A class-action lawsuit alleges Shopify Inc. reneged on a deal it offered some employees who were laid off in a recent round of cuts. ottnews $SHOP
The class action alleges some of the Ottawa software business' employees laid off at the start of May were presented with departure packages outlining hefty severance sums they would be entitled to should they sign the agreement within a few days.
"It just doesn't work like that. I review severance packages every day and have 21 years of doing this and I have never seen any employer ever do anything like that." Samfiru alleges Shopify's actions constitute a breach of contract and is seeking $80 million in damages and $50 million in punitive, aggravated and exemplary damages.Shopify did not respond to a request for comment.
In an open letter announcing the layoff, Shopify founder and chief executive Tobi Lutke promised departing staff at least 16 weeks of severance plus a week for every year of tenure at Shopify. Medical benefits and an employee assistance program will cover departing staff over the same period.
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