The Rotation: Vol. 7
Additional Layoffs for Canopy, Psychedelic Therapy Lawsuit and Personal Cultivation Update
More layoffs at Canopy Growth and Hexo
Canopy Growth announced more layoffs describing it as strategic adjustments notes a company press release. This also comes off the back of the recent announcement by Hexo that they will be closing their Belleville facility in order to streamline operations.
- Canopy expects the changes will generate savings of 100 – 150 million within 12 – 18 months
- According to CEO David Klein “to realize profitability and power growth, we are taking critical actions to further evolve Canopy Growth into an agile organization with a clear focus on the areas where we have the greatest potential of success,”
- Hexo is looking to become cash flow positive, it is worth noting that the Truss Beverage Co. operations are not impacted by the change and will continue to operate out of the facility.
Cannabis can be a volatile industry, and this is particularly true for employees working at companies that have undergone mass layoffs over the last several years. As large producer’s clamor for profitable growth and streamline operations, the real-world impact that this has on the effected employees cannot be forgotten.
Lawsuit Filed Against MAPS Board Member
George Sarlo, a notable philanthropist and psychedelic advocate has filed a lawsuit against a board member at the Multidisciplinary Association for Psychedelic Studies (MAPS) with STAT releasing an in-depth investigative report by Olivia Goldhill.
- Sarlo is well-known in the psychedelic community for being an early proponent of the potential mental health benefits of psychedelic and has donated considerably to psychedelic research.
- The lawsuit filed in May 2021 alleges that Dulai exploited her relationship with Sarlo, leading to her receiving upwards of $4 million.
- According to the lawsuit, Dulai gradually gained more influence over Sarlo’s life, working as his personal assistant, health care provider, and caregiver and had access to Sarlo’s bank accounts, email, and medical documents.
- Dulai remains on the board, and MAPS has taken no public steps to distance itself from her alleged actions claiming that they did not investigate the accusations against Dulai stating no credible claims have been made.
Despite the conflicting accounts, this investigation by STAT highlights the clear need for strong regulations and formal licensing process and oversight for people supervising patients. The potential increased vulnerability of elderly people taking mind-altering drugs cannot be taken lightly and this investigation highlights the intricacies of a complicated client-therapist relationship. As the report states, “any medical or caregiving relationship has the potential to be taken advantage of, and psychedelics elevate that risk, highlighting the need for strong regulations to protect patients”.
Health Canada Releases Guidance Document on Personal Production
Health Canada has provided guidance on the access to cannabis for medical purposes program, primarily outlining its ability to provide the authority to refuse to issue, renew, amend, or revoke a registration for personal or designated production.
- The guidance document outlines factors that may be considered in assessing public health and public safety concerns.
- These factors include history of non-compliance, criminal activity, and daily authorized amount.