Rogers-Shaw deal and employee fallout: Employment lawyer on CTV News
Interview Summary
Rogers Communication has announced its purchase of Shaw Communications in a $20B deal. This acquisition will lead to the sale of Shaw’s Freedom Mobile. What will this sale mean for Freedom Mobile employees? Is Rogers under any obligation to hire Freedom Mobile staff?
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• Layoffs at Rogers after Shaw merger
• Severance packages for Rogers workers
Alex Lucifero, an Ontario employment lawyer and Managing Partner at Samfiru Tumarkin LLP spoke to CTV News Ottawa’s Matt Skube on the sale and what it will mean for employees.
Interview Notes
- Merger implications for Freedom Mobile employees: Freedom Mobile employees can consider themselves Rogers employees. These employees’ previous years of service should count toward their entire length of employment. This is especially significant when considering a possible severance entitlement in the future.
- Rogers obligated to hire Freedom employees: In the event of a sale of a business, changes do happen. Rogers is not obligated to keep on Freedom Mobile employees and can choose to terminate their employment. Employees that are let go by Rogers are owed severance pay. For employees that were never hired on by Rogers, severance pay would be owed by Shaw.
- Major job changes for employees: Freedom Mobile employees that experience significant changes to the terms of their job by Rogers can consider their employment terminated. A major change to the terms of employment does not have to be accepted and is considered to be constructive dismissal.