Radio / Television News

Feds probe CHCH layoffs

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HAMILTON – The federal government has launched an investigation into Channel 11 Limited Partnership, some three months after CHCH-TV Hamilton cut staff and declared bankruptcy.

According to a report by AM900 CHML in Hamilton, dozens of terminated CH employees received a letter from Employment and Social Development Canada this week saying that it is investigating the issue of unpaid severance and lost wages.

The letter, a copy of which was obtained by Cartt.ca, says that while the Labour Program of Employment and Skills Development Canada can’t actively obtain any unpaid wages from Channel 11 Limited Partnership, “the director(s) of the general partner, 2208937 Ontario Inc., may be found to be jointly and severally liable”.

The Labour Program promised to monitor the bankruptcy proceedings and communicate with the former employees as the investigation proceeds.  “Please note that this investigation may take considerable time to complete, as any decision respecting director liability is affected by the bankruptcy proceedings”, continues the letter.

It also directed the workers to register their claim with the bankruptcy trustee and, if eligible, to apply for compensation from Service Canada’s Wage Earner Protection Program.

As Cartt.ca reported, CHCH declared bankruptcy on December 11 and cut all of its 167 employees before offering 81 of them positions with a new company.  CHCH is owned by independent broadcaster Channel Zero.