01 February 2008

Layoffs hard on heels
of CanWest's takeover of Alliance Atlantis

Canadian Media Guild | CWA Canada Local 30213

The ink has barely dried on the deal that sees ownership of Alliance Atlantis Communications (AAC) turned over to CanWest Global Corporation and the layoff notices are flying already.

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Last week, CanWest informed a number of employees across Canada — including four members of the Canadian Media Guild's bargaining unit — that their positions would be eliminated as of mid-April.

There had been no previous indication that the new owner was going to restructure so soon after the takeover of AAC's broadcasting operations. CMG officials say they had hoped that CanWest would take the time to look at all of AAC's assets — most notably its hard-working and extremely competent staff — before moving ahead with staffing changes.

The Canadian Radio-television and Telecommunications Commission (CRTC) on Dec. 19 approved CanWest's takeover of Alliance's television assets, despite the fact that U.S. investment bank Goldman Sachs was bankrolling the deal.

Lise Lareau, national president of the CMG, warned the CRTC in November at a rally against CanWest's purchase of AAC that the media giant "will be under even more pressure to make cuts to existing and new operations to pay for the deal.”

Now that her worst fears have materialized, the CMG will be meeting with CanWest management to ensure the rights of affected members are respected, and to try to reduce the number of people going out the door. If any of the four end up being laid off, they will receive no less than the severance benefits set out in the new collective agreement: three weeks of salary per year of service for any employee with more than two years' service, and two weeks per year for employees with less than two full years of service. They may also be recalled to work if new positions come available within the year following layoff.

(This is an edited version of a story that first appeared on the Canadian Media Guild website.)