Reputation Damages For Terminated Employee

Yes, an employee can recover for damage to his reputation caused by the manner of termination of his employment.  This is not a surprising outcome based on the principles established by the Wallace decision of the Supreme Court of Canada, but it took a Federal Court of Appeal review of an earlier decision to get there.  ( Tipple v. Attorney General of Canada , 2012 FCA 158)

Douglas Tipple was a senior executive in the federal public service.  He was terminated amidst some controversy but an internal investigation cleared him of wrongdoing.  Unfortunately for Tipple, that message was never given to the media and the idea that Tipple was fired because of the controversy was promoted in the House of Commons and left uncorrected by his bosses.