Toronto Pearson airport workers keep jobs but lose severance in first-of-its-kind arbitration ruling after Menzies contract flip
Key points
- About 540 unionized Menzies Aviation workers kept their jobs after the contract change
- Arbitration ruling says the contract flip does not trigger severance payments
- Menzies Aviation issued a group termination notice covering about 625 employees on March 13
Hundreds of airport workers kept their jobs but lost severance in a first-of-its-kind arbitration ruling. Menzies Aviation had about 540 unionized workers at Toronto Pearson and issued a group termination notice covering about 625 employees on March 13. Four competitors took over its airline contracts.
What employers should do
- Review severance arrangements and contract terms when service contracts change hands
- Clarify with unions and incoming providers who keeps employment and who bears severance liability
Policy details
- Jurisdiction
- Canada
- Status
- Enforcement action
- Effective date
- —
- Employers covered
- Employee severance arrangements when airport ground-service providers change contracts
- Official source
- Official source pending
Original report: Human Resources Director ↗Edited with AI assistance. Facts are based on official sources and original reports. For information only; not legal, immigration or insurance advice.