Rona cutting 500 jobs, new CEO named amid slower economy

Rona is slashing 500 jobs across Canada as it seeks to restructure and adapt to a slowing economy and “new market realities.”

The Quebec-based home improvement retailer said in a press release that it is “simplifying its organizational structure… to be more efficient.”

Rona also named Andrew Iacobucci as its new CEO, who will work at the company’s head office in Boucherville. Iacobucci previously worked at Loblaw Co.

Weak Canadian economy

The Canadian economy is showing some signs of difficulty as the central bank raises interest rates to temper inflation. Despite higher rates, GDP increased by 3.1 per cent in the first quarter, beating expectations.

Lowe’s, which bought Rona in 2016, was bought by U.S.-based private equity firm Sycamore Partners in February.

The home retailer runs 425 corporate and affiliated stores under different names across Canada, employing 22,000 people.

Termination agreements for Rona employees

Non-unionized employees of all types at Rona are owed full severance pay when they lose their jobs due to downsizing, closures or restructuring.

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

Severance can be as much as 24 months’ pay, depending on a number of factors.

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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.