N.B. court upholds record $2M payout to fired Horizon CEO Dr. John Dornan
CBC
The New Brunswick government has lost its bid to have a $2 million payout to the fired head of Horizon Health Network quashed.
A Court of King's Bench judge has upheld a labour arbitrator's decision in the case of Dr. John Dornan.
"On the issues raised by the employer in this matter, namely consideration, mitigation, and aggravated damages, I am not persuaded that the adjudicator issued an unreasonable decision," Justice Kathryn Gregory wrote in her 20-page decision issued Tuesday.
"Nor were there errors made relating to procedural fairness or jurisdiction," Gregory said, awarding Dornan costs of $4,000 plus HST and "reasonable disbursements."
Dornan declined an interview Wednesday, but did email a written statement.
"We knew the action taken by Premier [Blaine] Higgs' office related to my premature dismissal was wrong and without merit," the statement said.
"The fact that these actions have been proven to be wrong and without merit by a reasonable and fair judicial process brings a level of transparency to the type of thinking inside the Premier's Office.
"Their lack of consideration and respect for an engaged creative and successful leader with 45 years of education and innovation sends an insincere and dubious message."
Dornan served as president and CEO of Horizon for only four months of his five-year contract when Higgs announced his firing during a news conference July 15, 2022.
It was part of a larger shakeup of New Brunswick's health-care leadership that saw the health minister replaced and the boards of both Horizon and Vitalité removed.
Higgs cited a growing health-care crisis that included the "traumatizing" death of a patient on July 12 in the waiting room of the Dr. Everett Chalmers Regional Hospital's emergency department.
Dornan filed for unjust dismissal under the Public Service Labour Relations Act.
In February, adjudicator George Filliter awarded Dornan special damages of about $1.8 million, representing the value of lost salary, pension contributions and health benefits, plus $200,000 in aggravated damages for "breach of the employer's implied obligation to act in good faith when dismissing him."
It was the largest employment compensation award in the province's history, according to Dornan's lawyers.
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