Canada Follows US Lead with TikTok Ban
Why is the reason for TikTok’s Ban?
Citing national security concerns, the Canadian government has ordered TikTok to cease its business operations in the country, mirroring similar actions taken by the United States. Although the app will still be accessible to Canadians, this decision casts uncertainty on the future of TikTok’s Canadian workforce.
How Many Jobs Are at Risk?
With major offices in Toronto and Vancouver, TikTok has warned that this shutdown could eliminate hundreds of well-paying jobs, affecting local employees and raising questions about the broader impact on the Canadian tech landscape.
In response, TikTok released a statement expressing that the shutdown order would not benefit anyone and would severely impact the livelihoods of their Canadian employees.
What Layoffs Have Happened in Other Countries?
Canada isn’t the first country where TikTok employees are facing layoffs. Recently, the company cut over 700 jobs in Malaysia, mostly within the content moderation department, and similar downsizing is expected in the U.K., where 125 employees were notified that they could be made redundant.
The job cuts in Malaysia and the U.K. are part of a broader shift towards automated content moderation, which TikTok says is necessary for scaling operations but results in reduced demand for human content moderators.
Will the Ban Affect Canadian Users?
Without a local presence, TikTok’s capacity for handling region-specific content moderation and user support in Canada may decrease. While it’s too early to know how this will impact user experience, any noticeable changes could provide insights into what Canadian users might face in the coming months.
Here’s What Canadian TikTok Employees Need to Know
If you’re a non-unionized TikTok employee in Canada facing potential layoffs due to the recent shutdown order, understanding your severance rights is crucial. Severance packages can differ depending on factors like years of service, job role, and age, with some employees eligible for up to 24 months of compensation.
At Whitten & Lublin, our experienced employment lawyers are here to support you through this challenging period. For guidance on your severance options and next steps following the TikTok shutdown, reach out for a consultation online or by phone at (416) 640-2667.