Dismissal in a unionized workplace: what employers need to plan for

In a unionized organization, a dismissal falls under two frameworks at once: the Act respecting labour standards, which applies to all employees, and the collective agreement, which may provide more favourable conditions. There is also one more party at the table, the certified association (the union), which the Act involves at several stages of the process.

This article outlines the main reference points set out in the Act when an employer announces departures in a unionized workplace in Quebec.

What the Act provides, unionized or not

The Act respecting labour standards is a matter of public order: a clause in a collective agreement that offers less than the Act is null, but an agreement may offer more favourable conditions. The following rules therefore also apply in unionized workplaces.

• Individual notice: each affected employee receives a notice of termination of employment based on uninterrupted service: 1 week (3 months to less than 1 year), 2 weeks (1 to 5 years), 4 weeks (5 to 10 years) or 8 weeks (10 years or more).
• Collective dismissal: the Act refers to a collective dismissal when 10 or more employees of the same establishment are affected within a period of 2 consecutive months.
• Notice to the Minister: the notice to the Minister must be received 8 weeks before the departures for 10 to 99 employees, 12 weeks for 100 to 299 and 16 weeks for 300 or more. This notice does not replace individual notices.
• Short or missing notice: the Act then provides for an indemnity equal to the wages for the missing period for each affected employee. The indemnities tied to individual notice and to collective notice are not cumulative.

What the collective agreement may add

The collective agreement may contain its own rules, for example on seniority, bumping or recall. These rules often determine who is actually affected by a reorganization, which may differ from the positions initially eliminated. Their interpretation varies from one agreement to another and calls for a case-by-case analysis.

The role of the certified association

In a collective dismissal, the Act directly involves the certified association at three stages.

• The notice: the employer sends the notice of collective dismissal to the certified association representing the affected employees, and posts it in the establishment.
• Maintaining conditions: during the notice period, the wages, group insurance and pension plan of affected employees cannot be changed without their written consent or that of the certified association.
• The reclassification assistance committee: at the Minister's request, the employer and the certified association form a joint committee in which each party has one vote. The Ministry may request it when 50 or more employees are affected. The committee assesses the needs of affected employees, prepares a reclassification plan and oversees its implementation.

The employer's financial contribution to the committee is agreed upon with the Minister. The Act also allows the Minister to exempt an employer from this committee when it offers equivalent or better reclassification measures, for example a career transition program delivered by a specialized firm.

Communications and support for affected employees

Beyond legal obligations, a dismissal in a unionized workplace involves several parties at once: senior management, managers, the certified association and the affected employees. Consistent messaging and the quality of the support offered weigh heavily on how the process will be experienced, both internally and externally.

In summary

• The Act respecting labour standards also applies in unionized workplaces, and the collective agreement can only offer more.
• The certified association receives the notice of collective dismissal, must consent to any change in wages or plans during the notice period, and sits on the reclassification assistance committee.
• The seniority, bumping and recall rules of the collective agreement often determine who is actually affected.

Leduc HR supports employers in Montréal and across Quebec in planning dismissals and reorganizations, including in unionized workplaces. Discover our dismissal support service.

This content is provided for information purposes only. It does not constitute legal advice or professional advice. For a specific situation, it is recommended to consult a legal advisor or a labour relations professional.

Sources

• Act respecting labour standards (CQLR, c. N-1.1), s. 82, 84.0.4 to 84.0.13, 93 and 94, LégisQuébec
• Licenciement collectif (in French), Québec.ca
• Notice of collective dismissal and notice of termination of employment (PDF, in French), CNESST