Law firm reminds affected workers of their rights
Microsoft's Xbox is shutting down a number of gaming studios, including Canada-based Alpha Dog.
As a result, the employer will lay off some employees, according to a report from Reuters.
Matt Booty, head of Xbox Game Studios, informed the workers via a memo, which Reuters saw on Tuesday.
The "reprioritization of titles and resources" is so that Xbox can invest deeply into its portfolio of games and new intellectual property, said Booty, according to the Reuters report.
In Canada, non-unionized employees at Microsoft and its subsidiaries (i.e. Xbox) 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.,” said Lior Samfiru, national co-managing partner at law firm Samfiru Tumarkin.
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, said Samfiru.
Severance can be as much as 24 months’ pay, depending on a number of factors.
The law firm co-managing partner advised workers who may be affected by the Xbox layoffs to double check the amount before they accept any severance offer.
“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 the Severance Pay Calculator says you are owed, it’s very likely that you have been wrongfully dismissed.”
Non-unionized employees in Canada have up to two years from the date of their dismissal to pursue proper severance pay, he said.
Recently, American consumer health firm Kenvue announced that it is cutting approximately four per cent of its global workforce as part of a new restructuring initiative.
PwC layoffs in Canada
PricewaterhouseCoopers (PwC), meanwhile, eliminated 60 jobs in Canada as it braces for the fallout from the slowdown of the country’s economy, according to a report from the Financial Post.
“We routinely review our business model to best meet the evolving needs of our clients, and to enable us to deliver differently, as we adapt and respond to changes in the market. Due to our most recent review, we had to eliminate some roles,” said Anuja Kale-Agarwal, a spokesperson for PwC, in the report.
PwC has more than 7,700 workers in Canada, according to its website.
Tesla, UPS and McKinsey & Co., among others, are also laying off workers.
