Ballard Power Layoffs: Restructuring aims to cut expenses by over 30%

What’s Happening at Ballard Power?

Ballard Power Systems is implementing significant layoffs as part of a corporate restructuring aimed at reducing expenses by over 30%. This cost-cutting move comes in response to a slowdown in hydrogen infrastructure development and delayed fuel cell adoption.

Details

• Ballard’s global restructuring will include workforce reductions, affecting both employees and senior leadership.
• The company’s CFO, Paul Dobson, and COO, Mark Biznek, are stepping down as part of the overhaul. Kate Igbalode will succeed Dobson as CFO, while Lee Sweetland will take over the COO role at the end of 2024.
• The company is also focusing on rationalizing product development, consolidating operations, and cutting capital expenditures.
• Ballard expects a restructuring charge in Q3 2024.
• Ballard also plans to review its China strategy due to challenges in the Chinese fuel cell market.

Official Statements and Context

Randy MacEwen, Ballard Power’s president and CEO, highlighted the challenges driving the decision:
“As this delay represents a significant headwind to our corporate growth plan, we are implementing a cost restructuring to moderate our investment intensity and pacing to better align with delayed market adoption,” MacEwen said.

MacEwen emphasized that the company expects these restructuring efforts to save over 30% in annualized total operating expenses, with substantial savings realized by 2025. Despite the cuts, the company reassured that product delivery and program execution for existing customer commitments would not be impacted.

Layoffs in Canada

It remains unclear exactly how many Ballard Power employees in Canada will lose their job as a result of these layoffs.

Your Rights

In Canada, non-unionized employees at Ballard Power are owed full severance pay when they lose their jobs due to downsizing, corporate restructuring, or the closure of the business.

This applies to individuals working in any capacity — full-time, part-time, hourly, or potentially even independent contractors — in Ontario, Alberta, and British Columbia.

Severance is the compensation provided to non-unionized workers in Canada by their employer when they are terminated without cause, and can be as much as 24 months’ pay, depending on a number of factors.

WATCH: Employment lawyer Lior Samfiru explains why you are still owed severance if you have been downsized on an episode of the Employment Law Show.

Severance offers and deadlines

Before accepting a severance offer, double-check the amount using our firm’s free Severance Pay Calculator. It has helped millions of Canadians determine their entitlements.

In addition to your salary, make sure to factor in any other elements of your compensation (i.e. bonuses, commission, etc.).

If your employer’s offer falls short of what our Severance Pay Calculator says you are owed, it’s very likely that you have been wrongfully dismissed and should contact an experienced employment lawyer at Samfiru Tumarkin LLP.

Non-unionized employees in Canada have up to two years from the date of their dismissal to pursue proper severance pay. An employer’s deadline to sign back a severance offer is not legally enforceable or binding.

LEARN MORE
• Severance pay for provincially regulated employees
• Rights to severance during mass layoffs
• Severance entitlements in a recession

Major layoffs continue

The job cuts come amid a flurry of layoffs in 2024.

Big names, including Wells Fargo, Intuit, Goldman Sachs, UiPath, Dyson, Vancity, Stifel, SAP Canada, Netflix, AmDocs, EXL Service, Best Buy, Relic Entertainment, Ubisoft, Intel, Amazon, and Telus, have pulled out the axe as they continue to navigate challenging economic conditions.

SEE ALSO
• Shell layoffs target 20% of Exploration and Development teams
• Samsung Layoffs: Up to 30% of overseas staff cut amid global challenges
• Where are layoffs happening in Canada?

Lost your job? Talk to an employment lawyer

If you have been fired or let go for any reason, contact the experienced employment law team at Samfiru Tumarkin LLP.

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

In addition to severance package negotiations, we can assist you on a broad range of employment matters, including:

If you are a non-unionized employee who needs help with a workplace issue, contact us or call 1-855-821-5900 to get the advice you need and the compensation you deserve.

Disclaimer: The materials above are provided as general information about the rights of non-unionized employees in Canada. It is not specific to any one company and should not be read as suggesting any improper conduct on the part of any specific employer, or a relationship between Samfiru Tumarkin LLP and a specific employer.