Tuesday, July 10, 2007

BCE Protest

Walking in to the less-than-esteemed HRSDC offices this morning, I passed a bunch of disgruntled Bell Canada employees chanting "No Outsourcing!" and similar junk. This is (duh) a reaction to the takeover of Bell by private equity, with Ontario Teachers Pension as the lead. This would be the largest private equity deal ever consummated, not just in Canada, but in the US as well.

I can't say I'm overly impressed on a number of levels. Nobody has a right to have the government protect their jobs in the face of corporate shakeups. Not that such 'outsourcing' has been announced, since the deal has yet to be approved by regulators (but it should be). It's easy to harp on the obvious losses from trade, but difficult to precisely illustrate the gains.

Of course, I would personally be somewhat surprised if outsourcing happened. Staff reductions, perhaps. Though I suppose I should qualify that I'm no business student. I guess we'll stay tuned.

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