Today's decision in Clarke v. Insight Components (Canada) Inc., 2008 ONCA 837 holds that a clear contract limiting several to the minimum statutory amounts is binding.
This is an important victory for employers.
The relevant contract clause upheld provides:
Termination of Employment – Your employment may be terminated for cause at any time in which event you shall be entitled to only the amount of your salary and vacation pay earned up to the effective date of termination. Your employment may be terminated without cause for any reason upon the provision of reasonable notice equal to the requirements of the applicable employment or labour standards legislation. By signing below, you agree that upon the receipt of your entitlements in accordance with this legislation, no further amounts will be due and payable to you whether under statute or common law.
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