Amazon Exiting Quebec: To Close 7 Warehouses, Lay Off Nearly 2,000 - Modern Distribution Management

Amazon Exiting Quebec: To Close 7 Warehouses, Lay Off Nearly 2,000

Amazon’s decision to close Quebec warehouses and facilities has drawn reactions from the Canadian government and unions.
KENOSHA, WI,USA - JUNE 19, 2021 - Amazon warehouse facility exterior and trademark logo.

Amazon announced it will exit Quebec, Canada, closing all warehouses and facilities in the region, resulting in the loss of nearly 2,000 jobs.

In an emailed media statement on Jan. 22, Amazon spokesperson Barbara Agrait said the decision to shut down delivery operations in Quebec comes after a recent review of the province’s operations. The company explained that it will be shifting to a third-party delivery model.

Labeled a Distributor, Amazon Given Hazardous Products Remediation Orders (Jan. 20)

“We’ve seen that returning to a third-party delivery model supported by local small businesses, similar to what we had until 2020, will allow us to provide the same great service and even more savings to our customers over the long run,” Agrait said.

This delivery model means products will be sourced and packaged at other Amazon facilities in Canada before being shipped to a third-party for delivery to customers in Quebec.

Canadian Industry Minister François-Philippe Champagne responded to Amazon’s decision, saying he spoke with the head of Amazon’s Canadian unit to relay his “dismay and frustration” about the company’s choice in a post on X.

The emailed statement also said that the decision was driven by “cost-saving measures,” not the recent unionization of approximately 200 employees at a Laval, Quebec warehouse, which is among the facilities being closed.

What’s Next

According to Agrait’s statement, seasonal workers will be paid through the end of their contracts, while permanent staff will receive 14 weeks of pay, along with additional benefits, once the facilities close.

The closures of all facilities will occur over the next two months.

Take MDM’s 2025 Trends Survey: Help shape our editorial content and be entered to win a $100 gift card 

Amazon also provided the scheduled layoff dates, which are as follows:

  • Laval (DXT4): 287 employees, Feb. 8.
  • Saint-Hubert (HYU1): 38 employees, Feb. 8.
  • Lachine (DXT6): 319 employees, Feb. 8.
  • Laval (DXT5): 268 employees, Feb. 8.
  • Saint-Hubert (YUL5): 371 employees, Feb. 15.
  • Lachine (YUL2): 358 employees, March 15.
  • Coteau-du-Lac (YUL9): 356 employees, March 22.

One Closing Location Recently Unionized

In Laval, employees at the DXT4 center unionized in April 2024, citing concerns over a fast-paced work environment, low wages and insufficient health and safety measures. It became the first Amazon facility in Canada to receive union certification.

According to a Jan. 22 news release, the Confederation des Syndicats Nationaux (Central Labour Union) — a labor federation in Quebec representing over 2,000 unions — condemned Amazon’s closure move as “outrageous” and “a slap in the face” to workers, arguing it undermines negotiations for Amazon’s first collective agreement in Canada, which began last July.

Amazon to Mandate Office Attendance for Employees (September 2024)

President of the Central Labour Union Caroline Senneville said she would challenge the decision.

“There is no doubt that the closures announced today are part of an anti-union campaign against the CSN and Amazon employees,” Senneville said in a statement to Barron’s news.

Related Posts

Share this article

About the Author
Recommended Reading
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

2

articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to mdm.com, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to MDM.com
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events

1

article
left

You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on mdm.com
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.

Register for full access

By providing your email, you agree to receive announcements from us and our partners for our newsletter, events, surveys, and partner resources per MDM Terms & Conditions. You can withdraw consent at any time.

Learn More about Custom Reports

Request a Market Prospector Demo

  • This field is for validation purposes and should be left unchanged.

Get the MDM Update Newsletter

Wholesale distribution news and trends delivered right to your inbox.

Sign-up for our free newsletter and get:

  • Up-to-date news in a quick-to-read format
  • Free access to webcasts, podcasts and live events
  • Exclusive whitepapers, research and reports
  • And more!