On January 23, 2025, Amazon announced the closure of all its warehouse and logistics operations in Quebec, resulting in the layoff of 1,700 employees. This decision marks a significant reversal from the company’s previous investments in the province, where it had expanded its operations in recent years.
- Amazon closes operations in Quebec.
- 1,700 employees to be laid off.
- Recent investments included three delivery stations.
- Unionization efforts challenged by Amazon.
- Service model reverts to pre-2020 operations.
- Tribunal ruled against Amazon's union objections.
Amazon’s decision to close its seven facilities in Quebec comes after the company had previously invested in expanding its logistics network in the province. In 2021, Amazon opened three delivery stations, followed by another station in 2022, alongside a small fulfillment center and two sorting warehouses. These investments amounted to approximately 2 million square feet of operations.
According to Barbara Agrait, a spokesperson for Amazon, the closures aim to enhance service and savings for customers in the long term. The company plans to revert to its operational model from before 2020, where packages will be prepared in facilities located in neighboring provinces and delivered to Quebec by third-party carriers.
The closure follows the unionization of Amazon’s first Canadian facility in Laval, where about 230 warehouse workers formed a union in May 2024. Amazon contested this unionization effort, claiming that the workers had not voted by secret ballot. However, a provincial labor tribunal ruled against Amazon in October 2024, just ahead of the holiday shopping season.
This shift in Amazon’s operations raises questions about the company’s future in Quebec and its relationship with labor unions in Canada. While the company will continue to serve customers in the province, the impact of these closures on the local economy and workforce remains to be seen.
In summary, Amazon’s decision to close its Quebec operations and lay off 1,700 workers reflects a strategic shift following recent unionization efforts. The company will revert to its previous operational model, emphasizing the need for adaptation in the evolving labor landscape.
