The cuts include 4,000 positions at its primary Telus business and 2,000 at Telus International, offering early retirement and voluntary departure packages. The decision is influenced by changing regulatory, competitive, and macroeconomic factors.
The company has recently undergone layoffs as part of cost-cutting efforts. In August 2023, approximately 6,000 jobs were eliminated to enhance competitiveness. A similar situation occurred in June 2022 when Telus acquired LifeWorks for $2.9 billion (CAD), resulting in expected layoffs.
Despite the CEO describing the strategy as “winning” due to broadband expansion and cost streamlining, the restructuring will cost Telus $475 million in 2023. This move aligns with industry trends as other telecom giants like BCE Inc. and Rogers Communications also reevaluate their workforce sizes in response to evolving regulatory and economic conditions.
Severance is a crucial aspect for Telus employees. In Canada, those laid off are entitled to severance pay, including those in full-time, part-time, and hourly positions in Ontario.
Proper calculation of severance pay is vital as employers often underestimate it. The common belief that federally regulated employees are entitled to a few days’ or weeks’ pay doesn’t necessarily align with common law, which may entitle employees to higher compensation, potentially up to 26 months’ pay.
Also, misclassifying employees as contractors is a practice that might deprive employees of certain rights. If there has been allegations of harassment in the workplace, employers have an obligation to address and prevent these hostile environments prior to dismissal.
Telus employees should be aware of their rights and options when facing changes to their job roles, temporary layoffs, or issues related to medical conditions or disabilities. Seeking employment law advice is highly recommended in such situations.
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