Employers May Be Held Liable For Improperly Terminating An Employee For Poor Performance

The recent British Columbia decision of Cottrill v. Utopia Day Spas and Salons Ltd. is a careful reminder to employers to proceed with caution before terminating employees for cause for poor performance or risk liability if the termination is later found to be wrongful.

In Cottrill, the employee was employed as a skincare therapist who provided facials, pedicures and other treatments for clients of the employer. On her first day of employment, she attended an orientation where she was given a written employment contract to sign. Although she was in training that day, she signed the contract before performing any actual work as a skincare therapist.

While working for the employer, the employee received occasional warnings about some aspects of her performance but she was never disciplined or told that that her employment was in jeopardy. After 11 years of employment, the employer took a closer look at the employee's personnel file and noticed that the employee