When lawyers for Sears Canada appeared in court this week regarding the closure of stores across the country, dozens of former employees were there for the proceedings, writes Linda Nguyen and David Paddon for the Canadian Press (CP).
They “packed a Toronto courtroom Thursday to hear the retailer ask for approval to kick-start the process of putting itself up for sale while it is under creditor protection,” they write.
Also at issue are severance and pension benefits, with one former employee saying she was first told “she would get eight weeks of severance and benefits but was cut off June 22 when the company secured temporary court protection from creditors,” write Nguyen and Paddon.
The company had earlier struck a deal over benefit and pension payments to retired employees, they continue.
“The retailer had initially asked the court for permission to immediately halt payments for pension, health and dental benefits for former employees, retirees and surviving spouses due to a severe cash crunch, but later agreed to continue payments to retirees until Sept. 30.”
Legal representation for former employees asked the court to reinstate health and pension benefits to workers who have been laid off.
More: Brother of Mike Myers among those who lost their job.

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