Employment Contract with 12 Month Termination Clause Trumps Two Year Secondment Agreement:

In Nader v. University Health Network, 2022 ONSC 447 Justice Black had a situation where the employee was hired under an indefinite term with a 12 month termination clause. During the course of his employment he was seconded to another institution under a two year secondment agreement between the employer and another health care entity. The secondment agreement was terminated by the non employer entity and since the employer had no vacancies they terminated him and eventually paid out his 12 month termination pay.

The balance remaining in the two year secondment agreement exceeded 12 months so the Plaintiff claimed that the Secondment Agreement prevailed.

In finding that the employment contract prevailed the Judge said :

[57] These cases appear to confirm that, against the backdrop of a continuing employment agreement, pursuant to which the original employer evinces an intention to remain the employer and retain responsibility for salary and benefits, a secondment agreement is not itself an employment agreement, but something other, and in its own category.

If you wish a copy of the case email me at barry@barryfisher.ca