Tim Hortons Inc. is letting go an unspecified number of employees at its corporate offices as it prepares for a new era under the new ownership of fast-food chain Burger King.
The company on Tuesday afternoon confirmed rumours floating through the industry over the past week or so – that it is streamlining its corporate operations and slimming down. But it declined to give specific numbers.
"We have had to make some difficult but necessary decisions today as we reorganize our company to position ourselves for the significant growth and opportunities ahead of us," Tim Hortons spokeswoman Alexandra Cygal said in an e-mail. "This comprehensive process has created tremendous opportunities for some of our employees in new roles and promotions."
She said departing employees will be provided "generous and enhanced severance packages, continuing health benefits and outplacement services."
She added: "We are confident the new organization will be faster, more efficient and better positioned for continued success." She said Tim Hortons' head office will remain in Oakville, Ont.
The layoffs come about a month after the $12.5-billion takeover of Tim Hortons by Burger King, creating a fast-food giant with $23-billion (U.S.) in annual sales and now called Restaurant Brands International Inc. The move came as no surprise to industry observers and mirrored what happened at Burger King shortly after Brazilian private-equity firm 3G Capital Management LLC acquired it several years ago. Now 3G is the new owner of Tim Hortons.