In my
last post to this blog I extolled the virtues of a benefit
communications policy for HR professionals who communicate pensions
and benefits to fellow employees. I pointed out that years of
benefit miscommunication has an overwhelming impact on an
organization's potential legal liability. I also highlighted
the fact that court decisions demonstrate time and again that
important cost-savings measures, such as reducing post-retirement
benefits or eliminating future pension accruals, can be derailed by
ambiguous communications.
Canadian case law demonstrates how widely courts and arbitrators
are prepared to cast their nets when awarding damages for benefit
miscommunication. Cases involving negligent misrepresentation, for
example, have resulted in awards for retiring employees, terminated
employees, spouses of deceased employees and future employees. Two
recent cases dealing with employee benefits and pensions
demonstrate how a benefit communications policy can
