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Decision dramatically affects deductibility of mitigation earnings

Wednesday, September 13, 2017 @ 9:25 AM | By Nicole Simes

An employee is fired. She brings a wrongful dismissal action. She obtains new employment. Her new earnings are deducted from any damages owed. This duty to mitigate and the deductibility of mitigation earnings is central to employment law. As the Ontario Court of Appeal so plainly stated in Prinzo v. Baycrest Centre for Geriatric Care [2002] O.J. No. 2712, “[o]rdinary damages for wrongful dismissal are subject to a duty to mitigate on the part of the employee. The amounts earned in mitigation are deducted from the amount...