Duty to Mitigate After Termination in Ontario
After a without-cause termination in Ontario, you generally must make reasonable efforts to find comparable work. Income from a new job may reduce what the employer owes, depending on timing and the settlement.
This article is general information for Ontario employees. It is not legal advice about your situation.
Key Takeaways
- What mitigation means in practice
- How new income affects severance
- Common mistakes
What mitigation means in practice
Keep records of job applications, recruiter outreach, and retraining efforts. Mitigation must be reasonable, not perfect.
How new income affects severance
If you start comparable work during the notice period, the employer may argue an offset. Lump-sum settlements sometimes address mitigation differently. Review offers with counsel via contact.
Common mistakes
Waiting too long to job search, or accepting a much lower role without advice, can hurt your position. Balance mitigation with health and family needs realistically.
Frequently asked questions
Common questions related to this topic.
Do I have to take the first job offered?
Not necessarily. Comparable role, pay, and location matter.
Does mitigation apply to ESA-only claims?
Mitigation concepts are central in common law wrongful dismissal claims.
What if I cannot work due to illness?
Medical limitations can affect what mitigation is reasonable.
Should I tell my lawyer about side income?
Yes. Transparency helps negotiate and avoid surprises later.
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General information for Ontario employees only. Not legal advice. ESA figures are statutory minimums; common law notice may differ. Your employment contract, union agreement, or role may change what you are owed. Confirm your situation with a lawyer before signing anything.