Work is work: Duration of dependent contractor status to be included in notice calculations

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Summary

In the recent decision of Cormier v. St. Joseph Communications, the Court of Appeal upheld a motion judge’s finding that when calculating reasonable notice periods, an employee is entitled to include the duration of time they were an dependent contractor. Interestingly, the judge went on to comment that regardless of whether the plaintiff was an independent or dependent contractor, it would have been wrong in principle to ignore those years of their relationship in determining the reasonable notice period. In specifically excluding STD and LTD, and making continuation contingent on an insurer’s consent, the judge found it provided a lesser benefit than the Act required. In an age where it is increasingly common for employers to handle their personnel needs by way of independent contractors, these relationships run the risk of developing into dependent arrangements which invite additional exposure. By not having termination clauses that can withstand judicial scrutiny, employers may find themselves exposed to larger notice awards, especially in the context of long term workers.

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