RBC hires foreign workers to replace Canadian employees

The Royal Bank of Canada is under investigation by the federal government after former employees explained that they had been fired so that foreign workers could come to Canada and take over their jobs.

According to the CBC, in February RBC told 45 employees working on the regulatory and financial application teams that their jobs would be terminated by the end of April. The foreign workers who will be working in Toronto are from a large outsourcing company from India that has a contract with RBC to supply IT work. 

A RBC spokesperson stated that the foreign workers will be working in the bank’s offices until 2015. According to RBC, the work will then be transferred abroad, though some foreign workers will stay permanently. 

Canada’s largest bank says the work is being outsourced for effectiveness and to save money. 

It is against federal law for companies to bring foreign workers to Canada, even temporarily, if it forces Canadians to lose their jobs. RBC has refused to answer when asked how the work visas for the workers were approved, and stated that it is trying to find new positions for the Canadian employees affected by the decision. Only five out of the 45 workers have found new jobs within the bank.

Hundreds of RBC customers have criticized the bank, calling for a boycott and stated that they will move their accounts to another bank in support of the Canadian workers. 

Flickr photo: Francisco Diez