(Ottawa) As federal MPs accuse Bell Canada of greed, the company’s CEO on Thursday defended his decision to cut thousands of jobs, citing a change in the viewing habits of Canadians, who spend gradually from traditional television to online television.
MPs who are members of the House of Commons heritage committee questioned CEO Mirko Bibic during often heated exchanges on Thursday afternoon.
Parliamentarians had subpoenaed him to explain why BCE is laying off approximately 9% of its workforce despite the federal financial aid the company has received.
BCE Inc., the parent company of Bell Media, announced in February that it was cutting some 4,800 jobs, terminating several television news programs and selling 45 of its 103 radio stations across the country, including seven in Quebec.
PHOTO ADRIAN WYLD, CANADIAN PRESS ARCHIVES
Conservative MP Rachael Thomas
The Conservative critic for Canadian heritage, Rachael Thomas, criticized Thursday these layoffs in a company worth 40 billion which benefited from government subsidies.
In a heated exchange, Mr. Bibic defended the decision, blaming factors such as productivity, inflation and delays in the federal streaming law, which aims to level the playing field between these platforms and “traditional” broadcasters — under which Bell benefits from significant regulatory relief.
“You were not able to directly answer a single one of my questions today,” Ms.me Thomas.
Several MPs on the committee made colorful accusations against Mr. Bibic, including NDP leader Jagmeet Singh, who came briefly to chastise the CEO for “choosing greed” over giving consumers “a break” on mobile phone costs.
Liberal MP Taleeb Noormohamed told CEO that “the idea that BCE saw fit to accept substantial bonuses and equity benefits at a time when its workers, staff and journalists could have saved their jobs is a bit disappointing “.
“I think it’s important to think about Canadians, especially those who have subsidized your business for so long,” he added.
Mr. Bibic argued that the media ecosystem in Canada “was in crisis”.
“The industry is changing due to technological upheaval, changing viewer habits, changing advertiser demand and vigorous competition from foreign Web giants who are not subject to the same regulations expensive than Canadian broadcasters,” he argued.