Amazon has announced plans to close its facilities in Quebec, impacting more than 1,700 full- and part-time workers. According to the company, this decision is tied to cost-saving measures and a return to using third-party delivery contractors. The closures, expected to occur within the next two months, will mark the end of Amazon’s operations at seven sites across the province.
In an emailed statement, an Amazon spokesperson said, “Following a recent review of our Quebec operations, we found that returning to a third-party delivery model supported by local small businesses, similar to the one we had until 2020, will enable us to offer the same excellent service and deliver even greater savings to our customers in the long term.”
The closures come less than a year after approximately 200 workers at Amazon’s Laval warehouse unionized. Quebec is currently home to Amazon’s only unionized workforce in Canada. Employees in Laval cited concerns about intense work conditions, low wages, and insufficient health and safety measures as key reasons for unionizing. The union is advocating for a $26 per hour wage—a $6 increase from current levels. Despite ongoing negotiations, no collective agreement has been reached.
At a recent demonstration, unionized workers expressed their frustrations and hopes for improved working conditions. “We want fair pay for the work we do,” said one worker.
News of the closures left workers at Amazon’s Lachine facility shocked and disheartened. One employee shared their distress: “Nobody saw this coming. No idea what I’m going to do. I need time to digest this.”
Amazon’s decision to shutter all seven sites in Quebec—including facilities in Montreal and Coteau-du-Lac—has raised questions about the impact of unionization on the company’s choices. However, Amazon insists the decision is unrelated to labor organizing efforts.
The company has committed to providing affected employees with up to 14 weeks of severance pay. “We value our employees and are focused on ensuring a smooth transition,” the spokesperson added.
Amazon, which surpassed a $2 trillion valuation last year, operates numerous facilities and employs thousands across Canada. The closures in Quebec represent a significant shift in the company’s operational strategy within the province. The transition back to third-party delivery contractors mirrors a model Amazon used prior to 2020, which relied heavily on local small businesses.
While Amazon emphasizes cost efficiency as the driving factor behind the closures, the move highlights the challenges and complexities of balancing operational costs with employee relations. The company’s decision has prompted reactions from workers, unions, and industry observers, as the implications for Quebec’s labor market and small business ecosystem unfold.