The United Kingdom Supreme Court says that Nortel and Lehman Brothers pension plan members should be treated the same as other unsecured creditors of the bankrupt companies.
The underfunded Nortel employee pension plans will benefit from the $7.2 billion sale of the company’s assets, but the creditor line is long and even this large sum of cash isn’t expected to put the fund back in the black. “It’s certainly unrealistic that it’s going to fill up the hole completely,” said lawyer Susan […]
Judge Karen Weiler of the Court of Appeal of Ontario has denied a leave to appeal motion brought by the Dissenting Nortel Disabled Employees in relation to the Health and Welfare Trust distribution. Her decision came down on Friday. The employees now have 60 days to decide if they will file an application for leave […]
The dissenting disabled employees of Nortel have filed a leave to appeal to the Court of Appeal of Ontario to gain a last minute reprieve from the life of poverty and medical crisis they feel they will face now that their health and welfare trust (HWT) has been terminated, a move that went into affect […]
The Ontario government has changed its mind and now intends to give ex-Nortel employees the choice to opt out of a windup plan for their pension and enlist private financial institutions to manage the pension fund. Finance Minister Dwight Duncan informed the group that the province plans to introduce legislative amendments that would give Nortel […]
Nortel Networks Corp. is looking to take back some $37.9 million in retirement savings that has been put away over the last decade by its top U.S. executives, the Wall Street Journal reports. The company says the money is in a deferred-compensation plan that participants understood was a “risky undertaking,” because terms allow Nortel to […]
A committee representing 20,000 Nortel retirees is lobbying the Ontario government to save their beleaguered retirement plan from mandatory liquidation by the end of September. Nortel Networks Corp.’s pension plan members are asking the province to accept a new proposal that allows the private sector to take over the management of the money. The committee […]
Other Brieflies this week:| MON | TUE | WED | THU | FRI | Britain’s pension regulator is looking to get its hands on a portion of Nortel Networks Corp.’s assets in an attempt to shore up a massive shortfall caused by the Canadian tech company’s collapse. The Pensions Regulator has filed a C$3.4 billion […]
A petition has been organized by a former Nortel employee seeking change in Canada’s bankruptcy laws. Melanie Johannink, who was dismissed by Nortel earlier this year without severance pay or continuing healthcare benefits, is calling for changes to the Companies’ Creditors Arrangement Act, (CCAA), the Bankruptcy and Insolvency Act (BIA) and the Investment Canada Act […]
Other Brieflies this week:| MON | TUE | WED | THU | FRI | Nortel Networks has announced plans to cut an additional 3,200 jobs worldwide and cancel all unpaid 2008 bonuses as an attempt to stay solvent under bankruptcy protection. The layoffs will effect approximately 10% of the company’s work force, and is in […]