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Avoid ‘Inducement’ Risks When Recruiting Employees from Other Companies

Safety orientation training for new and young workers is either a legal requirement or best practice.

Sometimes the best person for a job works at another company. Wooing these people is part of capitalism. But it also carries legal risks, especially if things don’t work out and you end up firing the recruit. The risk stems from a legal rule called inducement and here’s what you can do to manage it.
The Law of Inducement
If you have just cause to fire the employee you recruited from another company, you can stop reading. Inducement is a concern only when termination is without cause, in which case courts may extend the termination notice period. Result: Higher damages.

Making employers pay extra notice for firing employees they induced from secure jobs became official law in the famous Wallace case of 1997, where a Manitoba grain company fired a salesman with a stellar record right after assuring him that his position was secure. The Supreme Court of Canada found the terminatio...

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