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April pay cut is constructive dismissal – The Lawyer’s Daily

It doesn’t seem like it’s been over a year, but on April 2, 2020, my article in The Lawyer’s Daily was titled Constructive dismissal and COVID-19. In that post, I wrote that “How our courts will treat this unprecedented situation in the future remains to be seen.”

Here we are a year later, and although we have not yet seen a judicial decision on whether a temporary layoff will be a constructive dismissal during a pandemic, we do have one which confirms that reducing an employee’s pay between 16 per cent and 20 per cent is a constructive dismissal.

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