Does a court have to take into account pension payments received during the notice period?

Ontario, Canada


The following excerpt is from Dussault v. Imperial Oil Limited, 2018 ONSC 4345 (CanLII):

Therefore, I conclude that when assessing the difference in the value of the pension between the actual date of termination and the date on which the employment could have been terminated after proper notice, a court must take into account pension payments received during the notice period. Such payments influence whether a pension loss has occurred in the first place and must be given proper consideration. If, based on the early commencement of pension benefits, an employee's overall pension package is better off than it would have been had the employee completed a longer term of employment, awarding damages under the guise of pension loss would serve to put the employee in a more favourable position under the employment contract than had he not been terminated. To award damages in such a case would undermine the fundamental principle of compensation recognized in wrongful dismissal cases, that a wronged employee is only entitled to be put in as good a position as he would have been in if there had been proper notice: Michaels v. Red Deer College (1975), 1975 CanLII 15 (SCC), [1976] 2 S.C.R. 324, 57 D.L.R. (3d) 386 at pp. 330-31 S.C.R., p. 390 D.L.R. [emphasis added]

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