Legal briefs

No severance pay for outsourced staff • Who pays the premium?
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|Canadian HR Reporter|Last Updated: 07/18/2005

No severance pay for outsourced staff

Someone whose job is outsourced, who then accepts employment with the outsourcer, can’t turn around and collect severance pay from his previous employer, the Ontario Superior Court of Justice has ruled.

The case involves 45 former Bombardier Aerospace technology workers in Downsview, Ont., whose department was outsourced. The workers accepted employment with the new company and then filed a claim for severance pay.