Latest details on layoffs at Wayfair
In a surprising turn of events, Wayfair, the e-commerce giant, announced another wave of layoffs. Today’s announcement reveals that 13% or 1,650 members globally will face layoffs. This marks the third round of workforce reductions, following the 2022 layoffs, where Wayfair cut 5% (870 workers) of its global workforce and an additional 750 global workers in 2023.
Niraj Shah, Wayfair’s Chief Executive Officer, attributes the layoffs at Wayfair to over hiring during better economic times, as well as deviating from their core principles. Wayfair needs to eliminate excess and “get efficient”.
This cut should deliver $280 million in annualized cost savings for the organization.
How are Canadian employees affected by Wayfair layoffs?
Wayfair’s 1,650 employee reduction affects 50 Canadian employees, all from Ontario. Laid off employees will receive severance and support.
Severance pay for Canadian Wayfair employees
In Canada, Wayfair employees not part of a union are entitled to receive their full severance pay in the event of job loss due to downsizing or corporate restructuring. Various factor can impact a severance package, potentially spanning up to 24 months of pay. In case of mass layoffs of 50 people or more in Ontario, employees may be entitled to a greater severance package. Those not receiving their complete severance amount have the right to pursue compensation. We advise seeking legal counsel to ensure individuals laid off at Wayfair receive their entitled compensation.
At Whitten & Lublin, we understand the challenges associated with job loss or termination, recognizing it as a stressful experience. Our team of experienced employment lawyers will guide you through the available legal avenues. This ensures you receive the rightful compensation owed to you. We encourage those affected by recent layoffs in Canada to reach out to us for a consultation, accessible through our online portal or by phone at (647) 951-7460 today.