End of an Era: Hudson’s Bay Closure Triggers Canada’s Largest Job Losses Since Sears Collapse
THUNDER BAY – Business – The Hudson’s Bay Company is gasping its last breaths. Leaving behind a long history with both good and bad, Canada’s oldest company will close its doors on June 1st 2025. The Bay leaves behind some bitter memories for creditors, including Jason Thompson of Warrior Supplies in Thunder Bay. The company left Warrior Supplies holding a bill for over $55,000 that is unpaid and likely uncollectable.
It also leaves behind a long legacy across Northern Canada of colonial takeover and cultural change.
As well it leaves behind one of the largest layoffs in history.
The closure of The Bay represents the most significant wave of job losses since Sears Canada’s collapse in 2018, as Hudson’s Bay Company (HBC)—the country’s oldest retailer at 355 years—prepares to close all remaining stores by Sunday, June 1.
The company confirmed it will lay off approximately 8,347 employees, nearly 89% of its workforce, as part of a nationwide liquidation process.
More Than 9,200 Jobs Lost, With No Severance for Most
Another 899 workers will lose their jobs by mid-June, while just 120 employees will stay on temporarily to assist in winding down operations.
According to court filings, severance packages will not be offered, and several employee benefits—including pensions and post-retirement health plans for 2,000 retirees—have already been terminated.
Even long-term disability benefits for 183 individuals, including 93 active staff, are scheduled to end by June 15.
Federal Wage Earner Program May Offer Limited Relief
Displaced Hudson’s Bay employees may qualify for the federal Wage Earner Protection Program (WEPP), which offers a one-time payment of up to seven weeks’ insurable earnings. As of January 1, 2025, this benefit will cap at $8,844. HBC will apply to the court next week to confirm eligibility under the program.
Canadian Tire to Acquire Hudson’s Bay Intellectual Property
In a separate development, Canadian Tire has agreed to purchase HBC’s iconic intellectual property—including its name, logo, and trademark multicoloured stripes—for $30 million. The transaction is subject to court approval and represents one of 13 bids received for the branding.
Meanwhile, 28 store leases in Ontario, Alberta, and British Columbia will be reassigned to Central Walk, a company owned by B.C.-based mall developer Weihong Liu, pending landlord and court consent. While none of these sites are in Northwestern Ontario, the shifting of leases underscores a nationwide commercial real estate rebalancing.
The Hudson’s Bay – Sears Canada – Eaton’s Canada
For many Canadians the closure of the Hudson’s Bay store is an addition to the lost of Sear’s Canada, and Eatons Stores.
These stores were the anchors for many shopping malls across Canada, and products were in the homes of millions of Canadians.
As well these stores were major retailers in the downtown cores of our major cities.
In Thunder Bay it was years before the Eaton’s store on Red River Road and Court Street found a really vibrant new life as Goods & Co.
