SENT VIA EMAIL – Thursday, August 17, 2023 3:17 PM
Subject: UTIL UPDATE- AUGUST 17, 2023
Attachment: UTIL Bulletin – August 17 2023
UTIL Update
Dear UTIL members:
On August 4, 2023, at 2:00 pm, the Union was advised that UTIL Canada had filed an assignment in bankruptcy and KSV Restructuring Inc. was appointed as the Licensed Insolvency Trustee (“Trustee”) of the Company’s bankrupt estate.
That same day, as you are aware, employees were provided termination of employment and benefits effective that same day.
While we know that this has left a huge distaste in our members mouths, Unifor was approached by KSV in an attempt to restart the operations.
In order to operate the business, KSV as receiver, negotiated with Unifor the basis on which it will operate the business.
Restarting operations provides opportunities for our members.
- Immediate Employment that may result in continued permanent employment,
- No loss of E.I entitlements,
- Offsetting potential losses through the bankruptcy proceedings (by enhancing company value),
- Incentive monetary bonuses,
- The possibility of new ownership with new management, and
- Successorship opportunities of our hard-fought rights and obligations under your collective agreement.
Please see the attached Document which provides a more inclusive explanation.
We will continue to represent our members in their time of need.
In Solidarity,
Sam Snyders
Unifor, National Representative
John Turner
Unifor Local 112, President