The BC Court of Appeal has delivered an important reminder to employers considering a return-to-office mandate.
In Cressey Construction Corporation v. Parolin, 2026 BCCA 199 (“Cressey“), the Court upheld a finding that a long-standing work-from-home arrangement had become a binding term of an employee’s employment contract. When the employer required the employee to return to the office full-time without reasonable notice, the change amounted to constructive dismissal.
The case involved Tracy Parolin, who had worked for Cressey Construction for approximately 18 years. For several years, she had an approved arrangement that allowed her to work from home and maintain a flexible schedule. A new supervisor later required her to return to the office full-time without providing reasonable notice.
The Court found that working from home had become an essential term of Ms. Parolin’s employment, even though the arrangement was not necessarily set out in a formal written contract. The employer’s conduct and the parties’ established working relationship mattered.
Constructive dismissal can occur when an employer unilaterally makes a substantial change to an essential term of employment without the employee’s agreement or reasonable notice. A workplace arrangement does not remain a mere informal practice simply because it was never formally added to an employment agreement.
The Court also upheld a 19-month notice award. It found that Parolin had reasonably mitigated her losses after leaving Cressey, including by pursuing her own business ventures.
The decision does not necessarily mean that every employee who works remotely acquires a permanent right to work from home. Whether remote work has become a contractual term will depend on the circumstances, including how the arrangement was established, how long it continued, and how the parties treated it.
For employers, the practical message is straightforward: before requiring long-term remote employees to return to the office, review the employee’s actual working arrangement and consider whether reasonable notice or consent is required.
For employees, Cressey confirms that a long-standing, employer-approved remote-work arrangement may have greater legal significance than an informal policy or understanding might suggest.
The post-pandemic workplace continues to evolve. Cressey makes clear that employers need to consider not only what their written policies say, but also what the employment relationship has become in practice.
If you have questions about remote-work arrangements, constructive dismissal, or other employment law issues, please feel free to contact us for expert guidance.
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