Former Sears Canada Inc. (SRSC) workers are 'very, very upset' after the restructuring retailer cut off severance pay to them as it undergoes its restructuring process, according to a CBC News report.
"Among other things, paying these amounts would put the interests of one group of unsecured creditors ahead of those of other creditors, including secured creditors who have priority over unsecured creditors," a Sears Canada spokesperson told the news agency in an email Wednesday.
The company announced that it was closing 59 stores and laying off 2,900 workers as part of its restructuring plans last month. Sears has 30 days to restructure itself after it was granted protection from its creditors under Canada's Companies' Creditors Arrangement Act on June 22.
A Canada Superior Court judge is scheduled to hear arguments concerning pension matters on July 13.
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Volvo is no longer feeling gas engines: Ford's (F) founder Henry Ford may be rolling over in his grave on this one. Volvo Cars said Wednesday that all of its cars will feature an electric engine from 2019, as it embraces of the new technology in the face of industry-wide adoption. The Swedish car maker will roll out a mix of all-electric, hybrid and mild hybrid cars from 2019 and will no longer offer vehicles that carry just a traditional internal combustion engine, TheStreet reports.
"This announcement marks the end of the solely combustion engine-powered car," said CEO Hakan Samuelsson. "Volvo Cars has stated that it plans to have sold a total of 1 million electrified cars by 2025. When we said it we meant it. This is how we are going to do it." Meanwhile, Nissan said Wednesday that its new all-electric Leaf will hit markets starting September 6.
