Ottawa: Bell, the telecommunications behemoth of Canada, has sent shockwaves through its workforce by terminating over 400 employees in a sudden virtual meeting, branding them as “surplus”. The move has drawn sharp criticism from the union Unifor, denouncing it as “shameful” and “disgusting”. Reports indicate that many employees received pink slips within mere 10-minute sessions, igniting a firestorm over transparency and communication.
“Our dedicated members, with years of service, are repaid with pink slips,” lamented Unifor’s Quebec director. However, Bell countered these allegations, asserting that it had maintained transparency with union leadership for over five weeks before the layoffs. The company clarified that terminated employees were also provided individual HR meetings to discuss severance packages.
This latest wave of layoffs follows Bell’s announcement in February to slash 4,800 jobs, constituting roughly 9 percent of its workforce. Despite facing backlash over increased shareholder dividends, the company’s CEO, Mirko Bibic, defended the decision, citing intentions to “simplify our organization”.
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Accusing Bell of prioritizing shareholders over workers’ welfare, Unifor decried the lack of clarity surrounding job cuts and vowed to advocate for affected employees’ rights while holding Bell accountable. The layoffs have reignited discussions on corporate accountability within the telecom industry, prompting scrutiny of Bell’s workforce and governance practices.
“The truth is Bell picked a number of heads to roll, so it could increase its dividend payout without an actual plan on which jobs and which workers would be eliminated so the terminations are cruelly dragged out,” asserted the Workers’ union Unifor.
“Our dedicated, loyal workers, who are predominately women, will have to explain to their families tonight that they are being let go from Bell for no good reason other than making sure that their shareholders and Board of Directors come first when getting paid. It’s absolutely disgusting,” added Unifor.
In a related development, Dell has also confirmed job cuts as part of its cost-saving measures. Alongside reducing its workforce, Dell disclosed in a filing that it had curtailed external hiring. A Reuters report unveiled that Dell’s workforce stood at nearly 120,000 employees as of February 2, 2024, down from the previous count of 126,000 employees.
In its filing, Dell attributed the job cuts to dwindling demand for its computers over nearly two years. The plummet in demand has translated into an 11 percent decrease in the company’s revenue, as reported in its financial results for the last quarter of the year, disclosed just last month. Consequently, grappling with financial strains due to sluggish sales, the company has opted for workforce reductions.