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LAW 529 (123)
Chapter 12

Chapter #12-Resignation and Retirement.docx

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Law and Business
LAW 529
Pnina Alon- Shenker

Chapter 12 ResignationRetirement There are 2 ways that the employment relationship may come to an end when the EE RESIGNS or RETIRIESRESIGNATION Resignation Should Be Formally AcceptedAbsent coercion voluntarily a letter of resignation is typically binding on an ERThere are cases where an EE may retract a written resignation up to the time that the ER formally communicates its acceptance of the letterTherefore its a good practice for an ER who wishes to accept a letter of resignation to send a letter to the EE confirming its acceptance of the EEs letter as soon as possible after receiving itResignation Must Be VoluntaryAn EE who gives an ER notice of resignation is not legally entitled to wrongful dismissal damagesonly the amounts owing to the EE are outstanding wages and vacation payTo be valid resignation must be voluntary for example if the ER give an EE a choice between resigning or being NOT VOLUNTARYER is required to to provide pay in lieu of dismissed the courts usually find that resignation is reasonable notice or show just cause for dismissalInferring Resignation from an Employees ConductResignation may be inferred from an EEs conduct for example EE leaves angrily a managers office sayingIm leaving dont expect me back ER then assumes the EE has resignedTo ensure the resignation becomes binding the ER should send the EE a letter formally accepting itCourts will not infer resignation when an EEs words are vague or equivocal unclearDismissing a Resigning EmployeeSometimes an ER who receives advance notice of an EEs resignation does not want the EE to work during the notice period EE may have access to sensitive business infoextensive contact with customersIf the ER reacts by dismissing the EE it has effectively fired that individual and may be liable for wrongful dismissal damagesAn ER who does not want a resigning EE to continue workingduring the notice pe
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