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Wrongful Dismissal 7 min read

The Bardal Factors: How Ontario Courts Actually Calculate Wrongful Dismissal Notice Periods

Mira Okafor, Employment Law Analyst · March 15, 2025

Summary

Every wrongful dismissal case in Canada starts with the same 1960 test — and most employees have no idea how it works. Here’s why the four Bardal factors matter more than any online calculator, and how recent Ontario courts have pushed notice periods past 24 months.

Here's what drives me crazy about the legal industry. Employees get terminated, panic, and Google "how much severance am I owed." They land on some calculator that spits out a number based on three inputs. They either accept a lowball offer because the calculator said it was fair, or they reject a reasonable one because the calculator said they deserved more. Either way, the calculator was guessing.

At Blackline, we use AI to do what AI is actually good at: pattern-matching across thousands of decided cases to identify the range of likely outcomes for your specific combination of factors. Not a single number. A range. With the cases that support each end of that range. Then a human lawyer reviews it, challenges it, and applies judgment.

The Bardal test has survived for 65 years because it's fundamentally about judgment, not math. Courts got this right in 1960. Our job is to bring better tools to the judgment — not to replace judgment with tools.

— Ajay Krishnan, Founder

The Test That Governs Every Termination in Canada

In 1960, Chief Justice McRuer of the Ontario High Court decided Bardal v. Globe & Mail Ltd., 24 DLR (2d) 140 — and created the framework that Canadian courts still use today to determine how much notice a terminated employee deserves. That's over sixty years of jurisprudence built on a single paragraph.

Here's what McRuer wrote:

"There could be no catalogue laid down as to what was reasonable notice in particular classes of cases. The reasonableness of the notice must be decided with reference to each particular case, having regard to the character of the employment, the length of the service of the servant, the age of the servant and the availability of similar employment, having regard to the experience, training and qualifications of the servant."

Four factors. No formula. No spreadsheet. Just judicial discretion applied to the facts of each case. This is why employment law is more art than arithmetic — and why the severance calculator you found on Google is almost certainly wrong.

Factor One: Character of Employment

This is the factor most people overlook, and it's often the most important. "Character of employment" means: what did this person actually do? Were they a senior executive making strategic decisions, or a front-line worker following instructions?

Courts consistently award longer notice periods to employees in senior, specialized, or managerial roles. The reasoning is straightforward: a VP of Operations will have a harder time finding comparable work than a junior coordinator. The pool of available jobs shrinks as you move up the ladder.

In Hussain v. Suzuki Canada Inc., 2024 ONSC 1122, the Ontario Superior Court awarded a remarkable 26 months of reasonable notice to a long-serving senior employee. The character of the plaintiff's employment — a high-level role requiring deep institutional knowledge — was a significant driver of that outcome.

But it's not just about title. A highly specialized technical role with few comparable positions in the market can command longer notice just as effectively as a C-suite title. Courts look at the substance of what you did, not just what your business card said.

Factor Two: Length of Service

This is the factor everyone thinks is the only factor. It isn't. But it matters.

Longer service generally means longer notice. An employee with 25 years at one company has invested decades of career capital in a single organization. They've likely passed up other opportunities. Their skills may have narrowed. The market has moved on without them.

In Currie v. Nylene Canada Inc., 2022 ONSC 2042, the court awarded 26 months of notice to a long-tenured employee, recognizing that decades of service in a specialized manufacturing environment created a particularly difficult re-employment landscape.

However — and this is critical — short service doesn't necessarily mean short notice. An employee with two years of service who was recruited away from a stable position (known as "inducement" or "allurement") can receive notice that seems wildly disproportionate to their tenure. Courts regularly add the employee's previous tenure to the calculation when inducement is proven.

Factor Three: Age of the Employee

This factor reflects an uncomfortable truth: age discrimination in hiring is real, even if it's illegal. Courts know this. A 58-year-old terminated executive faces a fundamentally different job market than a 32-year-old in the same role.

Older employees consistently receive longer notice periods because courts recognize the empirical reality that re-employment becomes harder with age. This isn't speculation — it's borne out by employment data and decades of case law.

The interplay between age and the other factors is where things get interesting. A 60-year-old senior manager with 30 years of service in a niche industry is essentially looking at the maximum end of the notice spectrum. In Lynch v. Avaya Canada Corporation, 2023 ONCA 696, the Ontario Court of Appeal upheld a substantial notice period where the combination of age and specialized experience made re-employment particularly challenging.

Factor Four: Availability of Similar Employment

This is the market reality check. Even if you're young with short service, if your industry just collapsed or your specialization is obsolete, courts will extend your notice period.

This factor has become increasingly important in recent years. Industry disruptions, technological displacement, and economic downturns all feed into this analysis. Courts will consider evidence about the actual job market — not theoretical availability, but real postings, real hiring data, and real-world job search experiences.

The COVID-19 pandemic made this factor particularly potent. Employees terminated during lockdowns could argue — often successfully — that the availability of similar employment had essentially evaporated, justifying longer notice periods than the other factors alone might suggest.

Why Online Severance Calculators Are Wrong

Here's the fundamental problem with every severance calculator on the internet: they treat the Bardal factors as a formula. They're not.

These calculators typically take your age, salary, years of service, and job title, then output a number. But they all make the same mistake — they assume that these factors interact in a predictable, linear way.

They don't. The Bardal factors are guidelines, not inputs to an equation. A court might weigh one factor heavily in one case and discount it in another, depending on the overall circumstances.

In Wallace v. United Grain Growers Ltd., [1997] 3 SCR 701, the Supreme Court of Canada held that bad faith conduct in the manner of dismissal could extend the notice period. Although the specific mechanism was later modified by Honda Canada Inc. v. Keays, 2008 SCC 39 — which held that damages for bad faith are now assessed separately rather than by extending notice — the principle remains: how you're fired matters, not just that you're fired.

No calculator can account for the quality of the employer's conduct, the specific competitive dynamics of your sub-industry, or the subjective assessment a particular judge will make about your re-employability.

The 24-Month "Cap" That Isn't a Cap

For years, employment lawyers operated under the assumption that 24 months was the practical ceiling for reasonable notice. This was never a legal rule — it was a pattern in the case law that hardened into conventional wisdom.

Recent Ontario decisions have shattered that assumption. In Hussain v. Suzuki Canada Inc., 2024 ONSC 1122, the court awarded 26 months. In Currie v. Nylene Canada Inc., 2022 ONSC 2042, the court also went to 26 months. These aren't anomalies — they're a trend.

The decisions reflect a judiciary that's willing to look at the real-world consequences of termination rather than adhering to artificial limits.

What This Means for You

If you've been terminated, the first thing you should do is resist the urge to Google "severance calculator." The statutory minimums under the Ontario Employment Standards Act, 2000 — which cap out at eight weeks of notice — are just that: minimums. Common law reasonable notice routinely exceeds these floors by multiples.

The gap between statutory minimum and common law entitlement is where most of the money is. An employee with 15 years of service might be entitled to 8 weeks under the ESA but 18 months at common law. That's not a rounding error — it's the difference between two months of pay and a year and a half.

Understanding the Bardal factors is the first step. But applying them to your specific situation requires professional analysis. The four factors have been cited in hundreds of decisions since 1960, and the interplay between them shifts with every case. And no algorithm can tell that story for you.

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This article is for informational purposes only and does not constitute legal advice. Attorney-client relationships form only through a signed engagement agreement after a conflict check.

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