467 replies to this topic

[VicHockeyFan]

Severance has always meant pay, or notice, or a combination of both.

 

In BC:

 

 

An employee who is terminated may be eligible for compensation based on the following formula:

• After three consecutive months of employment – one week’s pay;
• After 12 consecutive months of employment – two weeks’ pay;
• After three consecutive years – three weeks’ pay, plus one week’s pay for each additional year of employment to a maximum of eight weeks.

A week’s pay is calculated by:

• Totalling the employee’s wages, excluding overtime, earned in the last eight weeks in which the employee worked normal or average hours; and
• Dividing the total by eight.

The sale, lease or transfer of a business does not typically interrupt an employee’s period of continuous employment unless the employee has been terminated by the vendor employer.

 

No compensation required with working notice

No compensation is required if an employee is given advance written notice of termination equal to the number of weeks for which the employee is eligible.  This notice must be in writing.

 

 

 

 

 

http://www.labour.go...termination.htm

[Nparker]

If staff Target are still working how can this be considered severance pay? Isn't being paid to work called a wage? If not, is every paid employee on some sort of long-term severance since eventually everyone will either be terminated or leave their employment? 

[VicHockeyFan]

If staff Target are still working how can this be considered severance pay? Isn't being paid to work called a wage? If not, is every paid employee on some sort of long-term severance since eventually everyone will either be terminated or leave their employment? 

 

Not quite.  Severance must be paid in cash, if you are terminated with no notice - and if you can not work work out your shifts from the time from when you receive notice, until you have your last day.

 

So if you are fired, they say "go home John, you are done here", you get your severance pay right away.  If one day you show up, and the place is closed permanently, you get your severance.  If they tell you today, that your last day is June 17th, then you get no severance.

 

It's the same if you quit with notice, you can work out your last hours, ie. if you give 14 or 30-days notice.  If you give your notice, and they say "that's it then, your job is done", they pay your severance, the same as if they fired you.

[Nparker]

I guess it's a matter of perception. On the surface, the statement that Target is giving its staff nearly 4 months of "severance" seems generous, when in fact they are being given 14 weeks notice of termination at which point one assumes the stores will close and no further wages will be paid. Staff are being paid for 14 weeks of time during which they will be working, which doesn't sound as nice as as severance.

[concorde]

Its still severance under the law

 

Also no severance is required for termination with just cause such as catching an employee stealing, etc

[Bingo]

I guess it's a matter of perception. On the surface, the statement that Target is giving its staff nearly 4 months of "severance" seems generous, when in fact they are being given 14 weeks notice of termination at which point one assumes the stores will close and no further wages will be paid. Staff are being paid for 14 weeks of time during which they will be working, which doesn't sound as nice as as severance.

I don't know how many workers have been on full time, and I don't know when the store is closing the doors for the last time in Victoria, but Target has only been open for about a year, so the average employee is likely to get no more than 2 weeks severance.

[pherthyl]

I guess it's a matter of perception. On the surface, the statement that Target is giving its staff nearly 4 months of "severance" seems generous, when in fact they are being given 14 weeks notice of termination at which point one assumes the stores will close and no further wages will be paid. Staff are being paid for 14 weeks of time during which they will be working, which doesn't sound as nice as as severance.

 

Exactly.  It makes for a nice news story that they're allocating tens of millions to their severance package for employees, but in reality it's just extended notice which they are forced into given they can't exactly keep the retreat out of Canada a secret.

Edited by pherthyl, 25 January 2015 - 05:25 PM.

[VicHockeyFan]

Exactly.  It makes for a nice news story that they're allocating tens of millions to their severance package for employees, but in reality it's just extended notice which they are forced into given they can't exactly keep the retreat out of Canada a secret.

 

Well, who's fault is it that some thought they were getting 4 weeks pay after their last shift?  Target, or the media?

[pherthyl]

Well, who's fault is it that some thought they were getting 4 weeks pay after their last shift?  Target, or the media?

 

Dunno.  Just dispelling the idea that Target is being exceptionally generous here (aside from to their CEO of course).

[dasmo]

The news is saying no severance...

 

 

As Target Canada prepares to shut its doors, key managers will walk away with thousands of dollars of extra cash, but none of its approximately 17,000 front-line workers will be so lucky. Target is not offering any severance.

 

https://ca.finance.y...-100000025.html

[tedward]

 He may have very well been owed that money regardless of performance.

 

And that is OK with you when it is an executive but a holy crusade when we are talking about unionized workers?!?

 

Also no severance is required for termination with just cause such as catching an employee stealing, etc

 

I would suggest that the former CEO of Target Canada was stealing every time he took a paycheque. 

[VicHockeyFan]

And that is OK with you when it is an executive but a holy crusade when we are talking about unionized workers?!?

 

Ya, share-holders approved his salary package.

[johnk]

Ya, share-holders approved his salary package.

Doubtful VHF, the board would have done that. Many large corporations have boards loaded with cross-appointments among cronies and business associates. It's been said that a lot of the most egregious private sector compensation deals are arrangements between people who know each other, mutual back-scratching.

Edited by johnk, 26 January 2015 - 11:36 AM.

[VicHockeyFan]

Doubtful VHF, the board would have done that. Many large corporations have boards loaded with cross-appointments among cronies and business associates. It's been said that a lot of the most egregious private sector compensation deals are arrangements between people who know each other, mutual back-scratching.

 

The shareholders elect all directors.  Nobody is appointed.  Now, it's true that many shareholders allow their vote to be handled by others (proxy), but what you describe is not allowed with publicly traded companies.

[spanky123]

Ya, share-holders approved his salary package.

 

The boards are elected by shareholders and the board determines executive pay. Shareholders are often given the opportunity for a non-binding vote on executive compensation. Most public company boards are not full of cronies. Most large public companies have large private shareholders who won't allow that to happen.

[VicHockeyFan]

^ Yes, esp. big institutional investors, that are far more interested in seeing a good return on the money they invest, than see few select cronies on the board.

[Mike K.]

And that is OK with you when it is an executive but a holy crusade when we are talking about unionized workers?!?

 

 

I would suggest that the former CEO of Target Canada was stealing every time he took a paycheque. 

 

I'm not saying that, I'm just negating the class warfare statement you made.

 

There is plenty of waste everywhere and plenty of people receiving compensation that they may not deserve.

[tedward]

Ya, share-holders approved his salary package.

 

And businesses sign contracts with unions. So what?  I beleve that the Target CEO should be charged with a conspiracy to defraud along with whomever drafted and approved his ridiculous contract.

[Bingo]

The end is near.

Target has confirmed that liquidation sales at all its Canadian stores start Thursday.

The company told CBC News stores will be offering up to a 30 per cent discount on merchandise.

http://www.cbc.ca/ne...2945171?cmp=rss

 

[Nparker]

The company told CBC News stores will be offering up to a 30 per cent discount on merchandise

30%...Zzzzzzzzzzzzzzzz