A Food Basics store will take over a Metro grocery store in Ottawa’s South Keys area this autumn, resulting in the loss of jobs for numerous employees. Metro Inc. explained that the closure of the store on Wednesday is part of a strategic move to better cater to customer demands in the region by transitioning to a discount banner.
The decision surprised employees at the Southgate Metro location, including Justin Braganza, a meat cutter with over three decades of experience at the store. The news of the closure was delivered in May, citing financial pressures such as increased rent and insufficient profitability under the Metro business model.
Despite questions about rent costs impacting the closure, Metro reiterated that the conversion was based on local market conditions and customer requirements. The Southgate Metro employed 72 individuals, who, according to the collective agreement, do not have the option to transfer to other Metro outlets.
The new Food Basics store’s agreement mandates hiring a minimum number of former Southgate Metro workers who apply, taking into account their seniority concerning pay structures. However, this offers little solace to Braganza and others who face uncertain job prospects due to different job requirements at Food Basics.
The local United Food and Commercial Workers union negotiated for enhanced options for affected workers, including job opportunities at the new store and improved severance packages. Legal experts have raised concerns about the situation, with the possibility of union grievances over potential anti-union practices or work shortage claims by Metro.
While settlements between unions and employers can resolve such disputes, the process can be lengthy, leaving employees financially vulnerable. Braganza expressed disappointment over the lack of worker rights in the situation and the personal toll of parting ways with colleagues and customers after years of building relationships.
