19 March 2019 External T.I. 2018-0748731E5 - Taxation of Settlement Amounts -- summary under Paragraph 6(1)(a)

Before concluding that lump-sum awards that the Labour Board ordered an employer to pay to employees for having committed an unfair labour practice would likely “constitute non-taxable damages that are excluded from income,” CRA noted that the awards were made pursuant to a provision of the applicable Labour Relations Act that was “limited to situations where an employee has not otherwise suffered a loss of income, benefits, etc. as a result of the unfair labour practice.”