Pham v. Qualified Metal Fabricators
Ltd. 2023 ONCA 255, the Ontario Court of Appeal held that
employers could no longer rely on the argument that an employee
“waited too long” after a lay-off to advance a
constructive dismissal claim.
A 51-year-old metalworker was laid off by his employer of 20
years during the early days of the COVID-19 pandemic. The employee
was advised that it would be a temporary, 13-week lay-off. However,
during the lay-off, the employee received two extension letters:
one on June 2, 2020, extending the lay-off for “up to 35
weeks” and another on September 23, 2020, extending until
September 4, 2021. The employee did not sign an agreement or
otherwise consent to any of the layoffs. Upon receipt of the third
lay-off letter, the employee initiated a claim for constructive
dismissal.
