Employees in Canada are usually entitled to receive reasonable
notice of termination or pay in lieu of notice, unless fired for
cause. But if the employees receive pension or sick leave
payments during the notice period, are they entitled to
both their regular salary in lieu of notice and
such pension or sick leave payments? Should the latter amounts
be deducted from the salary otherwise owed by the employer in
respect of the notice period?
Double Recovery?
Sometimes, depending on the circumstances, a dismissed employee
may be entitled to draw on their pension immediately upon
dismissal. This might start during the period for which they
would otherwise receive pay in lieu of notice. In other cases,
an employee may be terminated while on sick leave and already in
receipt of short or long term disability benefits. This might
seem like double recovery. Can the employee legitimately
demand that the employer put them in a better situation than they
would have been in