TORONTO – Unifor, Hudson's Bay has made a notable reversal regarding its decision on employee commissions. The labor union announced that the liquidating retailer will resume paying commissions to its employees, a change that comes after the company's initial announcement to terminate commission payments effective April 20.
According to Dwayne Gunness, President of Unifor Local 40, Hudson's Bay informed its staff about the reinstatement of commission payments last week. This news has brought some relief to workers, who had expressed concerns over job security as the company plans to close all of its 80 stores, including an additional 16 stores under the Saks banners. The closures are part of the ongoing liquidation process, which has left employees anxious about their future.
Gunness explained that employees who typically receive commissions are primarily positioned in departments such as cosmetics or sections that sell high-value items, including appliances and suits. The commission structure traditionally provided these workers with an extra percentage of their sales, augmenting their base salaries and incentivizing higher performance.
Despite the positive news regarding commissions, many employees remain apprehensive about their employment status. The impending store closures raise significant concerns about job availability and security, which are dominating conversations among staff at Hudson's Bay. As the company navigates through its liquidation process, employees are understandably anxious about what lies ahead for both the company and their individual roles.
Hudson's Bay has not yet responded to requests for comment regarding the union's statements or the reversal of the commission policy. The Unifor union represents approximately 595 HBC employees located at various Ontario stores, as well as those working at the company’s fulfillment centers.
This recent development marks a critical moment for Hudson's Bay employees during a time of uncertainty, highlighting the ongoing tension between job security and the financial mechanisms that drive sales in retail environments. As the liquidation process progresses, the tension between management decisions and employee welfare will continue to be a focal point for all stakeholders involved.
