When entering into an employment contract in Ontario, there are certain terms that are implied by law, regardless of whether or not they are specifically outlined in the contract itself. These implied terms are designed to protect both the employer and employee and ensure that the relationship between the two parties is fair and lawful.
Some of the most common implied terms of an employment contract in Ontario include the following:
1. Duty of Good Faith and Fidelity: Both the employer and employee have a duty to act in good faith towards one another and to not engage in any activity that may harm the other party.
2. Payment of Wages: Employers are required to pay employees for all work completed, in accordance with the minimum wage and overtime laws in Ontario.
3. Safe Working Conditions: Employers are responsible for providing a safe and healthy work environment for their employees.
4. Reasonable Notice of Termination: If an employer terminates an employee without cause, they must provide reasonable notice or pay in lieu of notice to the employee.
5. Non-Discrimination: Employers cannot discriminate against employees on the basis of gender, race, religion, age, or any other protected characteristic.
6. Duty of Confidentiality: Employees are required to keep confidential any sensitive information they may come across in the course of their employment.
7. Duty to Mitigate: If an employee is terminated without cause, they have a duty to mitigate their losses by actively seeking new employment.
It is important to note that while these terms are implied by law, they can be modified or excluded by an express term in the employment contract. For example, an employer may include a termination clause in the contract that specifies a particular notice period or severance amount.
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In conclusion, when entering into an employment contract in Ontario, it is important to be aware of the various implied terms that apply by law. By understanding these terms, both employers and employees can ensure that their relationship is fair and lawful, and that their rights and obligations are protected.
