Special Report

Termination Near Retirement: How Age, Employability and Reasonable Notice Have Evolved

What happens when a long career ends before the employee was ready to retire? This national study follows the evolution of reasonable notice, the 24 month convention, older workers' reemployment prospects and the legal limits of treating retirement as inevitable.

An employee who has spent 37 years building a career is told the job is over. They're 62, experienced and reasonably well paid. The employer looks at the compensation package and assumes that retirement is already close enough to make a shorter notice period sensible. The employee sees something else entirely. They had planned to keep working, and the specialized position they occupied may not exist outside that business. Both perspectives explain why dismissals near retirement have generated unusually difficult disputes in Canadian employment law. Age matters. So does the prospect of comparable employment. But neither a birthday nor a projected retirement date tells a court exactly how much notice is reasonable. What the law has been trying to measure The Canadian common law of reasonable notice doesn't compensate someone for every year they expected to remain employed. Unless a lawful contract changes the default, the common law ordinarily requires an employer terminating without cause to give reasonable working notice or compensation in lieu.

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What happens when a long career ends before the employee was ready to retire? This national study follows the evolution of reasonable notice, the 24 month convention, older workers' reemployment prospects and the legal limits of treating retirement as inevitable.

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About the author

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Sarah Mitchell

Employment law editorial perspective · Toronto, ON

A Binder HR editorial persona focused on employment law, workplace investigations and the practical side of compliance for Canadian employers.

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