Categories: Business

Rogers offers departure packages to employees after Shaw takeover

Rogers Communications Inc. launched a voluntary severance program as it looks to eliminate overlapping roles following the $20-billion takeover of Shaw Communications Inc.

The telecom offers packages to employees in certain areas of the business if they decide to leave the company.

Rogers CEO Tony Staffieri announced the program in a memo to employees on Tuesday. The company did not specify how many people are expected to apply, but said applications will be subject to approval.

“I know that the decision to participate in this program is important. We will do everything we can to provide you with the information you need to help you make an informed decision,” said Mr. Staffieri in the memo.

The Globe previously reported that several people had left the company in the past three months and that more job cuts were planned.

Industry observers and politicians have expressed concerns about job losses ahead of the acquisition, as Rogers is expected to seek efficiencies during its merger with Calgary-based Shaw. The telecoms previously said the deal would result in $1-billion in synergies.

Most corporate and line-of-business employees up to the senior director level are eligible for the voluntary leave program, while most customer-facing roles, media production staff and critical functions in support no.

For example, field technicians, certain specialized network roles and IT teams, and customer service and technical support agents are not eligible. Nor are Rogers Sports & Media’s production, editorial, technology and operations staff, including on-air talent, producers, directors, writers and engineers.

The company said that after the program, it will continue to review its workforce and reduce overlapping roles as it integrates its operations with Shaw.

Rogers will also continue to hire new staff to build its networks and support its customers, Mr. Staffieri.

“We are a growth company, and we remain committed to creating thousands of jobs over the next few years as we invest in our customers, communities and countries,” said Mr. Staffieri.

To win the blessing of federal regulators for the acquisition, which closed in April, Rogers promised to create 3,000 new jobs in Western Canada over five years and maintain a Calgary headquarters for at least a decade.

Although the company said it would eliminate some positions in duplication areas, Mr. Staffieri promised that the job cuts will be made “very carefully” and that on a net basis, the acquisition will result in more jobs, while the telecom deploys resources in areas of growth.

Samfiru Tumarkin LLP, a Canadian law firm specializing in employment law, said last week that since June 22, it has been contacted by several Rogers and Shaw employees claiming to have been fired for -restructuring related to the deal.

Lior Samfiru, the firm’s national co-managing partner, told The Globe in an e-mail that the firm is reviewing employees’ severance packages to ensure they are properly compensated for their “years of dedication service.”

Rogers said that although a “small percentage” of its work force left the company in the past three months, the telecom also hired more than 2,000 people during the period.

That includes bringing home hundreds of Shaw customer service jobs from Central America to British Columbia, Alberta and Manitoba.

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