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TORONTO—Unifor is calling out Hudson’s Bay Company (HBC) for unilaterally slashing workers’ commission pay during its retail liquidation—a move that violates collective agreements and reduces workers’ income as they prepare for mass termination.
The union has been informed that commission-based pay will be eliminated as of April 20 for members working in cosmetics departments, as well as for those who earn commission on big-ticket items such as appliances. These workers will be shifted to a base salary only, with HBC citing reduced product inventory and sales as rationale for the decision.
Unifor has filed a grievance against this move, claiming that it is in violation of workers’ legally binding collective agreement rights.
"This is a blatant violation of our members’ collective agreements and a cruel blow especially since managers have been rewarded with bonuses,” said Unifor National President Lana Payne. “We’re talking about workers who’ve spent years working for this company, and now they’re being denied income they’ve rightfully earned and are entitled to."
The union has also raised broader concerns about HBC’s lack of transparency and respect for its obligations during the liquidation process. Unifor has called out HBC for awarding $3 million in management bonuses as workers face termination.
“This company is treating liquidation like a free-for-all where contracts and basic decency no longer apply,” said Unifor Ontario Regional Director Samia Hashi. “Workers are being kept in the dark and their pay is being cut without negotiation. This is exactly why we need stronger legislative protections and enforceable penalties for companies that violate workers’ rights. Workers should be priority one during corporate insolvency and bankruptcy.”
Unifor continues to call on HBC to honour all aspects of its collective agreements, including severance and commissions, ensure full transparency with workers, and immediately reverse its decision to eliminate commissions.
At a recent Unifor conference that gathered more than 100 retail workers from across Canada who offered their full support to HBC workers, two impacted workers from the company’s e-commerce warehouse shared their heart-felt story about the liquidation news.
“We’re all heart broken. We feel betrayed. We just want what was promised to us and for HBC to treat us with dignity and respect,” says Hazel Harris, a worker at HBC’s e-commerce warehouse. “Thankfully our union has our back, and together we’ll keep fighting for every penny that we’re owed. This fight is far from over.”
Unifor Locals 40 and 240 represent approximately 595 HBC employees at stores in Windsor, Kitchener, and Toronto’s Sherway Gardens, as well as workers at the company’s e-commerce warehouse.
Unifor is Canada’s largest union in the private sector, representing 320,000 workers in every major area of the economy. The union advocates for all working people and their rights, fights for equality and social justice in Canada and abroad, and strives to create progressive change for a better future.
For media inquiries please contact Unifor Communications Representative Paul Whyte at @email or by cell at (416) 549-6546.
