A vice president of Investissement Québec (IQ) caused a stir at the state-owned company last fall by organizing a staff meeting with alcohol and a DJ that cost more than $115,000.
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The event took place in November at the Hilton DoubleTree Hotel in Complexe Desjardins and aimed to “present the priorities and action plan of the first vice presidency of the regional network and share information on internal cross-cutting and structuring initiatives of the company,” IQ explained in a response to a Freedom of Information request from the Journal.
Pierre-Paul Poulin / Le Journal de Montréal / Agence QMI
Around 335 employees from the organization's twenty regional offices took part in the event.
More specifically, it was the pre-dinner cocktail, where alcohol was served, that caused a stir at IQ.
“As the event took place in November, it was decided to combine this meeting with an evening activity to celebrate the holidays. For the latter, each employee was offered two vouchers at the end of the day, which they could exchange for alcoholic and non-alcoholic drinks,” explained IQ spokeswoman Isabelle Fontaine.
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The drink bill came to over $8,700 (before tax) or $26 per person. Added to that was the cost of more than $4,700 to hire a DJ, Ms. Fontaine said.
IQ also paid an unspecified amount for accommodation in Montreal for “one or two nights” of “employees who are based in the region and are too far away to travel safely in the morning and/or evening.”
“Our systems are not designed to allow us to know how many hotel rooms have already been paid for,” the spokesman admitted.
Costs in detail
- Room rent: $4075
- Meals (breakfast, lunch and dinner): $70,296
- Alcoholic and non-alcoholic beverage vouchers: $8,716
- Audiovisual: $19,430
- Animation: $4739
- Transportation: $9,330
- Total (taking into account a “credit” of $1,400, but before taxes): $115,186
Fired a few days later
Was there a connection between this extraordinary event and the dismissal a few days later of the first vice-president of the regional network, Jocelyn Beauchesne?
“We have no comment,” Isabelle Fontaine replied laconically to the Journal.
Jocelyn Beauchesne photo from LinkedIn
IQ never wanted to reveal the exact reasons that justified its decision to fire the manager, who has worked for the company since 2017.
“Mr. Beauchesne violated a governance rule of Investissement Québec and in our capacity as a state-owned company, management considered that he could no longer maintain his position. However, he did not take advantage of this, behave inappropriately or harassed other people and there were no consequences for customers. No severance pay was paid,” Ms. Fontaine commented in November.
Tricky question
Did IQ go too far by offering some of its employees free alcohol to conclude a meeting about its goals and strategy? Michel Séguin, a professor at UQAM and a specialist in governance, was cautious.
“Of course, the issue of alcohol is always a sensitive issue that needs to be taken seriously. Why difficult? Simply because with public budgets we do not expect people to consume something that is considered a form of leisure,” argued Mr. Séguin.
“If I have to manage the integrity of my organization and decide to offer a cocktail, I have to ask myself certain questions,” especially regarding the possible reputational consequences of such an event, he emphasized.
Michel Séguin Photo from the UQAM website
The expert ruled that consuming alcohol during dinner was completely unacceptable.
“Discussions during happy hour are part of the habits and customs,” he remembers. As long as it is controlled… We must never forget that the employer spends public money. It must therefore demonstrate that these costs lead to greater employee engagement. [et] Maintaining a good working atmosphere.”
There are fewer and fewer alcoholic parties
Many public organizations, including state corporations and municipalities, have for several years stopped offering alcohol to their employees at holiday receptions.
IQ clarified that the regional network's vice presidency had organized only one other “similar” event since January 2019.
On the other hand, since 2021, IQ has organized a virtual meeting called Perspectives every year, where executives present “the vision, strategy and action plan” of the state-owned company to the state-owned company’s approximately 1,220 employees. The last edition took place in June 2023 and cost no less than $157,000.
Recall that in the 2022-2023 fiscal year, IQ posted a return of -4.8% and a net loss of $224 million – the largest in its history.
Earlier this week, Bicha Ngo took the helm of the organization, succeeding Guy LeBlanc, who had held the position since 2019.
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