Does your length of service affect your severance?
Severance and your length of service. Does it matter?
Do lawyers and human resource professionals take into account your length of service when calculating your severance? The short answer is yes.
One of the leading wrongful dismissal case that deals with this is the case of Ansari v. British Columbia Power Authority where the court said ” For reasons which are largely subjective and which I would not presume to disturb, the law requires a longer notice period for a long-term employee even though discharged employees of the same age, skill and responsibility suffering under the same economic factors must be assumed to require an equal period to obtain equivalent employment. The reasons for this anomaly may be that a long-term employee has a moral claim which has matured into a legal entitlement to a longer notice period. “
In summary – the length of service as a variable does however have a functional aspect to it – the longer you work for your employer the more difficult it is to find alternate employment.
Always remember – we try not to calculate reasonable notice (employee payout at termination) by using a rule of thumb. We always try and consider all relevant factors – and weight those factors in determining how much severance should be paid.