Amazon has revealed plans to close its seven warehouses in Quebec, resulting in the layoff of approximately 1,700 workers.
This decision follows a review of the company’s operations, with Amazon stating that the closures are part of an effort to optimize service efficiency and cost-effectiveness, rather than being connected to the recent unionization efforts at one of its facilities in the province.
In a statement, Amazon spokeswoman Barbara Agrait emphasized that the closures are about delivering better service to customers in a more streamlined manner, focusing on third-party local businesses for delivery operations. The company also pledged to offer up to 14 weeks of pay to the affected employees.
The announcement comes just months after workers at an Amazon warehouse in Laval, near Montreal, became the first in Canada to unionize, joining the Confédération des Syndicats Nationaux (CSN). The unionization process began in May, and by July, collective bargaining negotiations had started. As talks stalled, the two sides were preparing for arbitration. The CSN has since criticized Amazon’s decision, arguing that the closures represent an attempt to avoid arbitration and are a violation of Quebec’s labor laws.
François L’Écuyer, a spokesperson for the CSN, stated that closing the warehouses constitutes a significant change in working conditions, which, under Quebec’s labor code, cannot occur until arbitration concludes. Caroline Senneville, CSN’s president, labeled the move as an “anti-union campaign,” describing it as a blow to workers in Quebec.
Despite the union’s objections, Amazon maintains that the layoffs and facility closures are part of broader operational adjustments, including a shift back to an older delivery model where third-party businesses will be responsible for deliveries into Quebec, as the company did prior to 2020.
In a separate response, François-Philippe Champagne, Canada’s federal industry minister, expressed disappointment over the closure and reiterated that this was not the preferred way of conducting business in Canada.
Amazon’s exit from Quebec’s logistics sector follows a series of investments the company made in the province in recent years. These included opening multiple delivery stations and fulfillment centers, contributing to a growing presence in the area. However, the decision to close these facilities appears to mark a reversal from Amazon’s earlier commitment to expanding operations in Quebec.
This move is part of a broader trend in which Amazon has been streamlining its workforce. Since late 2022, the company has laid off over 27,000 workers worldwide, as it seeks to optimize costs in the face of shifting market dynamics.
The Quebec government has pledged to assist the displaced workers in finding new employment, while the CSN has vowed to continue advocating for the rights of Amazon employees, highlighting concerns that the company’s actions could have broader implications for workers’ rights in the province.
The New York Times and the Washington Post contributed to this report.
