After Sears Canada came under fire last month for approving to pay millions of dollars in bonuses to keep key employees on board, the company has now come out saying it has a chunk of money set aside for former employees.
A $500,000 dollar hardship fund has been created for employees who would have qualified for severence payments. Former employees need to apply to receive money from this fund provided they meed certain hardship criteria, that criteria has not been identified.
This move follows Sears Canada’s announcement, back in June, that it is closing 59 stores and cutting about 2,900 jobs under a court supervised restructuring plan in order to emerge a leaner, more focused operation. The company is hoping to be better able to compete in the retail market.