Ericsson lays off 100 Canadian employees in move Steelworkers allege is union busting

Ericsson AB is laying off 100 workers across the country, saying it is the result of necessary cost-cutting measures. “ change will bring together our network management services team in Canada with our global operations,” a company statement emailed to The Wire Report said. “We are mindful of the impact on employees and are working to assist them as they make the transition out of the company, including by providing severance packages above market value and making available career transition services and workshops, and other support, immediately.” The Swedish company said it will distribute work across centralized global hubs. The story was first reported by The Globe and Mail. The change worries the United Steelworkers (USW) local 1944, which represents telecom workers. About a third of the laid-off employees were attempting to join a union, according to the union president. “Ericsson is saying that this work will now be done ‘across centralized global hubs,' which we interpret to mean that these jobs are being offshored,” Michael Phillips, president of local 1944, emailed The Wire Report. “We’re exploring our legal options regarding this layoff in relation to our organizing drive.” On July 15, the USW applied to the Canadian Industrial Relations Board to certify it as the union for 201 Ericsson field technicians. The workers had been employees of Rogers Communications Inc. who were given the choice last spring of taking severance or joining the Swedish manufacturer when Rogers sold part of its wireless service business to Ericsson. On Sept. 5, the union discovered 37 workers who wished to affiliate with the USW. Thirty-five of those employees were laid off this week, according to Phillips. The company told The Wire Report that unionization was not a factor in the layoff decisions. Phillips is concerned about the implications for national security if Ericsson’s work was sent to offshore locations. He is alarmed by the possibility that network operating centres (NOCs) could be affected by foreign interference. “he NOC in particular is able to turn off telecom towers partially or completely as part of their maintenance responsibilities, and otherwise control the telecom infrastructure,” the president notes. “There is also a significant ability to intercept digital communications traffic within these roles.” Phillips hopes to discuss the matter with the federal government shortly. Ericsson does not feel the concern is justified. “We partner with the federal government, provinces, universities, and organizations across the country to advance mobile network security and research,” the company told The Wire Report. “Ericsson offers cyber defense solutions designed to protect critical infrastructure, such as mobile networks, from advanced threats.” Ericsson does not expect the layoffs to have an impact on its investment in Canada, which includes more than half a billion dollars in research and development. “Ericsson remains committed to our ongoing investment in our Canadian operations and serving our customers,” the company declared. ppark@thewirereport.ca

Ericsson lays off 100 Canadian employees in move Steelworkers allege is union busting

Telecom |
By Paul Park
| September 11, 2025

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Ericsson lays off 100 Canadian employees in move Steelworkers allege is union busting

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