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Labor & Employment Law

: Thoughts from a Management Lawyer

Refusal to Comply With Policy as Just Cause

By Michael Fitzgibbon

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This issue was considered by the Ontario Superior Court of Justice in Gordon v. Tubs Ultimate Bath Store. 

This was a constructive dismissal case where the plaintiff, a delivery driver, claimed that he had been constructively dismissed because he was being forced to take on a second job of packer and shipper.  The employer argued (successfully as it turned out) that the plaintiff was not being asked to take on a second job that would add 2-3 hours to his day, as he alleged, but that he was being asked to comply with a verification and sign off policy that the employer had implemented because of inventory issues.  The Court reviewed the evidence and concluded that the employee had been terminated "because he refused to comply with company policy that required him to sign off on product pick-ups."

The case is important in a number of respects not the least of which is that the court found that it was an implied term of the employee's employment agreement "that he would comply with all reasonable and appropriate company directives regarding the product delivery system."   In other words, implicit in most employment arrangement is the requirement of flexibility, rather than rigidity, in job duties.  That said, there are cases where an addition or diminution of duties and responsibilities could trigger a constructive dismissal.  This was not one of those cases. 

Furthermore, the court found that:

The case law is clear that willful disobedience on a matter of substance can be just cause for dismissal and that no notice is needed when the employee refuses to obey or carry out a company policy that he well knows is necessary to achieve the employer?s objective.

Again, sometimes warnings are required, as the plaintiff argued in this case, before terminating for just cause.  This was not one of those cases, according to the court.

Clearly communicating the expectations is key to invoking just cause on the basis of disobedience.  These are not easy cases but the evidence in this case was quite polarized and the court had to chose between the conflicting versions of events.

Full post as published by Thoughts from a Management Lawyer on June 09, 2009 (boomark / email).

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