Changes to remote work arrangement, bonus add up to constructive dismissal

Verbal agreement with previous company still valid 22 years later: Court
By Jeffrey Smith
|Canadian HR Reporter|Last Updated: 06/25/2018

An Ontario company constructively dismissed a long-time employee when it unilaterally changed her 22-year work-from-home arrangement and dramatically reduced her last quarterly bonus, the Ontario Superior Court of Justice has ruled.

Rosemary Hagholm, 60, began working at MicroAge, an IT services company based in Toronto, in 1982. After 10 years, she quit because she had moved to Waterloo, Ont., more than 100 kilometres away.

Two years later, a vice-president at MicroAge asked Hagholm if she would come back on a six-month contract. Hagholm agreed to the temporary position. However, at the end of the contract, she was offered a full-time position.