Supporters gathered outside the East York warehouse of Mama Earth Organics to protest the planned layoff of 101 workers, accusing the company of using a warehouse relocation to dismantle its unionized workforce.
Roughly 30 current and former employees, along with community supporters, joined the demonstration Tuesday, carrying signs and chanting against what some described as “union busting.” The rally took place outside the company’s soon-to-close Toronto facility, where produce has long been packed and delivered to homes across the Greater Toronto Area.
The layoffs were first announced in a March 17 email from CEO Ran Goel, who informed staff that the East York warehouse would shut down and operations would move to a new site in Mississauga. Workers were told they could apply for positions at the new facility.
Those affected include unionized warehouse packers and delivery drivers represented by UFCW Local 1006A. According to workers, non-union salaried staff such as management and office employees were not included in the layoffs.
Several employees argued the move is designed to eliminate existing union protections. They pointed to language in the collective agreement that applies to facilities within Toronto but does not explicitly cover operations relocated outside city limits.
Delivery driver Ian Goff said workers understand business pressures but question why current employees are not simply being transferred to the new warehouse. He said the decision appears aimed at cutting labour costs rather than preserving experienced staff.
The company strongly denies those allegations. Goel said the move is driven by financial realities, including a lease set to expire in October, a reported 60 per cent rent increase, and more than $1 million in required upgrades to refrigeration and HVAC systems.
He added that the business has struggled since filing for insolvency in 2024 and has been unable to secure financing from major banks. Independent grocery businesses across the city, he said, have faced similar pressure in recent years.
Another point of concern for workers is the company’s plan to post many new delivery roles through Trexity, which uses independent couriers. Some fear this could reduce stable jobs and replace employees with gig-based work. The company says it will still operate its own delivery fleet while testing additional delivery options.
Workers at the rally said they are demanding three key outcomes: the right to continue working at the Mississauga facility under existing contract terms, recognition of the union at the new site, and fair severance for those who do not remain.
With discussions between management and the union still underway, the dispute highlights broader tensions in Ontario’s changing retail and delivery economy, where rising costs, warehouse relocations and gig-work models are reshaping traditional jobs.