Amazon Canada to Shut Down All Quebec Warehouses, Cutting Over 1,900 Jobs
Amazon Canada has announced the closure of all seven of its Quebec warehouses, a decision that will result in the loss of 1,700 permanent jobs and 250 temporary positions. The closures, set to occur over the next two months, have drawn criticism and speculation, particularly given the recent unionization of Amazon’s Laval warehouse.
Amazon’s Official Explanation
Amazon has framed the closures as a cost-cutting measure aimed at enhancing customer savings. “This is about offering the best service we can to customers in a way that’s efficient and cost-effective,” Amazon spokesperson Barbara Agrait stated in an email.
The company denied allegations that the move is tied to anti-union efforts, which have been a point of contention at its Quebec facilities. Instead, Amazon indicated that it would revert to a pre-2020 business model in Quebec, relying on third-party companies for package deliveries.
Unionization Efforts Under Scrutiny
The announcement comes months after approximately 240 workers at Amazon’s Laval warehouse successfully unionized, becoming the first Amazon warehouse in Canada to do so. The unionization process, led by the Confederation of National Trade Unions (CNTU), faced resistance from Amazon, which challenged the union’s accreditation before ultimately losing at Quebec’s labour tribunal in October.
Caroline Senneville, president of the CNTU, criticized the closures, calling them “a slap in the face for all Quebec workers.” She stated, “It’s a move that runs counter to the provisions of the Labour Code, and one we’ll be taking a firm stand against.”
Senneville’s concerns echo previous allegations of anti-union practices at other Amazon locations. For example, the company was ordered last year to stop interfering in union activities at a warehouse in Montreal’s Lachine borough and pay $30,000 in damages to the union.
Facilities and Job Loss Details
The closures will impact facilities in Lachine, Longueuil, Coteau-du-Lac, and Laval. These include:
One fulfillment center
Two sorting centers
Three delivery stations
One AMXL facility for large goods like furniture and TVs
Affected employees will receive severance packages with up to 14 weeks’ pay and access to transitional benefits, including job placement resources.
Quebec Premier Reacts
Quebec Premier François Legault expressed disappointment over Amazon’s decision but refrained from assigning blame. “I can understand that it must be tough for the 1,700 families involved with these decisions,” he said during an appearance in St-Sauveur, Que. “Why do they do that, how do they do that, the questions must be asked to Amazon.”
Union Concerns and Broader Implications
Labour experts and unions have raised concerns about the closures setting a precedent. Michael Lynk, professor emeritus of law at Western University, highlighted that unionized locations could face heightened scrutiny.
“Any Amazon location where unionization efforts have been underway should have a genuine worry that they might be shut down as well,” Lynk said. He added that unionization often increases staffing costs by 15-25% and holds businesses to higher standards for labour and safety practices, making it a contentious issue for large corporations like Amazon.
The closures also draw parallels to a 2005 incident involving Walmart Canada, which shut down a store in Jonquière, Que., shortly after workers unionized. The Supreme Court of Canada later ruled that the move violated Quebec labour laws.
Potential Legal Action
Given Amazon’s history and Quebec’s labour laws, the CNTU is likely to file an unfair labour practices claim on behalf of the affected Laval workers. Lynk noted that while the union might succeed in legal challenges, it won’t guarantee job restoration for the affected employees.
Future of Amazon in Canada
Despite the closures, Amazon maintains a significant presence in Canada, with 34 delivery stations, 23 fulfillment centers, six sorting centers, six AMXL facilities, three corporate offices, and two tech hubs. However, the company’s stance on unionization remains a contentious issue, particularly as other warehouses, like one in Delta, B.C., face ongoing unionization efforts and related disputes.
Looking Ahead
The closures have sparked renewed discussions about workers’ rights, corporate accountability, and the broader implications for unionized employees in Canada. As legal battles loom, the outcome could set a precedent for how multinational corporations operate in unionized environments.
Stay updated on Amazon Canada news and labour developments here.
Source : The Canadian Press
