Labor & Employment Law

Wal-Mart prevails in store closure litigation

Seven months after UFCW organized a Wal-Mart store in Quebec, the company closed the store, terminating 190 employees.

In a narrowly crafted 6-3 decision, the Supreme Court of Canada on 11/27/2009 rejected an employee's claim that he lost his job due to union activity.

The court held that employees could not use a statutory presumption that they lost their jobs because they exercised their collective bargaining rights. The presumption is available only where there is the existence of an ongoing workplace.

The presumption was unavailable because the closure was genuine and permanent. Therefore, Wal-Mart had no duty to prove its reasons for closing the store. 

Plourde v. Wal-Mart Canada (Supreme Court of Canada 11/27/2009) (6-3).

Full post as published by Ross' Employment Law Blog on November 27, 2009 (boomark / email).