Latest news with #PCLConstruction
Vancouver Sun
28-04-2025
- Business
- Vancouver Sun
Opinion: Want a more resilient Canadian economy? Double down on democratic employee ownership
Article content With the U.S. government's escalating trade war, we need to rethink and prepare to reorient Canada's economy. We need new export markets and to reduce barriers to interprovincial trade, but we can do more. Article content Article content Our economy must be better for workers, small businesses, families and communities. We need creative and tested ideas that are supported across the political spectrum. Fortunately, such policies exist. Last year, federal legislation created Employee Ownership Trusts (EOTs), a promising new vehicle to make workplaces more democratic, giving workers more ownership and control. Article content Article content In a democratic employee-owned firm, employees collectively own a majority of the company, have meaningful rights to help shape decisions and profits are shared broadly and equitably. Article content Article content Such firms exist in Canada, but are small in number. They are most common in Quebec but exist elsewhere. Friesens, in Manitoba, is one of Canada's leading book printers and is employee-owned and democratic. Shift Delivery is a worker cooperative, bike-powered delivery firm serving Vancouver, and PCL Construction and Chandos construction are 100 per cent employee-owned. Article content EOTs make it easier for business owners to sell their firms to their employees, with the purchase price paid out of the firm's profits over several years, meaning no out-of-pocket costs to employees. Grantbook, a company that advises philanthropic foundations, became the first Canadian company to convert to an EOT in January 2025. Article content Article content Canada's federal and provincial leaders should adopt policies to help make our economy more resilient and there are many reasons why democratic employee-owned firms will help achieve that. Article content Democratic firms are more grounded in their communities as employee-owners are unlikely to move their businesses out of their communities in response to tariffs or other economic shocks. Nor are they going to run around the globe looking for the cheapest labour force. Article content Democratic employee-owned firms have a track record of weathering economic adversity and facing it with creativity. They are less likely to fail during a recession and more likely to maintain employment and wages for their workers, helping to maintain macroeconomic stability for the wider economy.
Yahoo
07-04-2025
- Business
- Yahoo
Boeing settles lawsuits over Ethiopian 737 Max crash that killed 157 people
The Brief Boeing settled two lawsuits related to the 2019 crash of a 737 Max 8 in Ethiopia, just hours before the cases were set to go to trial in Chicago federal court. The crash resulted in the deaths of 157 people, including Darcy Belanger and Capt. Antoine Lewis, whose families were represented by attorneys Mark Lindquist and Antonio M. Romanucci, respectively. The terms of the settlements are confidential, and additional cases for 18 other victims remain pending, with the next trial scheduled for July. CHICAGO - Boeing has reached settlements in two lawsuits related to the 2019 crash of a Boeing 737 Max 8 in Ethiopia, just hours before the cases were set to go to trial in federal court. The cases, Belanger v. Boeing and Lewis v. Boeing, were scheduled to begin jury selection on Monday, April 7. Both cases settled Sunday night, according to attorneys involved in the litigation. The backstory The crash on March 10, 2019, claimed the lives of 157 people, including Darcy Belanger and Capt. Antoine Lewis. Belanger, 46, was a director of professional development at PCL Construction and a founding member of an environmental nonprofit. He was en route to speak at a United Nations Environmental Assembly. Lewis, 39, was a U.S. Army Captain from suburban Chicago, on military leave to explore business opportunities in Africa. Belanger was represented by Mark Lindquist of Mark Lindquist Law in Tacoma, along with local counsel from Chicago, Austin Bartlett of BartlettChen LLC, and Robert Clifford. What they're saying "I'm happy for our client," Lindquist said. "She stood her ground. We are satisfied with the resolution, accountability, and closure." Lewis was represented by Antonio M. Romanucci, founding partner of Romanucci & Blandin. "This settlement will bring a measure of closure to Lewis' widow, Yalena Lopez Lewis, but can never make up for this heartbreaking and life-altering loss for his family," Romanucci said. The terms of the settlements are confidential, according to a press release from Lindquist's office. What's next There are still pending cases for 18 other victims of the crash. The next trial is scheduled for July. In addition to these civil cases, Boeing is facing a criminal trial in June, brought by the Department of Justice, over allegations of misleading regulators about the 737 Max jetliner before two crashes occurred, resulting in 346 deaths. Seattle driver plummets off multi-story parking garage, 77-year-old rescued Thousands attend Seattle 'Hands Off!' rally against Trump, Elon Musk Tacoma police shoot, kill carjacking suspect Saturday afternoon Sue Bird named to Naismith Basketball Hall of Fame Trump tariffs live updates: Global markets plunge as countries scramble to respond USPS mail delivery changes begin: Here's what to know To get the best local news, weather and sports in Seattle for free, sign up for the daily FOX Seattle Newsletter. Download the free FOX LOCAL app for mobile in the Apple App Store or Google Play Store for live Seattle news, top stories, weather updates and more local and national coverage, plus 24/7 streaming coverage from across the nation.
Yahoo
11-03-2025
- Business
- Yahoo
Howard Levitt: The pros and cons of employee ownership plans
As is often the case, proper planning is key to avoiding financial liability. Giving employees a chance to own shares in the businesses has been trending lately, but it is not a new concept. Employee ownership plans date back to the early half of the nineteenth century, when mostly large corporations began setting aside stock to supplement their workers' retirement incomes. Eventually, pension plans emerged as the primary vehicle for workplace retirement savings, but some employee ownership plans remained, as they were seen to align the economic interests of employees and employers. A notable American study showed that, by the early 2000s, there were more employee owners than private sector union members. While Canadian employers have lagged behind their American counterparts in embracing employee ownership, a number of domestic companies do offer them, including Magna International, Friesens, PCL Construction and Golder Associates Inc. Businesses that offer employees the opportunity to own a piece of the company benefit by attracting and retaining top talent, engendering a high level of employee engagement and creating a built-in incentive for increased worker output. However, for all the positive attributes to employee ownership, there are some obvious and often unconsidered drawbacks. For instance, the ongoing share repurchasing obligations can cause cash flow issues as companies need to keep large reserves on hand in the event they need to dismiss employee shareholders. In the same vein, employee ownership may also act as a hindrance to firing low performing or otherwise problematic employees whose stakes in the company amount to a sizable price tag in the event they are dismissed and demand the company buy back their shares. From an employment law perspective, the chief hazard materializes once the relationship ends. Canadian courts routinely award significant six to seven figure sums to dismissed employees with lingering ownership interests where the bulk of their wrongful dismissal damages come from the cash value of the shares they once held. For example, in a recent wrongful dismissal decision, the court awarded $1.8 million in damages, the vast majority of which was the fair market value of the former employee's stock options, because the terms of the shareholder agreement were not clearly communicated. Still, all is not lost for businesses that offer employee ownership plans and hope to avoid the downside risks. A recent decision by the Alberta Court of Appeal in Spartan Controls considered a clever example of an employee ownership arrangement that evaded the usual scrutiny of the court. The plaintiff was a long-tenured employee who participated in a share ownership plan. As a shareholder, the plaintiff received regular profit-sharing payments, which were calculable upon the number of shares he held at any given time. Under the terms of the shareholder agreement, the company carved out the right to buy back the plaintiff's shares at any time, the only pre-condition being that he receive 90 days' notice. Of particular importance was that the company ensured that the shareholder agreement was entirely distinct from the plaintiff's employment contract. Upon dismissing the plaintiff on a without cause basis, the employer also provided 90 days' notice under the shareholder agreement that it would be buying back all of his shares. The plaintiff contested the enforceability of the shareholder agreement and opted to sue for wrongful dismissal. In doing so, he claimed that he was entitled to profit sharing payments for the entirety of his nearly two-year notice period. The lower court, and later the Alberta Court of Appeal, disagreed and held that he was only entitled to profit-sharing payments for 90 days, not for the entire duration of the notice period. Both levels of court remained steadfast in the plaintiff's right to retain shares and thus receive profit-sharing payments governed by the terms of the shareholder agreement, which had no connection to his actual employment contract nor the work he performed at the company. Rather, his entitlement to profit sharing payments was made in his capacity as a shareholder, not as an employee. A rare outcome, but refreshing for businesses who wish to enrich productive employees while limiting payments to those workers who are less so. The key takeaway from this decision is that employers can stave off significant liability when offering ownership plans by carefully constructing and deploying employment contracts and other agreements related to actual ownership in the company. Lessons from a secretly recorded, back-to-work rant Employment law disputes in politically sensitive workplaces And while skillfully crafted termination clauses and clear language restricting equity entitlements upon dismissal is a good starting point, it is prudent for a company to seek out advice from a practitioner who is not only apprised of the law but of the unique unique circumstances of the workplace and industry. Howard Levitt is senior partner of Levitt LLP, employment and labour lawyers with offices in Ontario, Alberta and British Columbia. He practices employment law in eight provinces and is the author of six books, including the Law of Dismissal in Canada. Stephen Gillman is a partner at Levitt LLP. Sign in to access your portfolio
