Hi,
I have been at my current position for 12 years and am considering applying for LTD. If after 2 years I am unable to satisfy the “any occupation” condition of the LTD benefit and lose my LTD. If I try to return to my old job and they no longer want me or have gotten rid of my position, will I be able entitled to collect a severance package, or EI? I am assuming I would have been away from work for the STD term of 4 months plus 2 years of LTD at that time.
You would not be able to apply for EI if you have been out of the workforce for two years. In Canada, there is no automatic right to severance pay in this type of situation. Even after the two years, assuming you still have limitations due to a medical condition or disability, then your employer would have the legal obligation to try and accommodate you to other jobs within the company.
Hi,
Thank you for your response. So at what point does the relationship between an employee and his employer become “frustrated”? Is it variable based on the employer, employee, or is there a fixed length of time.
Thanks again
Mike
Generally it is 2-4 years, with most employers waiting for 4 years so there is no doubt. It is considered on a case by case basis. “Frustration of Employment” is a legal principle that allows an employer to unilaterally terminate employment after a certain amount of time due to the employees inability to perform employment duties, even after reasonable accommodations. This principle will not necessarily apply if you are in a unionized employment. In those cases, the collective agreement will dictate the conditions under which employment can end.
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