Nortel, ex-employees face off in court over severance dues

Lawyers for Nortel Networks Corp. and former employees of the fallen technology giant are facing off in court.

Lawyers for Nortel Networks Corp. and former employees of the fallen technology giant are facing off in court.

Several groups of employees are trying to get severance payments and employee benefits such as dental coverage that were cut off when Nortel got court protection from creditors.

Nortel’s lawyer argued that under bankruptcy pro­tection a company isn’t obliged to pay severance or benefits to former employees. The iconic Canadian telecom technology company, which originated as part of Bell Canada, has been operating under court protection since January.