Summary of Issue: Gross Amount

Decision 40577 Full Text of Decision 40577

Claimant was laid-off and was paid an amount of $ 1363. as vac. pay. He points out that the amount paid to him was not $ 1363. but $ 986. after deducting taxes. Umpire ruled that in terms of the amount per se, it is clear that the earnings for purposes of the Regulations are made up of the gross amount without regard to the appropriate deduction.

Decision 39923 Full Text of Decision 39923

UI Reg. 57(2)(a) is very clear, it is the "entire income" of a claimant which is to be allocated and not the "net amount". Jurisprudence has confirmed that it is an error to exclude deductions for income tax and like items from the earnings.

Decision 21517 Full Text of Decision 21517

Upon signing off his recall rights, severance pay became payable under the Ontario Employment Standards Act minus SUB paid to the employee during the layoff. The only amount payable by the employer as severance pay was the sum of $1,718 and not $3,577.

Decision A-0313.89 Full Text of Decision A-0313.89

He conceded that he has now accepted the amount and that 20% was deducted for taxes. It is the amount before deductions (save for legal expenses if any) which is allocated, said the Umpire. The monies were subject to allocation exactly as they may have been prematurely allocated.

Decision 16500 Full Text of Decision 16500

Refer to: A-0313.89

Decision 16493 Full Text of Decision 16493

Claimant appealed stating $300 had been deducted for income tax so he did not receive $918 as vacation pay. It is clear that the gross pay is what must be allocated, not the net after deductions.

Decision A-0866.87 Full Text of Decision A-0866.87

The Umpire excluded source deductions for income tax and like items from the earnings awarded following action for wrongful dismissal. That was a clear error; see MCCOMBE.

Decision 14091 Full Text of Decision 14091

Refer to: A-0866.87