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                                                                   EXHIBIT 10.32

                              EMPLOYMENT AGREEMENT

            THIS EMPLOYMENT AGREEMENT made as of the first day of February,
2002.

B E T W E E N

            VISIBLE GENETICS INC., a corporation duly
            incorporated under the laws of the Province
            of Ontario and having its head office in the
            City of Toronto, in the Province of Ontario

            hereinafter referred to as the "VGI"

            - and -

            VISIBLE GENETICS CORPORATION, a
            corporation duly incorporated under the laws
            of the State of Delaware and having its
            principal office in the City of Suwanee in the
            State of Georgia

            hereinafter referred to as the "EMPLOYER"

            - and -

            TIMOTHY W. ELLIS, an individual
            resident in the City of Clifton, in the
            Commonwealth of Virginia hereinafter
            referred to as the "EXECUTIVE"

WHEREAS the Executive has been employed by the Employer since November 1, 1999;

AND WHEREAS the Employer and Executive wish to confirm the terms and conditions
of that employment and to set out the terms and conditions of the employment on
an ongoing basis;

AND WHEREAS the Employer is a wholly owned subsidiary of VGI;

The parties agree as follows:

1.     POSITION, DUTIES AND REMUNERATION

1.1    The Executive shall serve as the Chief Operating Officer of the Employer.
       At the request

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       of VGI, the Executive also shall serve as the Chief Operating Officer of
       VGI. The Executive will be paid an annual salary of two hundred twenty
       five thousand dollars (US $225,000) in equal monthly installments.

1.2    In addition to salary, for the performance of his services hereunder, the
       Executive shall be entitled to participate in all of the Employer's
       benefit plans generally available to its Executives of equal rank,
       including the Employer's bonus plan and the Employer's group, life,
       medical, dental, hospital, long-term disability, accidental death and
       dismemberment insurance benefit plans. In the event the Employer adopts
       any new benefit plans, pensions or perquisites, the Executive shall have
       the right to participate on a basis equivalent to other Executives of
       equal rank to the Employer. All plans shall be administered and governed
       by their respective terms.

1.3    The Executive agrees to perform faithfully the duties inherent in the
       position and all other lawful instructions and duties as the Employer may
       from time to time reasonably require.

1.4    The Executive agrees to use his best efforts to promote the interests of
       the Employer and its affiliates, including VGI, to devote his full time
       and attention to the business of the Employer and VGI and to adhere to
       the instructions and directives of the Employer.

1.5    During the term of his employment, the Executive agrees to refrain from
       engaging in any activity which will in any manner, directly or
       indirectly, compete with the trade or business of VGI or the Employer or
       any other affiliate of VGI.

1.6    During the term of his employment, the Executive agrees not to possess or
       acquire, directly or indirectly, any interest in any firm, partnership,
       association or corporation, the business operations of which will in any
       manner, directly or indirectly, compete with the business of VGI, the
       Employer or any other affiliate of VGI other than as a stockholder
       holding no greater than one per cent (1%) of a public company whose
       shares are listed for trading on a recognized stock exchange or traded on
       the over-the-counter market.

1.7    The Employer agrees in its sole discretion to review the salary and
       benefits payable to Executive hereunder annually.

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2.     EMPLOYMENT CONDITIONS

2.1    The Executive agrees to adhere to and abide by the Employer's policies,
       as amended from time to time, regarding holidays, sick leave, hospital
       insurance, and other fringe benefits.

3.     TERMINATION OF EMPLOYMENT

3.1    This Agreement and the employment of the Executive may be terminated by
       the Employer for any reason upon prior written notice and payment of an
       amount equal to twelve (12) months' salary at the rate in effect at the
       time of termination plus one (1) additional month for each full year of
       employment with the Employer after November 1, 2000, but in no event more
       than a total of eighteen (18) months salary ("Termination Payment"). Such
       amount shall be paid as a lump sum payment subject to all statutory
       deductions within thirty (30) days following termination.

3.2    The Executive may be dismissed at any time by the Employer for Cause. For
       purposes of this Article 3, "Cause" means the Executive (a) fails in any
       material respect to perform his obligations hereunder as provided herein,
       provided that such Cause shall not exist unless the Employer shall first
       have provided the Executive with written notice specifying in reasonable
       detail the factors constituting such material failure and such material
       failure shall not have been cured by the Executive within 10 days after
       such notice; (b) has been convicted of a felony or has entered a plea of
       guilty or NOLO CONTENDERE with respect thereto; (c) has committed any act
       in connection with his employment with the Employer which involved fraud,
       misappropriation of funds, or breach of fiduciary duty to the Employer or
       any affiliate thereof; or (d) has breached in any material respect any of
       the provisions of the Confidentiality, Invention Agreement and
       Non-Compete Agreement between the Executive and the Employer dated
       November 1, 1999.

3.3    The employment of the Executive may be terminated by the Executive for
       any reason upon prior written notice to the Employer of one hundred
       twenty (120) days.

3.4    Unless Article 4 hereof is applicable, upon the termination of this
       Agreement and on termination of the employment of the Executive, whether
       upon notice or otherwise, the

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       Executive shall have no claim against the Employer for any further
       liability to make payments in connection with the termination of the
       Executive's employment, other than those arising from this Article 3.

3.5    Provided the Executive submits reasonably detailed receipts or other
       supporting documentation to the Employer, the Employer shall reimburse
       the Executive for all proper and reasonable out-of-pocket expenses
       actually incurred by the Executive in the performance of his duties
       hereunder.

4.     CHANGE OF CONTROL AND RETENTION BENEFITS

4.1    DEFINITIONS.

For the purposes of this Article 4, the following terms shall have the meaning
set out below:

       (a)  "2001 Compensation" shall mean the Executive's gross base salary
            paid to him in calendar year 2001, plus the gross amount of any cash
            bonuses paid to the Executive in calendar year 2001.

       (b)  "Cause" shall mean the Employer's right to terminate the Executive's
            employment on the basis of (i) the Executive's willful and continued
            failure to substantially perform his material duties of employment
            provided that the Employer shall have first provided the Executive
            with written notice specifying in reasonable detail the factors
            constituting such failure and such failure shall not have been cured
            within thirty (30) days after such notice; (ii) any commission of an
            act of fraud, misappropriation, or embezzlement with respect to the
            business or property of the Employer which is intended to result in
            substantial personal enrichment of the Executive or causes material
            harm to the Employer, or (iii) the Executive's conviction of, or
            plea of guilty or NOLO CONTENDERE to, a felony; PROVIDED, HOWEVER,
            the Executive shall not be terminated for Cause unless and until
            there shall have been delivered to the Executive a copy of a
            resolution duly adopted by the affirmative vote of not less than
            three-quarters of the entire membership of the Employer's (or its
            successor's) Board of Directors (the "Board") at a meeting of the
            Board called and held for such purpose, finding that,

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            in the good faith opinion of the Board, the Executive was guilty of
            the alleged conduct and specifying the particulars thereof in
            detail; PROVIDED, FURTHER, that the Executive must have received a
            minimum 30-day notice of such Board meeting and the detailed
            allegations against the Executive, and that the Executive has been
            provided the opportunity, together with the Executive's counsel, to
            be heard before the Board in opposition to the alleged conduct.

       (c)  "Change in Control" shall mean the happening of any one of the
            following events:

            (i)    Upon the acquisition by any person, entity or "group," within
                   the meaning of Section 13(d)(3) or 14(d)(2) of the Securities
                   Exchange Act of 1934 (the "Exchange Act") (other than an
                   acquisition by VGI, the Employer, or any Subsidiary or any
                   employee benefit plan of VGI, the Employer or any Subsidiary)
                   of beneficial ownership (within the meaning of Rule 13d-3
                   promulgated under the Exchange Act) of fifty percent (50%) or
                   more of either the then outstanding shares of common stock of
                   the Employer or VGI, or the combined voting power of either
                   the Employer's or VGI's then outstanding voting securities,
                   entitled to vote generally in the election of directors;

            (ii)   If individuals who constitute the Board of Directors of the
                   Employer or VGI as of the date hereof (each an "Incumbent
                   Board") cease for any reason to constitute at least a
                   majority of such Board of Directors, provided that any person
                   becoming a member of the Board of Directors of either the
                   Employer or VGI subsequent to the date hereof whose election,
                   or nomination for election by the Employer's or VGI's
                   shareholders, was approved by a vote of at least a majority
                   of the directors then comprising the respective Incumbent
                   Board (other than an election or nomination of an individual
                   whose initial assumption of office is in connection with the
                   actual or threatened election contest relating to the
                   election of the directors of the Employer or VGI, as such
                   terms are used in Rule 141-11 of Regulation 14A promulgated
                   under the Exchange act) shall be, for

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                   purposes of this Agreement, considered as though such person
                   were a member of such Incumbent Board; or

            (iii)  Upon approval of the stockholders of the Employer or VGI of
                   (A) a reorganization, merger or consolidation, in each case,
                   with respect to which persons who were shareholders of the
                   Employer or VGI immediately prior to such reorganization,
                   merger or consolidation do not, immediately thereafter, own
                   more than fifty (50%) of the combined voting power entitled
                   to vote generally in the election of directors of the
                   reorganized, merged or consolidated company, (B) a
                   liquidation or dissolution of the Employer or VGI (other than
                   a liquidation or dissolution in connection with a bankruptcy
                   or insolvency or similar event of the Employer or VGI, or a
                   liquidation or dissolution in which shareholders of the
                   Employer or VGI receive less than a total of US $75 million
                   in connection with such liquidation or dissolution), or (C)
                   the sale of all or substantially all of the assets of the
                   Employer or VGI.

       (d)  "Change of Control Benefit" shall have the meaning set forth in
            Section 4.2 hereof.

       (e)  "Retention Benefit" shall have the meaning set forth in Section 4.3
            hereof.

       (f)  "Retention Benefit Payment Period" shall have the meaning set forth
            in Section 4.3 hereof.

       (g)  "Subsidiary" shall mean any person or entity of whom VGI or the
            Employer, directly or indirectly, owns fifty percent (50%) or more
            of the combined voting power entitled to vote generally in the
            election of directors.

       (h)  "Voluntary Termination" shall mean a voluntary termination of
            employment with the Employer by the Executive for reasons other than
            death or disability.

4.2    CHANGE OF CONTROL BENEFIT.

If the Executive is employed with the Employer on the date that a Change of
Control is deemed

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to be effective, the Executive shall be entitled to a cash payment equal to the
Executive's 2001 Compensation (the "Change of Control Benefit"). The Employer
shall pay the Executive the Change of Control Benefit in a lump sum, less
applicable withholdings, within five (5) business days immediately following the
Change of Control. The payment of the Change of Control Benefit shall be in
addition to the payment of all salary and any other amounts otherwise payable to
the Executive under this Agreement, option agreement or other agreements with
the Employer or VGI or otherwise in connection with his employment by the
Employer whether pursuant to employee benefit plans or policies of the Employer
or any severance or other benefit available to the Executive under applicable
law.

4.3    RETENTION BENEFITS.

If the Executive is employed by the Employer or VGI's other Subsidiaries
following a Change of Control, the Executive shall be entitled to accrue a cash
benefit (the "Retention Benefit") provided the Executive remains employed for
one (1) or two (2) 90-day periods immediately following the Change of Control,
(the "Retention Benefit Payment Period"). The accrued quarterly Retention
Benefit shall be an amount equal to the Executive's 2001 Compensation, so that
if the Executive remains employed for the entire Retention Benefit Payment
Period, he would earn a Total Retention Benefit equal to two hundred percent
(200%) of his 2001 Compensation. The Retention Benefit shall be paid to the
Executive in two (2) installments as so earned: The first installment shall be
paid ninety (90) days following the date that a Change of Control is deemed to
be effective, provided that the Executive is so employed by the Employer, VGI or
a Subsidiary on the ninetieth (90th) following a Change of Control, and, if
applicable, a second and final installment shall be paid at the end of the
Retention Benefit Payment Period, provided, that the Executive is so employed as
of the final day of the Retention Benefit Payment Period. If the Executive's
employment with the Employer and VGI and Subsidiaries is terminated following a
Change of Control, but prior to the end of the second 90 day period for any
reason (including death or disability) other than a termination for Cause by the
Employer or a Voluntary Termination, the Employer shall pay the Executive the
full amount of the Retention Benefit that the Executive would have been entitled
to receive from the effective date of the Change of Control through the end of
the Retention Benefit Payment Period. The Employer shall pay such amount to the
Executive within five (5) business days following the termination of

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the Executive's employment. The payment of the Retention Benefit shall be in
addition to the payment of all salary and any other amounts otherwise payable to
the Executive under this Agreement or any option agreement or other agreements
with the Employer or VGI or otherwise in connection with his employment by the
Employer, VGI or one of its Subsidiaries whether pursuant to employee benefit
plans or policies of the Employer, VGI or one of its Subsidiaries, or any
severance or other benefit available to the Executive under applicable law.

4.4    LIMIT ON CHANGE OF CONTROL AND RETENTION BENEFITS.

Notwithstanding any other provision of this Article 4 to the contrary, if any
Retention Benefit payment or payments, or any portion of the Change of Control
Benefit payment, shall be deemed to be a "parachute payment" as defined in
section 280G(b)(2) of the Internal Revenue Code of 1986, as amended (the
"Code"), the Employer shall not be obligated to pay any portion of a Retention
Benefit payment or payments, or any portion of the Change of Control Benefit
payment, to the extent that any such payment or payments shall be deemed an
"excess" parachute payment to the Executive as defined in section 280G(b)(1) of
the Code and not deductible by the Employer in accordance with section 280G(a)
of the Code. Any abatement of payment obligations pursuant to this Section 4.3
shall commence with the last Retention Benefit payment that is earned and
accrued by the Executive pursuant to Section 4.4 hereof, and, if necessary,
shall continue with preceding Retention Benefit payment obligations in the order
of last accrued, first abated, with the Change of Control Benefit payment being
the last payment obligation to be abated, if necessary.

4.5    SUCCESOR LIABILITY.

Any successor to the Employer or VGI (whether directly or indirectly and whether
by purchase, lease, merger, consolidation, or otherwise) or to all or
substantially all of the Employer's or VGI's business and/or assets shall assume
the Employer's or VGI's respective obligations under this Article 4 and agree
expressly to perform the Employer's or VGI's respective obligations under this
Article 4 in the same manner and to the same extent as the Employer or VGI would
be required to perform such obligations in the absence of a succession. For all
purposes under this Article 4, the term "Employer" shall include any successor
to the Employer's business and/or assets and the term "VGI" shall include any
successor to VGI's business and/or assets.

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4.6    TERMINATION UNDER CERTAIN CIRCUMSTANCES.

       (a)  If the Executive's employment terminates for any reason prior to a
            Change in Control, the Executive shall not be entitled to any
            payment of a Change of Control Benefit or any Retention Benefits
            pursuant to this Article 4, but shall be entitled to any payment to
            which the Executive otherwise would be entitled under any other
            provision of this Agreement, under any options agreement or other
            agreements with Employer or VGI to the extent otherwise applicable,
            under the employer's then existing employee benefits plans or
            policies at the time of termination, and under any required
            severance benefits pursuant to applicable law, if any.

       (b)  If, following a Change in Control, the Executive is terminated by
            the Employer for Cause or the Executive has a Voluntary Termination,
            the Executive shall not be entitled to any payment of Retention
            Benefit under this Article 4 for any period following said
            termination, but shall be entitled to any payment to which the
            Executive otherwise would be entitled to under any other provisions
            of this Agreement, under any options agreement or other agreements
            with the Employer or VGI, to the extent otherwise applicable, under
            the Employer's then-existing employee benefit plans or policies at
            the time of termination, and under any required severance benefit
            pursuant to applicable law, if any.

4.7    TERMINATION OF ARTICLE 4.

The Board of the Employer and VGI shall have the right, in their sole
discretion, to terminate the provisions of this Article 4 effective as of
December 31 of any year of the term by delivery of written notice to the
Executive by no later than January 15 of the following year, provided however,
that if a Change of Control occurs prior to such December 31, or if the Employer
or VGI has entered into a binding agreement setting forth the material terms by
which the Change of Control will be effected prior to such December 31, this
clause shall have no force or effect.

4.8    NO DUTY TO MITIGATE.

The Executive shall not be required to mitigate the amount of any payment
contemplated by this

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Article 4, nor shall any such payment be reduced by any earnings that the
Executive may receive from any other source.

4.9    VGI PRIMARILY OBLIGATED.

VGI shall cause the Employer to perform all of the Employer's obligations under
this Article 4. If the Employer or VGI shall fail to perform, or shall otherwise
be in default of any obligations under this Article 4, the Executive shall have
the right to proceed against the Employer and/or VGI, or both of them, as the
primary obligor under this Article 4 in accordance with the provisions hereof.

4.10   WITHHOLDING.

       All payments made pursuant to this Article 4 shall be subject to
       withholding of applicable income and employment taxes.

5.     CONTRACT PROVISIONS

5.1    GOVERNING LAW.

The validity, interpretation, construction and performance of this Agreement
shall be governed by the internal substantive laws, but not the conflicts of law
rules, of the State of New York.

5.2    Resolution of Disputes.

       (a)  Any dispute or controversy arising out of, relating to, or in
            connection with this Agreement or the interpretation, validity,
            construction, performance, breach, or termination of this Agreement,
            shall be settled by binding arbitration to be held in New York
            County, New York and shall be conducted in accordance with the
            Expedited Employment Arbitration Rules of the American Arbitration
            Association, in effect at the time of the arbitration ("Rules"),
            supplemented, as necessary, by those principles which would be
            applied by a court of law or equity. The arbitrator may grant
            injunctions or other relief in such dispute or controversy. The
            decision of the arbitrator shall be final, conclusive and binding on
            the parties to the arbitration. Judgment may be entered on the
            arbitrator's decision in any court having jurisdiction.

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       (b)  The arbitrator(s) shall apply New York law to the merits of any
            dispute or claim, without reference to conflicts of law rules. The
            arbitration proceedings shall be governed by federal arbitration law
            and by the Rules, without reference to state arbitration law.

       (c)  Notwithstanding anything herein to the contrary, the parties may
            seek specific performance or injunctive relief with respect to the
            matters set forth in this Agreement in the United States District
            Court for the Southern District of New York or a state court located
            in New York County, New York. Each party (i) submits to the
            jurisdiction of any such arbitrator or court for the purpose of any
            such suit, action, or other proceeding, (ii) agrees that such claims
            in respect of any such suit, action or proceeding may be heard and
            determined before any such arbitrator or in any such court, (iii)
            waives, to the fullest extent permitted by law, any immunity it may
            have acquired, or hereafter may acquire, from jurisdiction of any
            such arbitrator or court or from any legal process therein, and (iv)
            agrees not to commence any such suit, action or proceeding other
            than before such arbitrator or in such court, and waives, to the
            fullest extent permitted by applicable law, any claim that any such
            suit, action or proceeding is brought in an inconvenient forum. Each
            party hereby irrevocably designates CT Corporation System, 111
            Eighth Avenue, New York, New York 10011 as agent upon whom process
            against it may be served for the purposes of this Agreement.

       (d)  EXECUTIVE HAS READ AND UNDERSTANDS THIS SECTION 5.2, WHICH DISCUSSES
            ARBITRATION. EXECUTIVE UNDERSTANDS THAT SUBMITTING ANY CLAIMS
            ARISING OUT OF, RELATING TO, OR IN CONNECTION WITH THIS AGREEMENT,
            OR THE INTERPRETATION, VALIDITY, CONSTRUCTION, PERFORMANCE, BREACH
            OR TERMINATION THEREOF TO BINDING ARBITRATION, CONSTITUTES A WAIVER
            OF EXECUTIVES RIGHT TO A JURY TRIAL AND RELATES TO THE RESOLUTION OF
            ALL DISPUTES RELATING TO AND ARISING FROM THIS AGREEMENT.

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5.3    HEADINGS.

The headings of the Sections herein are inserted for convenience of reference
only and shall not affect the meaning or construction hereof.

5.4    WITHHOLDING.

All payment under this Agreement shall be subject to withholding of such
amounts, if any, relating to tax or other payroll deductions as the Employer may
reasonably determine and should withhold pursuant to any applicable law or
regulation.

5.5    COUNTERPARTS.

This Agreement may be executed in counterparts, each of which shall be deemed to
be an original but all of which together shall constitute one and the same
instrument.

5.6    WAIVER.

The failure of any party to enforce its rights under this Agreement at any time
for any period shall not be construed as a waiver of such rights and a waiver
shall only be construed as such if made in writing signed by a duly authorized
representative of the waiving party.

5.7    SEVERABILITY.

If any provision of this Agreement or application of any such provision to any
person or circumstances shall be invalid under the law of any jurisdiction the
remainder of this Agreement or the application of such provision to persons or
circumstances other than those as to which it is invalid shall not be effected
thereby. In the event a court of competent jurisdiction rules any provision of
this Agreement to be invalid, then such ruling shall have no effect on the
remaining provisions of this Agreement and they shall continue in full force and
effect.

5.8    ENTIRE AGREEMENT.

This Agreement, contains the entire contract of Employment between the parties
hereto with respect to the subject matter of this Agreement, and supersedes and
replaces all previous negotiations, understandings and agreements whether verbal
or written with respect to any matters herein referred to. The parties
acknowledge that the provisions of the Confidentiality and

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Invention Assignment Agreement dated November 1, 1999 between Employer and the
Executive remains in full force and effect.

5.9    SURVIVAL.

The provisions of Articles hereof shall survive the termination of this
Agreement for the periods of time specified or contemplated therein.

5.10   DIRECTORS AND OFFICERS.

If the Executive is a director or officer at the relevant time, the Executive
agrees that after termination of his employment with the Employer for any
reason, he will, on the date of his termination, tender his resignation from any
position he may hold as an officer or director of the Employer or any of its
affiliated or associated companies.

5.11   NOTICES.

Notices and all other communications contemplated by this Agreement shall be in
writing and shall be deemed to have been duly given when personally delivered by
either FedEx of other reputable overnight courier service or by registered or
certified U.S. mail, return receipt requested. In the case of the Executive,
mailed notices shall be addressed to him at the home address which he most
recently communicated to the Employer in writing. In the case of the Employer,
mailed notices shall be addressed to its corporate headquarters, and all notices
shall be directed to the attention of its President, with a copy to Visible
Genetics Inc., 700 Bay Street, Toronto, Ontario, M5G ZG Canada, attention:
General Counsel. All notices to VGI shall be delivered to the foregoing address.
Notices shall be deemed deliverable and received upon receipt or refusal of
receipt.

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            IN WITNESS WHEREOF this Agreement is executed as of the day, month
and year first above written.

                                      )   VISIBLE GENETICS INC.
                                      )
                                         ---------------------------------------
                                      )   Per:
                                      )
                                      )
                                         ---------------------------------------
                                      )   Per:
                                      )
                                      )
                                      )
                                      )   VISIBLE GENETICS CORPORATION

                                         ---------------------------------------
                                          Per:

                                         ---------------------------------------
                                          Per:

                                         ---------------------------------------
                                          Timothy W. Ellis

                                       14<Page>

                                                                   EXHIBIT 10.33

                              EMPLOYMENT AGREEMENT

            THIS EMPLOYMENT AGREEMENT made as of the first day of February,
2002.

B E T W E E N

            VISIBLE GENETICS INC., a corporation duly
            incorporated under the laws of the Province
            of Ontario and having its head office in the
            City of Toronto, in the Province of Ontario

            hereinafter referred to as the "EMPLOYER"

            - and -

            MARGUERITE ETHIER, an individual
            resident in the City of Toronto, in the
            Province of Ontario hereinafter referred to
            as the "EXECUTIVE"

WHEREAS the Executive has been employed by the Employer since December 13, 1999;

AND WHEREAS the Employer and Executive wish to confirm the terms and conditions
of that employment and to set out the terms and conditions of the employment on
an ongoing basis;

The parties agree as follows:

1.      POSITION, DUTIES AND REMUNERATION

1.1     The Executive shall serve as the Vice President and General Counsel of
        the Employer. The Executive will be paid an annual salary of two hundred
        twenty thousand Canadian dollars (CDN $225,000) payable in accordance
        with the company's normal payroll policy.

1.2     In addition to salary, for the performance of her services hereunder,
        the Executive shall be entitled to participate in all of the Employer's
        benefit plans generally available to its Executives of equal rank,
        including the Employer's bonus plan and the Employer's group, life,
        medical, dental, hospital, long-term disability, accidental death and
        dismemberment insurance benefit plans. In the event the Employer adopts
        any new

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        benefit plans, pensions or perquisites, the Executive shall have the
        right to participate on a basis equivalent to other Executives of equal
        rank to the Employer. All plans shall be administered and governed by
        their respective terms.

1.3     The Executive agrees to perform faithfully the duties inherent in the
        position and all other lawful instructions and duties as the Employer
        may from time to time reasonably require.

1.4     The Executive agrees to use her best efforts to promote the interests of
        the Employer and its affiliates, to devote her full time and attention
        to the business of the Employer and to adhere to the instructions and
        directives of the Employer.

1.5     During the term of her employment, the Executive agrees to refrain from
        engaging in any activity which will in any manner, directly or
        indirectly, compete with the trade or business of the Employer or any of
        its affiliates.

1.6     During the term of her employment, the Executive agrees not to possess
        or acquire, directly or indirectly, any interest in any firm,
        partnership, association or corporation, the business operations of
        which will in any manner, directly or indirectly, compete with the
        business of the Employer or any of its affiliates other than as a
        stockholder holding no greater than one per cent (1%) of a public
        company whose shares are listed for trading on a recognized stock
        exchange or traded on the over-the-counter market.

1.7     The Employer agrees in its sole discretion to review the salary and
        benefits payable to Executive hereunder annually.

1.8     Provided the Executive submits reasonably detailed receipts or other
        supporting documentation to the Employer, the Employer shall reimburse
        the Executive for all proper and reasonable out-of-pocket expenses
        actually incurred by the Executive in the performance of her duties
        hereunder.

2.      EMPLOYMENT CONDITIONS

2.1     The Executive agrees to adhere to and abide by the Employer's policies,
        as amended from time to time, regarding holidays, sick leave, hospital
        insurance, and other fringe benefits.

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3.      TERMINATION OF EMPLOYMENT

3.1     This Agreement and the employment of the Executive may be terminated by
        the Employer for any reason upon prior written notice or payment of
        salary and benefits in lieu of notice for the Required Notice Period to
        be paid as a lump sum payment subject to all statutory deductions within
        thirty (30) days following termination. For purposes hereof, the
        "Required Notice Period" shall mean a period of twelve (12) months plus
        one (1) additional month for each full year of employment with the
        Employer after December 13, 2000.

3.2     The Executive may be dismissed at any time by the Employer for Cause.
        For purposes of this Article 3, "Cause" means the Executive (a) fails in
        any material respect to perform her obligations hereunder as provided
        herein, provided that such Cause shall not exist unless the Employer
        shall first have provided the Executive with written notice specifying
        in reasonable detail the factors constituting such material failure and
        such material failure shall not have been cured by the Executive within
        10 days after such notice; (b) has been convicted of a felony or has
        entered a plea of guilty or NOLO CONTENDERE with respect thereto; (c)
        has committed any act in connection with her employment with the
        Employer which involved fraud, misappropriation of funds, or breach of
        fiduciary duty to the Employer or any affiliate thereof; or (d) has
        breached in any material respect any of the provisions of the
        Confidentiality, Invention Agreement and Non-Compete Agreement between
        the Executive and the Employer dated December 13, 1999.

3.3     The employment of the Executive may be terminated by the Executive for
        any reason upon prior written notice to the Employer of one hundred
        twenty (120) days.

3.4     Unless Article 4 hereof is applicable, upon the termination of this
        Agreement and on termination of the employment of the Executive,
        whether upon notice or otherwise, the Executive shall have no claim
        against the Employer for any further liability to make payments in
        connection with the termination of the Executive's employment, other
        than those arising from this Article 3.

                                        3
<Page>

3.5     The parties have negotiated the duration of the notice period set out in
        Sections 3.1 and 3.3 and the period of notice forms a part of the
        consideration given by the Executive for her salary.

4.      CHANGE OF CONTROL AND RETENTION BENEFITS

4.1     DEFINITIONS.

For the purposes of this Article 4, the following terms shall have the meaning
set out below:

        (a)     "2001 Compensation" shall mean the Executive's gross base salary
                paid to her in calendar year 2001, plus the gross amount of any
                cash bonuses paid to the Executive in calendar year 2001.

        (b)     "Cause" shall mean the Employer's right to terminate the
                Executive's employment on the basis of (i) the Executive's
                willful and continued failure to substantially perform her
                material duties of employment provided that the Employer shall
                have first provided the Executive with written notice specifying
                in reasonable detail the factors constituting such failure and
                such failure shall not have been cured within thirty (30) days
                after such notice; (ii) any commission of an act of fraud,
                misappropriation, or embezzlement with respect to the business
                or property of the Employer which is intended to result in
                substantial personal enrichment of the Executive or causes
                material harm to the Employer, or (iii) the Executive's
                conviction of, or plea of guilty or NOLO CONTENDERE to, a
                felony; PROVIDED, HOWEVER, the Executive shall not be terminated
                for Cause unless and until there shall have been delivered to
                the Executive a copy of a resolution duly adopted by the
                affirmative vote of not less than three-quarters of the entire
                membership of the Employer's (or its successor's) Board of
                Directors (the "Board") at a meeting of the Board called and
                held for such purpose, finding that, in the good faith opinion
                of the Board, the Executive was guilty of the alleged conduct
                and specifying the particulars thereof in detail; PROVIDED,
                FURTHER, that the Executive must have received a minimum 30-day
                notice of such Board meeting and the detailed allegations
                against the Executive, and that the Executive has been provided
                the opportunity, together with the Executive's counsel, to be
                heard

                                        4
<Page>

                before the Board in opposition to the alleged conduct.

        (c)     "Change in Control" shall mean the happening of any one of the
                following events:

                (i)     Upon the acquisition by any person, entity or "group,"
                        within the meaning of Section 13(d)(3) or 14(d)(2) of
                        the Securities Exchange Act of 1934 (the "Exchange Act")
                        (other than an acquisition by VGI, the Employer, or any
                        Subsidiary or any employee benefit plan of VGI, the
                        Employer or any Subsidiary) of beneficial ownership
                        (within the meaning of Rule 13d-3 promulgated under the
                        Exchange Act) of fifty percent (50%) or more of either
                        the then outstanding shares of common stock of the
                        Employer or VGI, or the combined voting power of either
                        the Employer's or VGI's then outstanding voting
                        securities, entitled to vote generally in the election
                        of directors;

                (ii)    If individuals who constitute the Board of Directors of
                        the Employer or VGI as of the date hereof (each an
                        "Incumbent Board") cease for any reason to constitute at
                        least a majority of such Board of Directors, provided
                        that any person becoming a member of the Board of
                        Directors of either the Employer or VGI subsequent to
                        the date hereof whose election, or nomination for
                        election by the Employer's or VGI's shareholders, was
                        approved by a vote of at least a majority of the
                        directors then comprising the respective Incumbent Board
                        (other than an election or nomination of an individual
                        whose initial assumption of office is in connection with
                        the actual or threatened election contest relating to
                        the election of the directors of the Employer or VGI, as
                        such terms are used in Rule 141-11 of Regulation 14A
                        promulgated under the Exchange act) shall be, for
                        purposes of this Agreement, considered as though such
                        person were a member of such Incumbent Board; or

                (iii)   Upon approval of the stockholders of the Employer or VGI
                        of (A) a reorganization, merger or consolidation, in
                        each case, with respect to which persons who were
                        shareholders of the Employer or VGI

                                        5
<Page>

                        immediately prior to such reorganization, merger or
                        consolidation do not, immediately thereafter, own more
                        than fifty (50%) of the combined voting power entitled
                        to vote generally in the election of directors of the
                        reorganized, merged or consolidated company, (B) a
                        liquidation or dissolution of the Employer or VGI (other
                        than a liquidation or dissolution in connection with a
                        bankruptcy or insolvency or similar event of the
                        Employer or VGI, or a liquidation or dissolution in
                        which shareholders of the Employer or VGI receive less
                        than a total of US $75 million in connection with such
                        liquidation or dissolution), or (C) the sale of all or
                        substantially all of the assets of the Employer or VGI.

        (d)     "Change of Control Benefit" shall have the meaning set forth in
                Section 4.2 hereof.

        (e)     "Retention Benefit" shall have the meaning set forth in Section
                4.3 hereof.

        (f)     "Retention Benefit Payment Period" shall have the meaning set
                forth in Section 4.3 hereof.

        (g)     "Subsidiary" shall mean any person or entity of whom VGI or the
                Employer, directly or indirectly, owns fifty percent (50%) or
                more of the combined voting power entitled to vote generally in
                the election of directors.

        (h)     "Voluntary Termination" shall mean a voluntary termination of
                employment with the Employer by the Executive for reasons other
                than death or disability.

4.2     CHANGE OF CONTROL BENEFIT.

If the Executive is employed with the Employer on the date that a Change of
Control is deemed to be effective, the Executive shall be entitled to a cash
payment equal to the Executive's 2001 Compensation (the "Change of Control
Benefit"). The Employer shall pay the Executive the Change of Control Benefit in
a lump sum, less applicable withholdings, within five (5) business days
immediately following the Change of Control. The payment of the Change of
Control Benefit shall be in addition to the payment of all salary and any other
amounts otherwise payable

                                        6
<Page>

to the Executive under this Agreement, option agreement or other agreements with
the Employer or VGI or otherwise in connection with her employment by the
Employer whether pursuant to employee benefit plans or policies of the Employer
or any severance or other benefit available to the Executive under applicable
law.

4.3     RETENTION BENEFITS.

If the Executive is employed by the Employer or VGI's other Subsidiaries
following a Change of Control, the Executive shall be entitled to accrue a cash
benefit (the "Retention Benefit") provided the Executive remains employed for
one (1) or two (2) 90-day periods immediately following the Change of Control,
(the "Retention Benefit Payment Period"). The accrued quarterly Retention
Benefit shall be an amount equal to the Executive's 2001 Compensation, so that
if the Executive remains employed for the entire Retention Benefit Payment
Period, he would earn a Total Retention Benefit equal to two hundred percent
(200%) of her 2001 Compensation. The Retention Benefit shall be paid to the
Executive in two (2) installments as so earned: The first installment shall be
paid ninety (90) days following the date that a Change of Control is deemed to
be effective, provided that the Executive is so employed by the Employer, VGI or
a Subsidiary on the ninetieth (90th) following a Change of Control, and, if
applicable, a second and final installment shall be paid at the end of the
Retention Benefit Payment Period, provided, that the Executive is so employed as
of the final day of the Retention Benefit Payment Period. If the Executive's
employment with the Employer and VGI and Subsidiaries is terminated following a
Change of Control, but prior to the end of the second 90 day period for any
reason (including death or disability) other than a termination for Cause by the
Employer or a Voluntary Termination, the Employer shall pay the Executive the
full amount of the Retention Benefit that the Executive would have been entitled
to receive from the effective date of the Change of Control through the end of
the Retention Benefit Payment Period. The Employer shall pay such amount to the
Executive within five (5) business days following the termination of the
Executive's employment. The payment of the Retention Benefit shall be in
addition to the payment of all salary and any other amounts otherwise payable to
the Executive under this Agreement or any option agreement or other agreements
with the Employer or VGI or otherwise in connection with her employment by the
Employer, VGI or one of its Subsidiaries whether pursuant to employee benefit
plans or policies of the Employer, VGI or one of its Subsidiaries, or

                                        7
<Page>

any severance or other benefit available to the Executive under applicable law.

4.4     LIMIT ON CHANGE OF CONTROL AND RETENTION BENEFITS.

Notwithstanding any other provision of this Article 4 to the contrary, if any
Retention Benefit payment or payments, or any portion of the Change of Control
Benefit payment, shall be deemed to be a "parachute payment" as defined in
section 280G(b)(2) of the Internal Revenue Code of 1986, as amended (the
"Code"), the Employer shall not be obligated to pay any portion of a Retention
Benefit payment or payments, or any portion of the Change of Control Benefit
payment, to the extent that any such payment or payments shall be deemed an
"excess" parachute payment to the Executive as defined in section 280G(b)(1) of
the Code and not deductible by the Employer in accordance with section 280G(a)
of the Code. Any abatement of payment obligations pursuant to this Section 4.3
shall commence with the last Retention Benefit payment that is earned and
accrued by the Executive pursuant to Section 4.4 hereof, and, if necessary,
shall continue with preceding Retention Benefit payment obligations in the order
of last accrued, first abated, with the Change of Control Benefit payment being
the last payment obligation to be abated, if necessary.

4.5     SUCCESSOR LIABILITY.

Any successor to the Employer or VGI (whether directly or indirectly and whether
by purchase, lease, merger, consolidation, or otherwise) or to all or
substantially all of the Employer's or VGI's business and/or assets shall assume
the Employer's or VGI's respective obligations under this Article 4 and agree
expressly to perform the Employer's or VGI's respective obligations under this
Article 4 in the same manner and to the same extent as the Employer or VGI would
be required to perform such obligations in the absence of a succession. For all
purposes under this Article 4, the term "Employer" shall include any successor
to the Employer's business and/or assets and the term "VGI" shall include any
successor to VGI's business and/or assets.

4.6     TERMINATION UNDER CERTAIN CIRCUMSTANCES.

        (a)     If the Executive's employment terminates for any reason prior to
                a Change in Control, the Executive shall not be entitled to any
                payment of a Change of Control Benefit or any Retention Benefits
                pursuant to this Article 4, but shall be entitled to any payment
                to which the Executive otherwise would be entitled under

                                        8
<Page>

                any other provision of this Agreement, under any options
                agreement or other agreements with Employer or VGI to the extent
                otherwise applicable, under the employer's then existing
                employee benefits plans or policies at the time of termination,
                and under any required severance benefits pursuant to applicable
                law, if any.

        (b)     If, following a Change in Control, the Executive is terminated
                by the Employer for Cause or the Executive has a Voluntary
                Termination, the Executive shall not be entitled to any payment
                of Retention Benefit under this Article 4 for any period
                following said termination, but shall be entitled to any payment
                to which the Executive otherwise would be entitled to under any
                other provisions of this Agreement, under any options agreement
                or other agreements with the Employer or VGI, to the extent
                otherwise applicable, under the Employer's then-existing
                employee benefit plans or policies at the time of termination,
                and under any required severance benefit pursuant to applicable
                law, if any.

4.7     TERMINATION OF ARTICLE 4.

The Board of the Employer and VGI shall have the right, in their sole
discretion, to terminate the provisions of this Article 4 effective as of
December 31 of any year of the term by delivery of written notice to the
Executive by no later than January 15 of the following year, provided however,
that if a Change of Control occurs prior to such December 31, or if the Employer
or VGI has entered into a binding agreement prior to such December 31 setting
forth the material terms by which the Change of Control will be effected, this
clause shall have no force or effect.

4.8     NO DUTY TO MITIGATE.

The Executive shall not be required to mitigate the amount of any payment
contemplated by this Article 4, nor shall any such payment be reduced by any
earnings that the Executive may receive from any other source.

4.9     WITHHOLDING.

All payments made pursuant to this Article 4 shall be subject to withholding of
applicable income and employment taxes.

                                        9
<Page>

5.      CONTRACT PROVISIONS

5.1     GOVERNING LAW.

Except as otherwise provided in this Agreement, this Agreement shall be governed
by and construed in accordance with the laws of the Province of Ontario and the
laws of Canada applicable therein. Except as otherwise provided in this
Agreement, each of the parties hereby irrevocably attorns to the jurisdiction of
the courts of the Province of Ontario with respect to any matters arising out of
this Agreement.

5.2     Resolution of Disputes under Article 4.

        (a)     Notwithstanding anything herein to the contrary, any dispute or
                controversy arising out of, relating to, or in connection with
                Article 4 or the interpretation, validity, construction,
                performance, breach, or termination of Article 4, shall be
                settled by binding arbitration to be held in New York County,
                New York and shall be conducted in accordance with the Expedited
                Employment Arbitration Rules of the American Arbitration
                Association, in effect at the time of the arbitration ("Rules"),
                supplemented, as necessary, by those principles which would be
                applied by a court of law or equity. The arbitrator may grant
                injunctions or other relief in such dispute or controversy. The
                decision of the arbitrator shall be final, conclusive and
                binding on the parties to the arbitration. Judgment may be
                entered on the arbitrator's decision in any court having
                jurisdiction.

        (b)     The arbitrator(s) shall apply New York law to the merits of any
                dispute or claim, without reference to conflicts of law rules.
                The arbitration proceedings shall be governed by federal
                arbitration law and by the Rules, without reference to state
                arbitration law.

        (c)     Notwithstanding anything herein to the contrary, the parties may
                seek specific performance or injunctive relief with respect to
                the matters set forth in Article 4 in the United States District
                Court for the Southern District of New York or a state court
                located in New York County, New York. Each party (i) submits to
                the jurisdiction of any such arbitrator or court for the purpose
                of any such suit, action,

                                       10
<Page>

                or other proceeding, (ii) agrees that such claims in respect of
                any such suit, action or proceeding may be heard and determined
                before any such arbitrator or in any such court, (iii) waives,
                to the fullest extent permitted by law, any immunity it may have
                acquired, or hereafter may acquire, from jurisdiction of any
                such arbitrator or court or from any legal process therein, and
                (iv) agrees not to commence any such suit, action or proceeding
                other than before such arbitrator or in such court, and waives,
                to the fullest extent permitted by applicable law, any claim
                that any such suit, action or proceeding is brought in an
                inconvenient forum. Each party hereby irrevocably designates CT
                Corporation System, 111 Eighth Avenue, New York, New York 10011
                as agent upon whom process against it may be served for the
                purposes of Article 4.

5.3     Resolution of Other Disputes.

        (a)     Any dispute, controversy, claim or difference between the
                parties hereto arising out of this Agreement other than under
                Article 4 including questions of fact, procedures, practices or
                standards which cannot be resolved or settled by the parties,
                shall be settled and determined by arbitration. The provisions
                of this Section shall be deemed to constitute a "submission"
                within the meaning of the ARBITRATIONS ACT (Ontario) (the "Act")
                and the provisions of the Act, except to the extent that a
                contrary intention is expressed herein, shall apply to any
                arbitration hereunder. Either party may at any time give written
                notice to the other of its desire to submit such dispute to
                arbitration stating with reasonable particularity the subject
                matter of such dispute. Within five (5) business days after
                receipt of such notice, the parties shall appoint a single
                arbitrator with appropriate experience to determine such
                dispute. If the parties fail to appoint an arbitrator, either
                party may apply to a Judge of the Superior Court of Ontario to
                appoint an arbitrator to determine such dispute. The arbitrator
                so appointed shall forthwith proceed to arbitrate the dispute.
                The award of the arbitrator shall be delivered to the parties
                within sixty (60) days of his appointment. The costs of the
                arbitration shall be paid as determined by the arbitrator.
                Notwithstanding anything to the contrary contained in the Act,
                the award of the arbitrator shall be final and

                                       11
<Page>

                binding upon the parties and all persons claiming through or
                under them. An award of the arbitrator shall be in substitution
                for and precludes either party or any person claiming through or
                under a party to bring any suit, action or other proceeding in
                any court of law or equity against either party or any person
                claiming through or under a party or against the arbitrator in
                respect of any matter for which arbitration is herein provided.
                Judgment upon the award rendered by the arbitrator may be
                entered in any court having jurisdiction and thereupon execution
                or other legal process may issue thereon. The parties hereto and
                all persons claiming through or under them hereby attorn to the
                jurisdiction of the arbitrator and to the jurisdiction of any
                court in which the judgment may be entered. Arbitration may not
                be waived except upon delivery by the parties of a written
                notice to that effect.

        (b)     EXECUTIVE HAS READ AND UNDERSTANDS SECTION 5.2 AND SECTION 5.3,
                WHICH DISCUSS ARBITRATION. EXECUTIVE UNDERSTANDS THAT SUBMITTING
                ANY CLAIMS ARISING OUT OF, RELATING TO, OR IN CONNECTION WITH
                THIS AGREEMENT, OR THE INTERPRETATION, VALIDITY, CONSTRUCTION,
                PERFORMANCE, BREACH OR TERMINATION THEREOF TO BINDING
                ARBITRATION, CONSTITUTES A WAIVER OF EXECUTIVES RIGHT TO A JURY
                TRIAL AND RELATES TO THE RESOLUTION OF ALL DISPUTES RELATING TO
                AND ARISING FROM THIS AGREEMENT.

5.4     HEADINGS.

The headings of the Sections herein are inserted for convenience of reference
only and shall not affect the meaning or construction hereof.

5.5     WITHHOLDING.

All payment under this Agreement shall be subject to withholding of such
amounts, if any, relating to tax or other payroll deductions as the Employer may
reasonably determine and should withhold pursuant to any applicable law or
regulation.

                                       12
<Page>

5.6     COUNTERPARTS.

This Agreement may be executed in counterparts, each of which shall be deemed to
be an original but all of which together shall constitute one and the same
instrument.

5.7     WAIVER.

The failure of any party to enforce its rights under this Agreement at any time
for any period shall not be construed as a waiver of such rights and a waiver
shall only be construed as such if made in writing signed by a duly authorized
representative of the waiving party.

5.8     SEVERABILITY.

If any provision of this Agreement or application of any such provision to any
person or circumstances shall be invalid under the law of any jurisdiction the
remainder of this Agreement or the application of such provision to persons or
circumstances other than those as to which it is invalid shall not be effected
thereby. In the event a court of competent jurisdiction rules any provision of
this Agreement to be invalid, then such ruling shall have no effect on the
remaining provisions of this Agreement and they shall continue in full force and
effect.

5.9     ENTIRE AGREEMENT.

This Agreement, contains the entire contract of Employment between the parties
hereto with respect to the subject matter of this Agreement, and supersedes and
replaces all previous negotiations, understandings and agreements whether verbal
or written with respect to any matters herein referred to. The parties
acknowledge that the provisions of the Confidentiality and Invention Assignment
Agreement dated December 13, 1999, between Employer and the Executive remains in
full force and effect.

5.10    SURVIVAL.

The provisions of Articles hereof shall survive the termination of this
Agreement for the periods of time specified or contemplated therein.

5.11    DIRECTORS AND OFFICERS.

If the Executive is a director or officer at the relevant time, the Executive
agrees that after

                                       13
<Page>

termination of her employment with the Employer for any reason, he will, on the
date of her termination, tender her resignation from any position he may hold as
an officer or director of the Employer or any of its affiliated or associated
companies.

5.12    NOTICES.

Notices and all other communications contemplated by this Agreement shall be in
writing and shall be deemed to have been duly given when personally delivered by
either FedEx of other reputable overnight courier service or by registered or
certified mail, return receipt requested. In the case of the Executive, mailed
notices shall be addressed to her at the home address which he most recently
communicated to the Employer in writing. In the case of the Employer, mailed
notices shall be addressed to 700 Bay Street, Toronto, Ontario, M5G ZG Canada,
and all notices shall be directed to the attention of its President. Notices
shall be deemed deliverable and received upon receipt or refusal of receipt.

                                       14
<Page>

            IN WITNESS WHEREOF this Agreement is executed as of the day, month
and year first above written.

                               )    VISIBLE GENETICS INC.
                               )
                                   ---------------------------------------------
                               )    Per:
                               )
                               )
                                   ---------------------------------------------
                               )    Per:
                               )
                               )
                               )
                                   ---------------------------------------------

                                   ---------------------------------------------
                                    Marguerite Ethier

                                       15

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