Employment Law

DCM Group buys DH Aerospace: Employee rights

Sparks fly as a piece of equipment cuts holes into silver chunks of metal. Manufacturing sector employees are entitled to severance pay.

Montreal-based aerospace integrator DCM Group has acquired DH Aerospace, which operates in Ontario as Koss Aerospace and Brampton Processing.

Details

Koss Aerospace, established in 1975 and headquartered in Ontario, specializes in manufacturing aerospace structural components. Brampton Processing offers metal processing services including cadmium plating, chrome plating, anodizing, painting, and finishing services. It operates three facilities in the Greater Toronto Area.

  • Strategic Benefits: The acquisition allows DCM to broaden its product offerings and become vertically integrated, including surface treatment processes across nearly all manufacturing needs.
  • Leadership Changes: Alexander Cajic at DH Aerospace will continue under the new ownership as VP Ontario Division.
  • Jean-Charles Raillat, CEO of DCM: “With this transaction, DCM attains a critical size, positioning itself as one of Canada’s most important aerospace manufacturers and a direct, solid partner for OEMs.”
  • Alexander Cajic: “I am enthusiastic to join forces with DCM and am looking forward to this next chapter and achieving great things together. Our combined operations will enhance our ability to serve customers, support our employees, and contribute to our community.”

Who pays severance if DCM doesn’t keep certain DH Aerospace employees?

If DCM’s acquisition DH Aerospace employees (working at Koss Aerospace or Brampton Processing) losing their jobs, the responsibility for providing full severance pay typically lies with DH Aerospace, the “seller” of the business.

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Should DCM provide you with an employment offer that you have a valid reason to decline (e.g., different hours or pay), you may be entitled to full severance from DH Aerospace. Even without a valid reason, you can still receive severance, although it’s very likely that you will only receive your minimum entitlements.


WATCH: Employment lawyer Lior Samfiru explains the rights workers have when their employer sells the business on an episode of the Employment Law Show.

LEARN MORE
Employer sold the business in B.C.? Know your rights to severance
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How is severance pay calculated?

Severance for non-unionized employees in Canada can be as much as 24 months’ pay.

This includes individuals working full-time, part-time, or hourly in B.C., Alberta, and Ontario. The amount of compensation you are entitled to is calculated using several factors, including:

  • Age
  • Length of service
  • Position at the company
  • Ability to find new work

To figure out how much you could be owed, use our firm’s free Severance Pay Calculator. It has helped millions of Canadians determine their severance entitlements.

If your company doesn’t provide you with the correct amount, you have been wrongfully dismissed and should seek legal counsel immediately. Samfiru Tumarkin LLP regularly resolves wrongful dismissal claims and can help you secure proper severance.

LEARN MORE
Severance for provincially regulated employees
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Can DCM make major changes to the jobs of DH Aerospace employees?

In Canada, non-unionized employees don’t have to accept substantial changes to their job that DCM might try to enforce. Major modifications, such as a demotion, longer shifts, or reduced pay, are illegal.

When significant adjustments are made to the terms of your employment without your consent, there is a very good chance that you can treat it as a constructive dismissal. In this situation, the law allows you to quit your job and pursue full severance pay.

If you believe that you have been constructively dismissed, don’t resign before contacting our firm.

ADDITIONAL RESOURCES
Changes to your employment in B.C.: Your rights
Job changes in Alberta: What employees need to know
Can my employer make changes to my job in Ontario?

New employment contracts for DH Aerospace staff

If you work for DH Aerospace and you receive a new employment contract, take the time to carefully review it before signing it. In many cases, these agreements take away key protections that would otherwise be available to non-unionized employees, including:

  • Eliminating past service: The new owner might attempt to reduce or eliminate your years of service with your previous employer. Don’t sacrifice your seniority. Length of service is a key factor when determining how much severance pay you are entitled to.
  • Reducing severance pay: Some employers try to use a termination clause to reduce your severance entitlements to the bare minimum. Instead of months of pay, you might only receive a few weeks’ pay if you are fired without cause or let go.
  • Ability to make changes: The new owner might attempt to add a clause that gives them the right to change aspects of your job (i.e. hours or pay) without your permission or lay you off without penalty.

Employers in Canada can’t legally force non-unionized workers to sign a new employment contract immediately or a few days after receiving it.

SEE ALSO
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Received a job offer? Speak with an employment lawyer

Before accepting a new employment contract, have the experienced employment law team at Samfiru Tumarkin LLP review the agreement to make sure your workplace rights are protected.

Our lawyers in B.C., Alberta, and Ontario have successfully represented tens of thousands of non-unionized individuals.

We can help you better understand the terms of the contract and advise you on how best to navigate the situation.

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