Shaw Canada L.P. employees and retirees file lawsuit against Shaw Group for
wrongful dismissal and amounts owing to Shaw Canada Pension Plan
TORONTO, Dec. 20, 2012 /CNW/ - On December 20, 2012, terminated Canadian
employees and retirees of Shaw Canada L.P. filed a lawsuit against The Shaw
Group Inc., an engineering multi-national based in Baton Rouge, Louisiana, and
other related defendants, for wrongful dismissal and for payment of amounts
owing to the Shaw Canada Pension Plan in the total amount of $39,249,810.
The lawsuit arises out of the mass termination of all employees of Shaw Canada
in August 2012 and the abandonment by Shaw Group of the underfunded Shaw
Canada Pension Plan.
The lawsuit alleges that Shaw Group is the common employer of the Canadian
employees and is liable for severance pay owing to the employees. The
lawsuit also alleges that Shaw Group is the administrator of the Shaw Canada
Pension Plan and owes a fiduciary duty to the Shaw Plan members which it has
breached. The Shaw Canada Pension Plan is underfunded by approximately $5.7
The lawsuit also alleges that Shaw Group and the defendants acted in a manner
that was oppressive to the Canadian employees and retirees, and that the
defendants conspired to orchestrate the bankruptcy of Shaw Canada to evade
paying severance pay and amounts owing to the Shaw Canada Pension Plan.
"Rather than winding down Shaw Canada in an orderly and responsible manner and
providing prior notice to the employees that their employment would be
terminated, the claim alleges that Shaw Group has not paid legal severance
obligations owing to its Canadian employees and has not paid amounts owing to
the Shaw Canada Pension Plan or its windup", said Andrew J. Hatnay, partner
with Koskie Minsky LLP in Toronto who represents the Canadian employees and
A senior manager with Shaw Canada who is one of the terminated employees, says
that "The employees have been attempting to resolve the payment of their
severance pay with Shaw Group for months and have been stone-walled. We now
have no choice but to seek a remedy in the courts".
For further information or a copy of the Statement of Claim, please contact
Koskie Minsky LLP, counsel for the employees and retirees at 1.855.595.2624
For media inquiries, please contact Andrew J. Hatnay firstname.lastname@example.org.
SOURCE: Koskie Minsky LLP
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-0- Dec/20/2012 22:38 GMT
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