In Alberta, specific provisions of the Employment Standards
Code (the "Code") allow employers to
temporarily lay off employees for up to sixty days. Employers are
likely to do so during uncertain financial times, when demand for
work is dwindling, and the outlook for the future is unpredictable.
Pursuant to the Code, an employer can suspend the
employment relationship with its employees for up to sixty days, at
which point termination pay is provided if the employees are not
called back to work.
The Alberta Court of Appeal's Interpretation
In Vrana v Procor1
("Vrana") the Alberta Court of Appeal found that
pursuant to the provisions in the Code, employers must
provide some form of notice to employees prior to a temporary
layoff. The court held that notice should be provided in order to
uphold the "spirit" of the Code, namely open
communication between the employer and employee, which includes an
understanding of each other's rights. In Vrana the
court found that
