Scotiabank told the federal government it would be laying off close to 2,500 employees in Toronto this year, according to a public document that was removed from the government’s website shortly after layoffs were announced at the bank last week.
The document, published by Employment and Social Development Canada (ESDC) in May, was a question period note — briefing material meant to prepare officials if specific topics are brought up by members of parliament during question period.
It stated that Scotiabank notified the federal government in late February that it would be terminating up to 2,495 employees in Toronto on June 1.
The note also said that the bank asked the government to waive some of its obligations under the Canada Labour Code, including providing the Head of Compliance and Enforcement with a 16 weeks’ written notice, establishing a joint planning committee, and providing a statement of benefits to redundant employees at least two weeks before the date of termination.
It is unclear whether the Minister of Jobs and Families, Patty Hajdu, agreed. Jennifer Kozelj, Hajdu’s press secretary, referred all questions about the briefing note to ESDC.
Scotiabank did not respond to specific questions regarding the contents of the question period note, but in a statement to the Star last week, bank spokesperson Claire Dawson said finding ways to be more efficient was part of managing the bank effectively.
“We will continue to prioritize and invest in areas that best meet the needs of our clients and deliver sustainable growth,” she wrote.
A spokesperson for ESDC told the Star last week that group termination notices are confidential. When the Star asked why the information was made public on the government’s website, the department said that “specific details regarding the Scotiabank group termination were published in error,” adding that a redacted copy could be obtained via an Access to Information request.
On Monday, the website link to the note had been deactivated.
ESDC spokesperson Maja Stefanovska said a new version of the question period note will be published soon. As of Monday afternoon, the new note had not yet been posted.
Last week, several media outlets reported that Scotiabank was cutting jobs across its Canadian banking unit, though the company did not disclose how many and which specific teams were impacted.
Under the Canada Labour Code, any federally regulated employer who plans to end the employment of 50 or more people within a four-week period has to notify the Labour Program at ESDC. Employers also must establish a joint planning committee “to minimize the impact on affected employees, if possible,” according to ESDC.
Waivers may be obtained by employers “under certain conditions,” according to ESDC.
Last week’s layoffs at Scotiabank were the first reported in Canada since the bank said it would be slashing three per cent of its global workforce in 2023, amounting to some 2,700 job cuts.
The briefing note included a suggested response to the question, “what is the government doing to protect the rights of workers who lose their jobs at The Bank of Nova Scotia?”
The question was not asked during question period on May 28, the date the note was published, according to a transcript of the session.
It read, in part, “it is unfortunate when Canadian workers and their families are affected by job losses,” while emphasizing that ESDC’s Labour Program protects the rights of employees under the code.
“The Labour Program monitors group termination cases to ensure that all affected employees receive their labour standards entitlements,” the note continued. “Unfortunately, the Labour Program is not in a position to prevent the job losses.”
The note also said that the Labour Program has completed its investigation into the group termination at Scotiabank and has confirmed that the employer is meeting its obligations under the code.
