Ontario woman awarded $29,000
Blondeau v. Holiday Ford Sales (1980) Ltd., 2005 CarswellOnt 1187 (Ont. C.A.)
A court has awarded $29,000 to an ex-employee of an automobile dealership who was not given her job back when she returned from stress leave.
Carol Blondeau worked for more than 14 years as a service advisor for Holiday Ford Sales. She experienced family tragedies in 2000 and 2001 and in April 2001 took stress leave. She received short-term and then long-term disability payments from Holiday Ford’s insurance carrier.
Two months into her leave she was told she had been replaced as a service advisor and on her return another such position would be created. In October she was told the company did not have another service advisor position and she could gradually return to work in the parts department. Blondeau said she felt “shocked” and “devastated” and sought legal advice. Her attorney told the company if she didn’t return to her former job it would be regarded as constructive dismissal.
Holiday Ford replied with a one-line letter that she was to return to her former job at the same rate of pay on the morning of Oct. 22, 2001. David Edgerton, the general manager, phoned to confirm the letter. He complained at having to buy a new computer and abruptly ended the conversation.
When she reported for work Edgerton turned around as if to avoid her. The service manager greeted her by saying, “Don’t look at me. I don’t have any room for you.” For three days she was given menial duties that didn’t involve contact with customers. She met with Edgerton who told her there would be no service advisor position for her unless an existing advisor left. He told her she would be paid $10 an hour. This was roughly what she’d earned before, but with no chance to earn commissions. In the previous year commissions made up $13,340 of her $34,140 income.
Blondeau filed an action. She lost and Holiday Ford was awarded costs of $35,000 plus disbursements.
The Ontario Court of Appeal set aside the lower court’s judgment. The lower court judge said Blondeau, “does not really wish to return to work.” This conclusion was not supported by the evidence, ruled the appeal court. She may have been precipitous in seeking legal advice, but Holiday Ford knew she had been on stress leave for a long period of time and was obviously in a vulnerable position. She “clearly… wanted to return to her former job at the same rate of pay,” the court said.
The company had breached its promise that Blondeau would be allowed to return to her former job at the same rate of pay. This was a unilateral change to the fundamental terms of Blondeau’s employment and thus constructive dismissal, ruled the court.
She was awarded 10 months’ notice plus expenses incurred in trying to mitigate her damages. In addition she was awarded $8,500 for court costs, and $35,000 (plus disbursements and GST) for the original case.
A court has awarded $29,000 to an ex-employee of an automobile dealership who was not given her job back when she returned from stress leave.
Carol Blondeau worked for more than 14 years as a service advisor for Holiday Ford Sales. She experienced family tragedies in 2000 and 2001 and in April 2001 took stress leave. She received short-term and then long-term disability payments from Holiday Ford’s insurance carrier.
Two months into her leave she was told she had been replaced as a service advisor and on her return another such position would be created. In October she was told the company did not have another service advisor position and she could gradually return to work in the parts department. Blondeau said she felt “shocked” and “devastated” and sought legal advice. Her attorney told the company if she didn’t return to her former job it would be regarded as constructive dismissal.
Holiday Ford replied with a one-line letter that she was to return to her former job at the same rate of pay on the morning of Oct. 22, 2001. David Edgerton, the general manager, phoned to confirm the letter. He complained at having to buy a new computer and abruptly ended the conversation.
When she reported for work Edgerton turned around as if to avoid her. The service manager greeted her by saying, “Don’t look at me. I don’t have any room for you.” For three days she was given menial duties that didn’t involve contact with customers. She met with Edgerton who told her there would be no service advisor position for her unless an existing advisor left. He told her she would be paid $10 an hour. This was roughly what she’d earned before, but with no chance to earn commissions. In the previous year commissions made up $13,340 of her $34,140 income.
Blondeau filed an action. She lost and Holiday Ford was awarded costs of $35,000 plus disbursements.
The Ontario Court of Appeal set aside the lower court’s judgment. The lower court judge said Blondeau, “does not really wish to return to work.” This conclusion was not supported by the evidence, ruled the appeal court. She may have been precipitous in seeking legal advice, but Holiday Ford knew she had been on stress leave for a long period of time and was obviously in a vulnerable position. She “clearly… wanted to return to her former job at the same rate of pay,” the court said.
The company had breached its promise that Blondeau would be allowed to return to her former job at the same rate of pay. This was a unilateral change to the fundamental terms of Blondeau’s employment and thus constructive dismissal, ruled the court.
She was awarded 10 months’ notice plus expenses incurred in trying to mitigate her damages. In addition she was awarded $8,500 for court costs, and $35,000 (plus disbursements and GST) for the original case.
