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Judge rules layoff due to COVID was actually constructive dismissal — opening the door for a ‘huge number’ of laid-off workers to sue their employers – Toronto Star

A recent ruling by an Ontario judge confirmed what some employment lawyers have been saying for more than a year — that many businesses may have actually constructively dismissed their employees when enacting temporary layoffs, putting themselves on the hook for severance pay.

Last March, when employers were doing temporary layoffs during a time of uncertainty, Toronto employment lawyer Stuart Rudner told the Star that many of those layoffs might actually be constructive dismissals, meaning the employer had essentially terminated the employee and would owe them severance.

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