Hudson's Bay backtracks on cutting workers' commission pay, but still won't offer severance

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Business

Hudson's Bay Co. has backtracked connected its determination past period to chopped committee wage earned by hundreds of cosmeticians and fragrance advisers during liquidation sales, CBC News has learned. But the retailer inactive won't wage laid-off workers severance.

Flip-flip follows CBC News study and grievance filed by immoderate successful the workers' union

Sophia Harris · CBC News

· Posted: May 05, 2025 12:14 PM EDT | Last Updated: 6 minutes ago

The entranceway  to a Hudson's Bay store   successful  Hamilton, arsenic  seen successful  March 2025.

Hudson's Bay has backtracked connected its program to chopped committee wage for hundreds of workers during liquidation sales. (Carlos Osorio/Reuters)

Hudson's Bay Co. has backtracked connected its determination past period to chopped committee wage earned by hundreds of cosmeticians and fragrance advisers during liquidation sales, CBC News has learned. 

The retailer's abrupt alteration of bosom follows a grievance filed by its union, Unifor, which represents dozens of the workers, and CBC News coverage.

CBC reported 2 weeks ago that respective cosmeticians and fragrance advisers (also knows arsenic quality advisers) said they were distraught implicit the nonaccomplishment of committee pay, as it would importantly reduce their take-home pay.

"It wasn't a bully look for them to dainty employees that way," said a quality advisor successful B.C., successful effect to Hudson's Bay backtracking. 

"I'm conscionable truthful grateful that I'm getting the committee back," said the person, adding that it provides astatine slightest an other $10 an hr connected apical of basal pay — which is conscionable supra minimum wage. 

"We're ecstatic that we're going to beryllium capable to wage bills now."

CBC News is withholding the worker's sanction owed to fearfulness of repercussions from the retailer for speaking with the media.

Hudson’s Bay is slashing commissions for workers during liquidation—violating national contracts portion execs pouch millions.<br><br>Unifor is warring back.<br><br>✒️ <a href="https://twitter.com/sophiaharrisCBC?ref_src=twsrc%5Etfw">@sophiaharrisCBC</a> <br>📢 <a href="https://twitter.com/CBCNews?ref_src=twsrc%5Etfw">@CBCNews</a><a href="https://t.co/M0IermqciW">https://t.co/M0IermqciW</a>

&mdash;@UniforTheUnion

In March, cash-strapped Hudson's Bay was granted creditor extortion arsenic it considered bids for segments of the company. The iconic retailer's much than 9,300 employees are expected to suffer their jobs by June 15 — the closing day for each 96 Bay and Saks-branded stores. 

Beauty advisers gain committee connected products sold, connected apical of a base salary. On April 8, Hudson's Bay gave these workers 12 days' announcement that the institution would commencement paying them basal wage only, according to a company-issued missive seen by CBC News.

It was different successful a bid of blows to Hudson's Bay workers, who learned past period the retailer won't wage severance to laid-off employees. 

In a grievance filed against Hudson's Bay, Unifor argued the committee chopped violated its members' corporate agreement.

"You can't just, midstream, [reduce] someone's pay," said Dwayne Gunness, president of Unifor Local 40, which represents 40 quality advisers.

WATCH | Hudson's Bay pays large bonuses to executives but nary severance for workers: 

Hudson’s Bay to wage $3M successful bonuses, but nary severance for workers

Hudson’s Bay workers are speaking retired aft learning they volition person nary severance wage arsenic the institution confirms it volition wage retired $3 cardinal successful bonuses to executives and managers handling the liquidation of astir stores.

Two weeks later, the institution reversed people and said committee wage would stay with nary interruptions, according to Unifor and a Hudson's Bay enactment sent to quality advisers that CBC News has seen. The enactment did not authorities a crushed for the decision.

The retailer did not instantly respond to requests for comment. 

Hudson's Bay starts laying disconnected workers

Gunness says that last Friday, Hudson's Bay laid disconnected 157 workers astatine its online organisation centre successful Toronto. 

It marks the archetypal circular of non-corporate layoffs. The institution terminated astir 200 firm employees connected April 4, according to tribunal documents. 

Although Hudson's Bay has reinstated committee pay, it won't beryllium paying immoderate workers severance erstwhile they're laid off. 

"I'm having a truly hard clip accepting the information that we don't get severance," said Hazel Harris (no narration to this reporter), 1 of the 157 laid-off organisation centre workers. "It's precise heartbreaking what's going on."

Hazel Harris and a meeting, wearing a Unifor shirt.

Hudson's Bay laid disconnected online organisation centre idiosyncratic Hazel Harris connected Friday. She is upset the institution isn't paying severance to laid-off workers to assistance them wage the bills portion they look for different job. (Submitted by Hazel Harris)

Harris, 60, has worked for Hudson's Bay for much than 7 years. She says severance wage would person provided a much-needed information net.

"I'm frightened due to the fact that with the commercialized warfare looming similar an umbrella implicit us, we don't cognize however galore jobs determination volition beryllium retired there," she said. "When you articulation the older community, it's adjacent much hard to find a job, truthful it's going to beryllium a pugnacious roadworthy ahead."

Unifor, which represents a full of 595 Hudson's Bay employees, says immoderate members are entitled to upwards of $35,000 successful severance pay.

Gunness says erstwhile each the 595 workers are laid off, Unifor volition record a grievance implicit the issue, arsenic severance is besides included successful the workers' contract.

"We person a corporate statement which is legally binding," helium said. 

Hudson's Bay's lone remark truthful acold connected severance is to corroborate that the institution isn't paying it.

Hudson's Bay workers whitethorn beryllium capable to retrieve a information of their severance wage by applying for fiscal assistance done a national authorities programme for workers laid disconnected by insolvent companies. 

ABOUT THE AUTHOR

Based successful Toronto, Sophia Harris covers user and concern for CBC News web, vigor and TV. She antecedently worked arsenic a CBC videojournalist successful the Maritimes, wherever she won an Atlantic Journalism Award for her work. Got a communicative idea? Contact: [email protected]

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