Reference no: EM133659202
Question
Olguin, age 55, had worked for Canac (a cabinet-maker) for almost 24 years when he was terminated on July 15, 2003, without cause, due to restructuring. At the time he was terminated, Olguin's position was "team leader." He was given the minimum (ESA) statutory payment of 31.79 weeks upon termination. Within two weeks, he got a job with Cartier Kitchens, but at significantly reduced pay ($42,000 compared to $68,000 per year) and with far fewer benefits. In late 2004, Olguin found out he had laryngeal cancer, and underwent a series of surgeries as a result. Unfortunately, the new employer did not offer disability coverage, and Canac had only provided him with eight weeks' disability coverage upon his dismissal. Olguin sued Canac for wrongful dismissal (failure to provide common law reasonable notice) and for compensation related to disability benefits. Canac conceded that Olguin was entitled to a longer reasonable notice period under common law. However, it argued that Olguin should have mitigated his potential damages by buying a replacement disability policy when he knew that Canac was not covering him for disability beyond the initial eight week period.
1. What period of notice, if any, is Olguin entitled to beyond the 31.79 weeks provided by Canac?
2. What additional damage entitlements, if any, does Canac owe Olguin?