Employment Law

Whirlpool Layoffs: 1,000 jobs cut amid slow home sales

A kitchen featuring several home appliances, like those sold by Whirlpool.

What’s going on at Whirlpool Canada?

Whirlpool Corporation, known for its Maytag and Amana appliance brands, is taking significant steps to reduce costs through a global reduction of approximately 1,000 salaried positions. This decision comes in response to sluggish U.S. home sales which have dampened demand for their products.

Jim Peters, the Chief Financial Officer of Whirlpool, emphasized that the company is working on “simplifying our structure” in the face of what he described as “sticky” inflation, impacting various cost areas.

Key details of Whirlpool’s cost-cutting measures

  • Initial layoffs: The company has already completed the first round of job cuts primarily targeting office staff, with plans to initiate a second round soon.
  • Global workforce: As of the end of 2023, Whirlpool employed 59,000 workers across various international locations.
  • Financial struggles: Efforts to trim costs by about $400 million this year are facing challenges due to persistently high expenses in labor, transportation, and logistics.

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Impact on sales and product strategy

  • Sales decline: There was an 8.1% decrease in large appliance sales in North America in the first quarter, compared to the previous year.
  • Strategic shifts: In response to weaker demand for large appliances, Whirlpool has reduced discounts and promotions. Instead, they are focusing on smaller, countertop appliances like KitchenAid stand mixers and battery-powered blenders.

Termination agreements for Whirlpool employees

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

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

People working “on contract” or as a contractor may also be owed severance pay — given that many employees in Canada are often misclassified as independent contractors.

Severance 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.


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.

LEARN MORE
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Severance packages during mass layoffs

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Major tech layoffs continue

Reports of job cuts at Whirlpool come amid a flurry of layoffs in 2024.

Big names, including Tesla, Rivian, Google, IBM Canada, Netflix, Amazon, Intel, Lightspeed, Dell, Cisco, Mozilla, Instacart, and BlackBerry, have pulled out the axe as they continue to navigate challenging economic conditions.

SEE ALSO
SAP Canada Layoffs: Staff in Vancouver and Montreal affected
Boundless Learning laying off 15% across company: Reports
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.

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