Employment Law

Adidas fires large number of Canadian staff, folds operations into U.S.

adidas canada, adidas severance pay

Sportswear giant Adidas is laying off a large number of employees in Canada as it consolidates its operations in North America.

The German-based company told Retail Insider that “we are combining our U.S. and Canada teams to work most effectively and ensure we are positioned for continued success in an ever-changing marketplace.”

Adidas says that business operations will be run mainly of its U.S. headquarters in Portland, Oregon. It’s Canadian headquarters are currently located in Woodbridge, Ontario, and it operates 33 retail stores across the country.

Corporate division affected

The company acknowledges that its decision will “lead to a reduction of our Canada based corporate employees.”

“We sincerely thank our entire team in Canada for their many contributions to adidas.”

Numerous Adidas employees in Canada have contacted Samfiru Tumarkin LLP in recent days for a severance package review. Some have suggested that up to 50% of the company’s corporate division in the country have been let go.

Alim Dhanji, who served as GM for Canada, recently left Adidas to join New York-based Equinox Group as its Chief People Officer.

Termination and compensation for Adidas employees

In Canada, non-unionized employees and senior executives at Adidas are owed full severance pay when they lose their jobs because of downsizing or corporate changes.

This includes individuals working full-time, part-time, or hourly in Ontario, Alberta, and B.C.

Severance can be as much as 24 months’ pay, depending on many factors.

Severance packages in mass layoffs
Rights to severance for provincially regulated employees
Severance pay in a recession 

WATCH: Employment lawyer Lior Samfiru explains what rights employees have if they are being fired or let go on an episode of the Employment Law Show.

Before you accept any severance offer, have an experienced employment lawyer at Samfiru Tumarkin LLP review it and your employment contract.

We can tell you if what you have been provided is fair and how to get proper compensation if it falls short of what you are actually owed.

If you aren’t given the full amount, which happens often, you have been wrongfully dismissed and are entitled to compensation.

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