Additional Coverage:
- Amazon will close all 7 warehouses in Canada’s Quebec province, eliminating 1,700 jobs (newsbreak.com)
Amazon announced Wednesday it will close all seven of its Quebec warehouses within the next two months. This will result in the loss of approximately 1,700 permanent full-time jobs and 250 temporary positions in the greater Montreal area.
The company claims the closures will lead to long-term customer savings. Amazon plans to return to using third-party delivery services, a model it used in Quebec before 2020.
An Amazon spokesperson stated the decision followed a recent operational review and promised impacted employees a severance package including up to 14 weeks of pay and job placement assistance. The closures affect a variety of facilities, including a fulfillment center, sorting centers, delivery stations, and a facility for large items.
Canadian Minister of Innovation, Science and Industry François-Philippe Champagne expressed his disappointment and frustration with Amazon’s decision. He stated he contacted Amazon’s Canadian leadership to voice his concerns, emphasizing that this is not how business is conducted in Canada.
In May, around 240 workers at an Amazon warehouse in Laval, a Montreal suburb, successfully unionized. This was a first for Amazon in Canada. Although Amazon challenged the union’s legitimacy, a labor tribunal ruled against the company in October.
The president of the union involved in the Laval organizing effort believes the closures are a direct result of the unionization efforts and a violation of labor laws. She vowed to fight the closures.
A law professor compared the situation to a similar incident 20 years ago involving Walmart Canada, which closed a unionized store in Quebec. That closure ultimately led to a Supreme Court ruling against Walmart.