A Food Basics store will replace a Metro grocery store in Ottawa’s South Keys neighborhood this fall, resulting in job losses for many employees. Metro Inc. stated that the decision to convert the store to a Food Basics was made to better align with customer demands in the area, following an evaluation of various factors including local market conditions and store performance.
The announcement came as a surprise to employees at the Southgate Metro location, with long-time employee Justin Braganza expressing shock over the closure news. According to Braganza, the decision was conveyed to employees in May, citing financial pressures such as increased rent and concerns about the store’s profitability under the Metro model.
Despite inquiries about rent costs, Metro reiterated that the change was driven by local market dynamics and customer requirements. The Southgate Metro employed 72 individuals, who, under the terms of their collective agreement, cannot transfer to other Metro locations. However, these employees are encouraged to apply for positions at the new Food Basics store.
The collective agreement for the new Food Basics store mandates the hiring of a specific number of part-time and full-time employees from the Southgate Metro. While seniority will be considered for former Southgate Metro employees transitioning to Food Basics, the change in wage structures poses challenges for some employees like Braganza, whose roles may not exist at the new store.
The United Food and Commercial Workers union negotiated enhanced options for affected workers, including job opportunities at the new Food Basics store and improved severance benefits. Despite legal provisions allowing for layoffs due to lack of work, questions have been raised regarding Metro’s actions in rebranding to Food Basics and potential implications on employee rights and union grievances.
Amid uncertainties, employees like Braganza feel disempowered and uncertain about their future job prospects. Reflecting on the camaraderie and connections formed at the Metro store, Braganza lamented the impending separation as employees prepare to part ways due to the closure.