Backlash as Grocery Retailers Roll Back Hourly ‘Hero Pay’ in Canada

Date:

Share post:

A few weeks ago some national grocery chains were being applauded for raising the wages of frontline workers who were considered heroes for their work during the COVID-19 pandemic.

Now, those same retailers are being sharply criticized for deciding to roll back those wages while the pandemic continues to take its toll on people’s health and on the economy.

Companies like Metro, Empire, and Loblaw have ended the $2 per hour premium pay for front-line workers.

Suzanne Sears, President of Best Retail Careers International, said there are two perceptions to the issue. First, the businesses themselves feel they gave a lot — more than was required.

“There’s the perception of the staff who feel like previously they were zeroes, then they went to heroes, now they’re back to being zeroes. There’s an emotional reaction,” said Sears, who is retained primarily by retailers for private searches to fill roles from the Executive to Sales Clerk level. “Two dollars an hour is not a huge amount of money to make. It doesn’t make a huge difference in your life but it is a sign of respect and appreciation.

“I think the way the staffing is feeling about it is that you told us this virus was so bad and so deadly we needed to shut down the entire country but we continued to go to work for you and some of us died for you and you gave us $2 an hour more. But nobody’s saying that it’s over. They’re just saying that it’s slightly better than it was. So now we’ll absorb the same amount of work, same risks.”

SCREENSHOTS FROM ANGRY TWITTER USERS

She said it’s more about the acknowledgement being withdrawn for their efforts. From a purely practical point of view, there’s not a grocery store or big box store that has lost money during the present crisis because they paid more for their staff. The amount came off of pure profit, said Sears.

“So if you can pay it why don’t you pay it,” she added.

Sylvain Charlebois, Professor, Food Distribution and Policy, Faculties of Management and Agriculture, Dalhousie University, said he can certainly understand why the businesses are rolling back premium pay.

“The economics for raising wages are weak in food retailing at best. Margins aren’t very high and of course they want to operate different stores,” he said.

“But also to me it’s a missed opportunity to look at their talent pool very differently and look at how grocery stores should be run in the future post-COVID. When I say that, I’m alluding to the use of automation to clean carts for example or cleaning anything really. Looking at how humans will interact in a store, looking at e-commerce as well. The use of analytics.

“I think grocery stores will need to deploy a very different altered strategy moving forward.”

He said grocery stores likely didn’t have much of a choice in rolling back wages. It was predictable. But it was disappointing especially in light of the fact that most people that work in the industry are those with highly vulnerable financial situations such as single-parents, students, seniors with fixed income, underprivileged demographic groups.

“These people who are probably occupying these positions may not have other options. So that’s something you may want to think about as a grocer when you think about the type of risks that your employees are exposed to. Absenteeism is also going to be something they have to look for because we’re not done with the second wave (of coronavirus). There is a second wave of course. We’re not done with this virus so risks are actually quite real still,” added Charlebois.

Unifor, Canada's largest union in the private sector, representing 315,000 workers in every major area of the economy, including 20,000 in the retail and wholesale sector, said it opposes the decision by Loblaw Companies Ltd. to end pandemic pay for workers at its retail outlets across Canada.

"The pandemic is not over. The danger has not passed. These workers are no less at risk and are no less essential today than they were yesterday. There is no justification for ending pandemic pay now, or ever," said Unifor National President, Jerry Dias.

"Retail workers have always been essential, and they have always deserved much better. The fact is, the pandemic did not make these workers essential and did not create the inequities in retail, it simply exposed them.

"Loblaw knows the risk is not over. It's just trying to boost profits on the backs of its most vulnerable workers, and that's just wrong. Unifor is putting all retail employers on notice – the return to normal for these workers is not happening, because normal was not good enough."

SCREENSHOTS FROM ANGRY TWITTER USERS

The United Food and Commercial Workers Union (UFCW Canada) said it is disappointed that employers in various sectors across Canada are choosing to stop paying COVID-19 premium pay while the pandemic continues, and some provinces are still enforcing precautionary measures.

“UFCW Canada acknowledges that premium pay was introduced as part of the COVID-19 response, but the union also expressed that premium pay should be maintained throughout the pandemic,” said the union in a statement.

It is the country’s leading private sector union, representing more than 250,000 union members across Canada working in in food retail and processing, transportation, health care, logistics, warehousing, agriculture, hospitality, manufacturing, and the security and professional sectors.

“The health and safety of UFCW Canada members is – and has always been – the union’s top priority. And, with that in mind, we must also acknowledge that many employers have acted upon UFCW Canada recommendations to better protect members, their families, and numerous communities. UFCW Canada will continue to meet with employers to maintain these achievements and further advance health and safety protocols across the country.

“UFCW Canada is pleased that society as a whole has come to better appreciate and recognize the crucial work that our members do in many important sectors of the economy. Throughout the pandemic, UFCW Canada members have gone above and beyond as frontline workers. And the issues, needs and concerns identified throughout the COVID-19 pandemic will be top priorities for the union in future collective bargaining efforts.

RELATED ARTICLES

Subscribe to the Newsletter

Subscribe

* indicates required

RECENT articles

Canada/U.S. trade talk collapse to lead to immediate and significant impact on small business: CFIB

"A full 40% of small Canadian exporters will be directly hit by these tariffs and nearly one-third expect their revenues will drop by 50% or more as a result."

Joe Mimran Outlines Product and Global Growth Plans for Roots

Joe Mimran discusses plans for Roots product, stores and U.S. growth as Marquee Brands and Roots CEO Meghan Roach point to significant international expansion.

Shoppa.ca launches online marketplace for Canadian-owned businesses

The marketplace includes businesses from across the country and products in categories including beauty and skincare, apparel, home and living, pets, kids and baby, food and wellness.

Canadian retail sales surpass $74 billion in June: Statistics Canada

Core retail sales rose 1.2% in June, posting their second consecutive monthly gain.

Good Earth Coffeehouse opens new location at Indigo Metrotown in Burnaby

The opening adds another location to Good Earth's network of more than 50 coffeehouses across Canada.

TJX Says Winners, Marshalls and HomeSense Are Gaining Major Market Share in Canada

TJX says Winners, Marshalls and HomeSense are gaining major market share in Canada as customer transactions rise and the retailer expands in prominent malls and downtown locations.

Home Depot Canada Sales Accelerate Despite Challenging Housing Market

Home Depot Canada outperformed the broader company in Q2 as comparable sales, transactions and unit growth improved despite a subdued housing market.

AutoCanada Sees Canadian Auto Market Remaining Challenging

AutoCanada says affordability pressures continue to weigh on Canadian vehicle buyers as it improves dealerships, used sales and collision operations.

Canadian sponsorship spending reaches $4.7B as industry study marks 20 years

Professional sport continues to account for the largest and most significant sponsorships, but the study found that brands are spreading spending across a broader range of categories.

Daily Synopsis: August 20, 2026

FreshCo expands in Nova Scotia, Circle K promotes customized drinks, downtown Ottawa retail expected to return to pre-pandemic levels, Kiokii and opens in Windsor, and other news.

Roots to Go Private as Joe Mimran Takes Key Operating Role

Roots has agreed to go private in a $4.10-per-share deal that will see Joe Mimran and Frank Rocchetti’s JM&A take a central operating role in the Canadian retailer.

Cargojet Sees E-Commerce Growth as Retail Shifts in Smaller Canadian Markets

Cargojet says e-commerce is driving growth in secondary Canadian markets as store closures and changing inventory strategies reshape retail distribution.

Boston Pizza Accelerates Canadian Restaurant Renovations, Adds New Locations

Boston Pizza is ramping up investment across Canada with more than 40 restaurant renovations possible in 2026 and three new locations under construction.

HelloFresh Expands Factor Across Canada as Ready-to-Eat Strategy Grows

HelloFresh is expanding Factor across Canada as it invests in ready-to-eat meals, new distribution channels and a broader convenience-food strategy.

Public safety and construction deal heavy blows to Edmonton downtown businesses

"The once vibrant pulse of Edmonton’s downtown is fading further, leaving behind a landscape that feels increasingly desolate.”

Empire to acquire nine Morelli’s pharmacies in Ontario

The pharmacies will be brought into Sobeys’ National Pharmacy operations as part of the transaction.

Canadian Tire Prepares for AI Shopping as Retail Strategy Evolves

Canadian Tire is using AI to reshape merchandising, back-to-school assortments and digital content as shoppers increasingly turn to AI for product discovery.

Healthy Planet expands to Yonge and Eglinton with 45th Ontario location

Launches Annual Good Food Drive to help fight food insecurity across Canada

Skin Excellence Medspa offers 30% discount as it launches influencer partnership program

The initiatives give the clinic two approaches to attracting customers: a price reduction across its service menu and a partnership program designed to generate promotional content through local creators.

Fizz expands retail presence through EB Games Canada partnership

The agreement marks an expansion of Fizz’s in-store presence as the company continues to build its wireless business beyond its original Quebec market.