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Kim Furlong Appointed CEO of Retail Council of Canada

By
Craig Patterson
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Kim Furlong. Image supplied

The Retail Council of Canada (RCC) has announced that Kim Furlong will assume the role of President and Chief Executive Officer, effective September 2, 2025, following a comprehensive executive search. Her appointment signals both a return to the organization and a renewed strategic vision as RCC prepares for its next phase of growth and advocacy on behalf of Canada’s retail sector.

Furlong currently serves as CEO of the Canadian Venture Capital & Private Equity Association (CVCA), where she has made her mark as a powerful advocate for private capital and entrepreneurship. Her transition to RCC comes at a pivotal time for Canadian retail, amid challenges related to inflation, shifting consumer behaviours, and the evolving digital economy.

“Kim brings a deep expertise in public policy, stakeholder engagement, and crisis communications and we are delighted to welcome her to the organization,” said Anne Martin-Vachon, Chair of the Board of Directors at RCC. “Her leadership will drive impactful results and strengthen our mission in the years ahead.”

A Return to RCC, and a Career Built on Advocacy

Furlong is no stranger to RCC. More than 16 years ago, she served as Vice President of Federal Government Affairs, where she was credited with establishing the Council’s permanent presence in Ottawa. During her tenure, she became a respected and effective voice for retailers at the national level—skills that will once again come into focus in her new leadership role.

Her recent leadership at CVCA further underscores her capacity to shape public discourse and build coalitions. At CVCA, she successfully influenced public policy affecting the venture capital and private equity sectors in Canada, helping foster a healthier environment for innovation and investment. Prior to that, Furlong held senior roles in government relations and strategic policy.

Diane J. Brisebois. Image: Retail Council of Canada

A Thoughtful Transition After Three Decades of Leadership

The appointment follows the planned retirement of Diane J. Brisebois, who announced earlier this year that she would step down after leading RCC for over 30 years. Brisebois transformed the organization into the leading voice for Canada’s retail sector, guiding the industry through seismic shifts—from globalization and digitization to the COVID-19 pandemic and recent economic turbulence.

“Diane’s contributions to the association and the industry have been extraordinary,” added Martin-Vachon. “Her commitment to the team, the Board, and our members has enabled us to ensure that RCC is widely recognized as the ‘Voice of Retail’.”

Brisebois will remain in her role until September 2025, ensuring a smooth leadership transition as the organization continues to support its members through a volatile period for retail in Canada.

Executive Search Process Led by Odgers Berndtson

To ensure the right candidate was selected for this crucial leadership role, RCC engaged Odgers Berndtson, a global executive search firm with expertise in senior-level recruitment across sectors. The firm led a rigorous and consultative process, working closely with RCC’s board and stakeholders.

The search process included:

  • Stakeholder Engagement: Collaborating with RCC board members and key industry leaders to understand current and future priorities for the organization.
  • Candidate Profiling: Defining a leadership profile that included experience in strategic planning, public policy, retail sector knowledge, and stakeholder engagement.
  • Talent Mapping: Evaluating candidates from a wide range of sectors, with particular attention to those with experience navigating complex regulatory and economic environments.
  • Assessment: In-depth interviews, reference checks, and leadership assessments to determine the most qualified candidate.

The search concluded with the unanimous selection of Kim Furlong, whom the board believes possesses the vision and track record needed to steward RCC’s next chapter.

Strengthening the Voice of Retail in a Shifting Landscape

The appointment of Furlong comes as Canadian retailers face a fast-changing marketplace. From inflationary pressures and supply chain disruptions to digital transformation and workforce challenges, the industry requires strong advocacy and agile leadership.

RCC has long served as the voice of the retail industry in Canada, representing a sector that employs over 2.3 million Canadians and accounts for a significant share of the country’s GDP. The organization supports its members—ranging from independent stores to large chains—through advocacy, research, policy development, and professional training.

Furlong’s deep understanding of public policy, combined with her experience across both private and public sectors, will likely position her as a key voice in national conversations surrounding the future of retail.

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AI revolutionizing retail: Cognizant’s Scott TumSuden on tackling labour challenges with technology

By
Mario Toneguzzi
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Source- Walmart Canada
Source- Walmart Canada

Staffing issues continue to plague the retail industry, but Scott TumSuden, VP and Head of Retail Strategy and Growth Acceleration at Cognizant, believes the sector is on the brink of a transformation — one that’s being accelerated by the rise of generative AI and automation.

“Staffing in general in retail is a perennial problem,” TumSuden said in a recent conversation. “There’s about 60% annual turnover in most retail businesses and ultimately, that yields a lot of waste and inefficiencies.”

Scott TumSuden
Scott TumSuden

TumSuden explains that this constant churn leads to a “flywheel effect” of added costs and operational drag.

“When you have turnover, you have inefficiencies. You have a lot of waste, you actually add extra cost, right? Because then you’re having to retrain people, you’re having to research people, you know, you have to rehire people.”

But while staffing challenges are hardly new in the industry, TumSuden is optimistic that today’s technological advancements could mark a turning point.

“I actually think we’re on the dawn of a new age finally,” he said. “There are some opportunities to change that with the way that technology’s evolving — and generative AI in particular — to help address the churn, which then helps to address the efficiency, which then helps to address the usage of labour and making labour and workforces more effective.”

As AI capabilities mature, TumSuden sees them playing a vital role in reshaping not just roles, but entire operating models. “There are certain jobs that will be hopefully eliminated,” he said, noting the potential to phase out “low-end, highly automatable, highly mechanical jobs” — many of which are already being handled by tools like chatbots in customer service.

But it’s not just about elimination. TumSuden sees generative AI enhancing customer-facing and operational roles as well.

“You can actually provide better service because the generative AI can leverage all the data and the information about what products are relevant substitutes and probably be more knowledgeable than an individual associate.”

He points to the common “buy online, pick up in store” model as an example of a task ripe for reimagining. “You have a store associate picking and packing orders off the shelves during business hours when they could be servicing a customer,” he said. “They are servicing a customer because they’re picking and packing that order. But the reality is that they’re actually not — they’re doing a routine task.”

While robotics may eventually handle the physical work of picking products, generative AI already offers near-term solutions. “You can leverage the technology to figure out more efficient ways to pick and pack,” TumSuden said. “You can organize your stores maybe in a different way.”

Source- Walmart Canada
Source- Walmart Canada

That reorganization, he noted, could even challenge the longstanding practice of placing high-demand items in store corners to increase browsing. “You can say, ‘Hey, I’m gonna hit you with a little popup, ’cause the beacon on your phone says I know you’re here…’ and I can actually lay out my store in such a way that it’s actually more engaging.”

According to TumSuden, this shift frees up associates to focus on higher-value activities: “Ultimately in our mind, the goal is to free up your store associates so they can spend more time on servicing customers and less time on those complex tasks.”

The integration of generative AI also brings transformative potential for workforce support and development — two key levers in combating high turnover. “One of the things is how do you get help if you’re a store associate and you have a problem in the store?” he said. “What happens today is that’s a very painful process a lot of store associates have a bunch of different apps.”

TumSuden says Cognizant is already working with clients and partners to build agent-based systems that simplify problem-solving for frontline staff. “We see the world evolving to a single app and talk to an agent that can help them with solving that problem. Which makes their experience better and also creates a better roll through customer experience.”

Training, he added, is another overlooked area ripe for disruption. “Training is something that really hasn’t evolved in decades. If anything, it’s gotten worse,” he said. “But if you think about it, with synthetic AI and with generative AI, you can actually build more bite-sized customized training.”

He sees “a big unlock” coming in onboarding and upskilling, where AI can support a more efficient and enriched learning journey for new hires. “Once they’re up to speed leveraging agents to actually help them solve problems when they occur that is a huge transformation in the workforce.”

Despite ongoing fears about AI replacing human workers, TumSuden takes a more nuanced view.

“I don’t think I believe — or we believe — that we’re gonna see a decline in the retail workforce,” he said. “I really do believe that what’s going to hopefully happen is there’s a bit of a renaissance. Retailers see that the real value that they bring to the table versus a brand is they bring that customer intimacy and that’s where they differentiate.”

And that differentiation, he says, is precisely what retailers should be leaning into — with the help of technology finally mature enough to support it.

Cognizant, which operates globally and has a strong presence in the Canadian market, is already seeing these trends take hold across borders. “We work with a number of large customers in Canada,” TumSuden said, mentioning names like Canadian Tire and Circle K. “We’re seeing similar trends. They’re just manifesting in a slightly different sequence because of the local market dynamics.”

As generative AI and automation become more deeply embedded in retail operations, TumSuden sees one thing as clear: the associate of the future is not going away — they’re just going to be more empowered, more supported, and more essential than ever.

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Creed to Open First Canadian Boutique at Yorkdale

By
Craig Patterson
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Construction hoarding for the new Creed boutique at the Yorkdale Shopping Centre in Toronto. Photo: Craig Patterson

Luxury fragrance brand Creed will make its Canadian retail debut with the opening of a standalone 650 square foot boutique at the Yorkdale Shopping Centre in Toronto. The store is set to open in the fall of 2025, occupying a portion of the former Sunglass Hut location, which has since relocated within the mall.

This marks a significant development not only for Creed, which operates fewer than 40 standalone stores globally, but also for Yorkdale, which has evolved into the most concentrated node of luxury retail in Canada. The move underscores Creed’s confidence in the Canadian market and in Toronto’s positioning as a growing hub for affluent consumers.

A Historic Brand Rooted in Craftsmanship and Royal Heritage

Founded in 1760 in London by James Henry Creed, the Creed brand began as a tailoring house that crafted scented leather gloves for British aristocracy. One of its first notable creations was Royal English Leather, commissioned by King George III in 1781. Over time, Creed transitioned from tailoring to perfumery, relocating to Paris in 1854, and gaining recognition among royal households across Europe.

Unlike many modern fragrance houses that rely on synthetic ingredients and mass production, Creed has maintained a reputation for handcrafted perfumes made with natural ingredients. The brand utilizes traditional techniques such as maceration and hand blending, offering an artisanal product that is both luxurious and highly curated.

Creed Boutique In Chengdu. Image: Creed

Among its iconic fragrances are Aventus (2010), Green Irish Tweed (1985), Silver Mountain Water (1995), and Millésime Impérial (1995). These scents have become cult favourites among global consumers, particularly Aventus, which has developed a loyal following for its bold, woody-fruity notes that symbolize power and sophistication.

Following the acquisition of a majority stake by BlackRock in 2020, Creed entered a new phase of expansion under the ownership of Kering, the French luxury conglomerate that purchased the brand for €3.5 billion in 2023. With this move, Kering folded Creed into its beauty division, joining a portfolio that includes Gucci, Saint Laurent, and Bottega Veneta.

A Global Brand with a Limited Store Footprint

Creed’s boutique strategy is selective. The brand currently operates fewer than 40 standalone stores in key cities such as London, Paris, New York, Dubai, and Milan. In North America, Creed boutiques can be found in Beverly Hills, Miami, Las Vegas, and Manhattan’s Madison Avenue. In Canada, Creed has until now only been available through select retailers, including Holt Renfrew and Harry Rosen.

The opening of a branded Creed store in Toronto is a strategic milestone. It will allow the company to fully control the in-store experience, emphasizing its signature luxurious retail design and bespoke services such as bottle engraving and custom gift wrapping.

Creed Boutique In Chengdu. Photo: Creed

Store Design Reflecting Brand Prestige

Creed’s boutiques are globally recognized for their elevated architectural design, often featuring materials such as Verde Luana marble, brass fluting, and walnut paneling. French architect Can Onaner has been instrumental in developing the design language for many of Creed’s stores, creating spaces that are both opulent and warm.

The Yorkdale boutique is expected to follow the same approach, offering an immersive retail environment where customers can explore the full range of Creed fragrances, including limited editions and exclusive releases.

Photo: Creed

Yorkdale Continues to Attract Global Luxury Brands

The decision to open at Yorkdale aligns with the mall’s ongoing transformation into a luxury shopping destination. Over the past decade, Yorkdale has curated an unmatched mix of high-end retailers, currently boasting Canada’s largest collection of luxury brands under one roof.

Situated in close proximity to the new Creed boutique are Louis Vuitton, Chloé, Saint Laurent, ba&sh, and a flagship Zara. Notably, Saint Laurent is slated to relocate later this year to a larger, updated location within the mall, indicating continued reinvestment from global luxury retailers. Optical retailer Oliver Peoples is also relocating next to Creed in part of the former Sunglass Hut space.

Additional prominent retailers in the vicinity include Nike, Sephora, and Ladurée, providing a strong complementary tenant mix that blends prestige with lifestyle and fashion appeal.

Creed boutique at Scottsdale Fashion Square in Scottsdale, AZ. Photo: Creed

Luxury Retail Expansion at Yorkdale Accelerates

Creed’s opening comes at a time when Yorkdale is actively expanding its luxury footprint. A new luxury wing is in development, which will accommodate forthcoming brands that are expected to join the mall’s already robust portfolio. Sources indicate that several more luxury brands are in advanced stages of negotiation and will be reported on by Retail Insider as deals finalize.

The mall has long served as the Canadian launchpad for global names, with brands like Apple, Tesla, and Crate & Barrel selecting Yorkdale for their first-to-market entries. This is further supported by Yorkdale’s enviable retail metrics: it generates over $2,300 in sales per square foot and attracts approximately 18 million visitors annually, making it one of the most productive shopping centres in North America.

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1.4 Million consumers missed a credit payment while spending dips to 3-year low: Equifax

By
Mario Toneguzzi
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Photo by Andrea Piacquadio
Photo by Andrea Piacquadio

Economic uncertainty continued to impact credit usage and consumer financial health across Canada during the first quarter of 2025 according to Equifax Canada’s latest Market Pulse Consumer Credit Trends and Insights.  

Total consumer debt was $2.55T at the end of Q1, up four per cent year-over-year, but down more than $6B from the end of 2024, reflecting a modest quarterly decline amid long-term growth.  Average non-mortgage debt per consumer rose to $21,859 in Q1 2025, primarily driven by a strong auto loan market as buyers looked to lock in purchases before anticipated price hikes, said the report.

Rebecca Oakes
Rebecca Oakes

“We often observe seasonal changes in credit usage during the first quarter. Generally speaking in the spring, we tend to see mortgage debt rising, however for Q1 2025 we saw mortgage debt levels fall compared to last quarter,” said Rebecca Oakes, Vice President of Advanced Analytics at Equifax Canada.“ Despite a slowdown in demand for non-mortgage debt, overall balances remained fairly flat, an indication that consumer payment levels may be falling.” 

Card spending slows but balances continue to rise 

After experiencing high numbers for new credit card openings in 2023 and 2024, the first quarter of 2025 saw a 10.3% decline in new card originations. Consumers that have lower credit scores accounted for an increase in new card openings, potentially indicating heightened credit reliance and financial strain in this consumer group, explained the report.

Average monthly credit card spen per card holder fell by $107 dollars during Q1, dropping to the lowest level since March 2022. Ontario, British Columbia, Prince Edward Island, Nova Scotia and Yukon saw the biggest pull back in spending, dropping between six and seven per cent compared to the prior year, it said.

“A drop in credit card spending when combined with increased payment amounts can imply improving financial conditions of consumers”, said Oakes. “Our data shows card payment levels, especially for younger consumers, are starting to fall, indicating this spending slowdown is likely driven more by consumers trying to be prudent rather than switching from credit to debit for financing.” 

The average credit card pay rat decreased to 52.9% in Q1, down 32 basis points.  Notably, younger consumers (under 35 years old) showed a more dramatic shift, with their average pay rate falling 392 basis points from 62.9% to 58.9%. This same group also exhibited the greatest increase in the level of minimum payers, rising 25 basis points year-over-year, noted Equifax.

Mortgage growth driven primarily by renewals and refinancing  

The report said new mortgage originations jumped 57.7 per cent year-over-year in Q1 2025, but much of this activity stemmed from renewals and refinancing. This reflects the onset of the so-called “Great Renewal,” as a wave of pandemic-era mortgages come up for renewal. 

“The shift in the mortgage market is clear – this is currently about existing homeowners navigating a complex refinancing environment,” added Oakes. “But even as some find relief, affordability challenges haven’t eased for everyone.” 

First-time homebuyers returned to the market, with activity up 40%  from Q1 2024. Affordability remained a hurdle and while average monthly payments dropped by 7.8% to $2,300, the average loan size increased by 7.5% year-over-year. 

Debt divide deepens as missed payments rise for some 

“While some consumers showed signs of prudence in their spending choices during the first quarter, missed payments continued to rise across most credit products. In total, more than 1.4 million consumers (1 in 22) missed at least one credit payment during the quarter,” said Equifax.

“Although mortgage holders experienced some stabilization thanks to steady interest rates, financial strain remained acute for non-mortgage consumers. Consumer level delinquency rates among non-mortgage holders rose 8.9% year-over-year, compared to 6.5% for mortgage holders. Younger Canadians were hit hardest, with the 18–25 age group experiencing a 15.1 per cent increase in delinquency rates.

Photo by Nataliya Vaitkevich
Photo by Nataliya Vaitkevich

Significant increases for younger consumers and auto loans 

The highest credit card 90+ day delinquency rates were observed among younger consumers under the age of 26, at 5.38%, a significant 21.7% increase year-over-year for this group. Overall, this rate stood at 3.76%, marking a 15.8% increase, revealed Equifax.

Auto loans followed a similar trend, with the delinquency rate for younger consumers rising by 30% to 1.95%, compared to an overall rate of 1.08%, which represented a 15.3% increase. 

“We’re observing positive shifts in consumer behaviour, with reduced credit card usage and early signs of delinquency stabilization for some consumers. However, headwinds will likely persist, such as rising unemployment and rising food prices, in already strained regions,” concluded Oakes. 

Age Group Analysis – Debt & Delinquency Rates (excluding mortgages)  

Average Debt (Q1 2025)Average Debt Change Year-over-Year (Q1 2025 vs. Q1 2024)Delinquency Rate ($) (Q1 2025)Delinquency Rate ($) Change Year-over-Year (Q1 2025 vs. Q1 2024)
18-25$8,4594.63%2.17%20.06%
26-35$17,3941.14%2.37%21.04%
36-45$26,8731.57%1.91%21.20%
46-55$34,3712.94%1.38%17.53%
56-65$28,7805.25%1.15%13.25%
65+$14,5963.57%1.13%3.93%
Canada$21,8592.74%1.60%17.06%

Major City Analysis – Debt & Delinquency Rates (excluding mortgages) 

CityAverage Debt (Q1 2025)Average Debt Change Year-over-Year (Q1 2025 vs. Q1 2024)Delinquency Rate ($) (Q1 2025)Delinquency Rate ($) Change Year-over-Year (Q1 2025 vs. Q1 2024)
Calgary$23,9221.11%1.71%14.25%
Edmonton$23,547-0.03%2.26%18.29%
Halifax$21,2631.86%1.56%15.13%
Montreal$16,9712.56%1.49%18.52%
Ottawa$19,5011.16%1.52%22.03%
Toronto$21,0483.46%2.17%24.28%
Vancouver$23,3043.93%1.28%14.27%
St. John’s$23,8721.41%1.49%1.19%
Fort McMurray$37,2690.81%2.56%18.37%

Province Analysis – Debt & Delinquency Rates (excluding mortgages) 

ProvinceAverage Debt (Q1 2025)Average Debt Change Year-over-Year (Q1 2025 vs. Q1 2024)Delinquency Rate ($) (Q1 2025)Delinquency Rate ($) Change Year-over-Year (Q1 2025 vs. Q1 2024)
Ontario$22,5433.08%1.73%24.00%
Quebec$18,9852.28%1.12%13.95%
Nova Scotia$21,2962.62%1.68%5.72%
New Brunswick$21,4902.82%1.77%9.18%
PEI$23,7074.09%1.19%8.21%
Newfoundland$24,7704.02%1.56%0.48%
Eastern Region$22,2183.09%1.65%5.74%
Alberta$24,3981.00%1.97%15.93%
Manitoba$18,1713.68%1.72%2.04%
Saskatchewan$23,1942.82%1.82%6.24%
British Columbia$22,6313.33%1.40%12.63%
Western Region$22,8782.44%1.69%12.49%
Canada$21,8592.74%1.60%17.06%

* Based on Equifax data for Q1 2025 

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Canada’s $500M Bread Price-Fixing Settlement Approved

By
Sylvain Charlebois
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Bakery department in a Loblaws store. Photo: Loblaw

*Editor’s Note: An earlier version of this article included a photo of a Save-on-Foods store. The photo was posted in error, given that the retailer had no part in the bread situation.

Canada’s bread price-fixing scandal stands as one of the most damaging and far-reaching corporate breaches of trust in the country’s food retail history. The recent approval of a $500-million class-action settlement by an Ontario court marks a significant, if partial, step toward accountability. But the story is far from over.

The scheme, which ran from 2001 to 2015, involved deliberate coordination between retailers and suppliers to raise the price of packaged bread — a basic household staple. Companies named in the lawsuit include Loblaw, its parent company George Weston Ltd., Metro, Sobeys, Walmart, and Giant Tiger.

The impact on consumers was severe. Some estimates suggest Canadians were overcharged by more than $5 billion over the 14-year period. The cost was buried in weekly grocery bills, unnoticed by many, but cumulatively staggering — especially for lower-income households who spend a greater share of their income on food.

The Competition Bureau launched its investigation in 2015 when Loblaw came forward as a whistleblower under its Immunity and Leniency Program. In exchange for cooperating with investigators, Loblaw and George Weston received immunity from criminal prosecution. Their decision to self-report triggered years of legal scrutiny and public outrage. In 2017, the companies attempted to mitigate damage by offering $25 gift cards to 3.8 million Canadians who did apply for a card — a gesture that cost them $96 million and was widely seen as insufficient.

More recently, in 2023, Canada Bread pleaded guilty and paid a record $50 million fine for its role in the price-fixing arrangement. The violations occurred while the company was owned by Maple Leaf Foods, but it was Grupo Bimbo, which acquired Canada Bread in 2014, that accepted responsibility and cooperated with regulators — a rare display of corporate accountability in a case marked by silence from many involved.

Despite multiple companies being named in the investigation, only Loblaw, George Weston, and Canada Bread have admitted guilt. No public sanctions or fines have been imposed on the others. Walmart, Metro, Sobeys, and Giant Tiger — all implicated by Loblaw — have denied the allegations. And yet, the investigation remains ongoing nearly a decade later. Ten years!

Still, this imbalance in accountability has fueled public frustration. Many Canadians feel that only those who came forward have faced consequences, while others remain untouched. Or perhaps the four remaining accused grocers were thrown under the proverbial bus by Loblaw in a calculated move to preserve its own reputation?

The $500-million class-action settlement — $404 million of which will come again from Loblaw and George Weston — was approved by an Ontario judge earlier in May, who deemed it “fair, reasonable, and in the best interests of class members.” The remaining $96 million is accounted for through the earlier gift card program. So, the money yet to be disbursed equals about $13 per Canadian adult, that’s it. After legal fees and administrative costs, 78% of the remaining funds will go to eligible Canadians outside Quebec, with 22% reserved for Quebecers pending a court hearing on June 16.

Yet for many, despite the apologies, the monetary settlement does little to restore trust. The scandal exposed deep vulnerabilities in Canada’s food retail system: weak competition laws, limited price transparency, and inadequate deterrents for collusion. Investigations of this scale take years — often too many — and the damage to public trust lingers long after fines are paid.

Bread is not just a commodity. It is symbolic of nourishment, affordability, and stability. The deliberate manipulation of its price is more than a violation of antitrust laws — it is a betrayal of consumer confidence.

If this case is to serve as a turning point, it must lead to more than financial compensation. Stronger enforcement, faster investigations, and greater transparency in pricing practices are needed. Without systemic reform, Canadians remain vulnerable to the next coordinated “market adjustment” — buried in plain sight on store shelves.

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Canadian Retail News From Around The Web For May 27, 2025

By
Retail Insider
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Canadian Retail News From Around The Web

News at a Glance

Retail Insider is streamlining its Canadian retail news from around the web to include a handful of top news stories that can be viewed quickly during the day. Here are the top stories from the past 24 hours.

Hudson’s Bay employees sparking interest from Holt Renfrew and other retailers (CityNews)

Judge approves $500M settlement in Loblaw, George Weston bread price-fixing case (The Canadian Press)

What you need to know about Canadian Tire, the retail giant that bought Hudson’s Bay brands (Financial Post)

Non-profit thrift stores in Metro Vancouver struggle as rents soar (CBC)

‘They’re attacking culture’: Quebec’s new French packaging rules spark backlash (Montreal Gazette)

Why is there a tactical gear store in Little Italy? (Village Report)

New FreshCo set to open in Edmonton (Grocery Business)

Loblaw opens 10th No Frills in London, Ont. (Grocery Business)

CLOSURE: 25 Beer Store locations shutting down soon in Ontario (InSauga)

Councillor urges Winnipeg mayor to rescind civic award given to Food Fare owner (CBC)

Unifor Rallies to Protect Hudson’s Bay Workers Amid Liquidation

By
Craig Patterson
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Hudson's Bay store at Devonshire Mall in Windsor, ON. Photo: TripAdvisor

As the Hudson’s Bay Company (HBC) moves through court-supervised restructuring and liquidation, Canada’s largest private-sector union, Unifor, is intensifying pressure on the historic retailer to prioritize workers’ rights and compensation.

On Tuesday, May 27, Unifor will hold coordinated solidarity rallies in Toronto and Windsor to demand that HBC fulfil its obligations to employees. The union is calling for immediate protections for workers’ wages, pensions, and benefits as part of the broader Companies’ Creditors Arrangement Act (CCAA) process that the company entered in March.

Union Pushes Back as HBC Winds Down

“Hudson’s Bay’s financial restructuring cannot come at the cost of its frontline workers,” Unifor stated in its announcement. The rallies—one at HBC’s Scarborough-based e-commerce warehouse and another outside the Windsor Hudson’s Bay store—are intended to highlight worker concerns during this period of uncertainty.

The Toronto rally at 100 Metropolitan Road will feature Unifor Ontario Regional Director Samia Hashi, Local 40 President Dwayne Gunness, and current HBC workers. In Windsor, the rally at 3100 Howard Avenue (Devonshire Mall) will include Local 240 President Jodi Nesbitt, Unifor Retail Director Sharon Walsh, and local retail staff.

Unifor Locals 40 and 240 represent about 595 HBC workers at affected stores in Windsor, Kitchener, and Toronto’s CF Sherway Gardens, along with staff at the company’s Scarborough e-commerce logistics hub.

Federal Insolvency Reform Also on Union Agenda

Beyond holding HBC accountable, Unifor is calling for urgent federal action to overhaul Canada’s insolvency legislation. Among the union’s key demands:

  • Raising the cap on the federal Wage Earner Protection Program (WEPP), which provides limited compensation to employees of bankrupt companies.
  • Strengthening “super-priority” status for workers’ claims during insolvency proceedings.
  • Increasing director liability for unpaid wages, benefits, and pension obligations.
  • Creating trust-held or federally guaranteed funds to protect workers from corporate failures.

“Canada’s laws should not allow corporations to shed their obligations to workers while executives and creditors walk away whole,” said Unifor in its release.

Hudson’s Bay logistics facility at 100 Metropolitan Road in Toronto. Photo: Apple Maps

HBC’s CCAA Filing and the Road to Liquidation

Founded in 1670, the Hudson’s Bay Company is Canada’s oldest retailer. In recent decades, however, the company has struggled to adapt to shifting consumer trends, rising operational costs, and increasing online competition amid a lack of investment. On March 7, 2025, the company filed for protection under the Companies’ Creditors Arrangement Act, citing the need to restructure amid growing financial strain.

At the time of filing, HBC operated 80 Hudson’s Bay department stores, 3 Saks Fifth Avenue stores, and 13 Saks OFF 5TH outlets across Canada. As part of its restructuring plan, HBC announced that up to 28 store leases would be assigned to Ruby Liu Commercial Investment Corp., with the aim of launching a new department store concept.

In addition to selling its store leases, HBC has agreed to transfer its intellectual property and brand assets to Canadian Tire. Saks Global, which operates Saks Fifth Avenue stores in the United States, is unaffected by the proceedings, as it functions independently.

Tensions Over Wages at Unionized Locations

Labour relations between HBC and Unifor have grown increasingly tense in recent months. In April 2025, during active liquidation sales, HBC eliminated commission-based pay at unionized locations, significantly impacting workers’ take-home earnings. The union filed formal grievances, and in early May, HBC reversed the decision, reinstating commissions for sales employees at affected stores.

Despite the reversal, Unifor maintains that HBC’s broader strategy has lacked transparency and fairness toward workers.

“The sudden elimination of commissions during liquidation was not just unfair—it was a violation of collective agreements,” said Local 40 in a previous statement. “The reversal is welcome, but the damage to morale is already done.”

What’s at Stake for HBC Workers

As the liquidation process unfolds, workers at Hudson’s Bay stores face increasing uncertainty. Severance, vacation pay, pension entitlements, and benefits are all at risk depending on the outcome of court proceedings. 

While the CCAA process allows companies to restructure, it also permits them to disclaim leases, modify obligations, and reduce liabilities—including to employees.

HBC has already disclaimed several store leases, including five within the Primaris REIT portfolio, taking effect June 16, 2025. Dozens more may follow, depending on court approvals and investor interest.

For many employees, the potential loss of benefits and retirement income is of particular concern. While the WEPP offers limited short-term coverage for unpaid wages and vacation, it does not guarantee pension protection or full severance payments. This gap in coverage is one of the central issues Unifor is highlighting in its advocacy.

Workers Call for Accountability

Unifor’s message is clear: workers who spent years, and in some cases decades, building Hudson’s Bay deserve more than token compensation.

“The company must not be allowed to walk away from its obligations to the very people who kept it running,” said Unifor representatives in a statement ahead of the May 27 rallies.

Unifor says it continues to work with legal counsel and government representatives to ensure employees’ interests are represented throughout the CCAA process. The union has also indicated it may explore legal avenues if worker protections are not adequately secured.

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Primaris Takes Control of 5 Disclaimed Hudson’s Bay Stores

By
Craig Patterson
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Hudson's Bay store at Cataraqui Town Centre in Kingston, ON. Image: Apple Maps

Primaris Real Estate Investment Trust has announced that five of its nine Hudson’s Bay Company (HBC) store leases have been disclaimed through the ongoing court-supervised Companies’ Creditors Arrangement Act (CCAA) proceedings. The move gives the REIT full control of over half a million square feet of anchor retail space across five properties, marking a turning point in its strategic repositioning of underutilized department store real estate.

The disclaimed leases, which did not receive bids during the lease monetization process, cover stores at Cataraqui Town Centre in Kingston ON, Place d’Orleans in Orleans ON, Les Galeries de la Capitale in Québec City, Medicine Hat Mall in Medicine Hat Alberta, and Calgary’s Sunridge Mall. Collectively, these locations account for 532,100 square feet of gross leasable area (GLA) and will officially revert to Primaris on June 16, 2025.

Five Stores Disclaimed, Major Vacancy Introduced

The loss of HBC as a tenant will lower Primaris’ pro forma portfolio occupancy from 93.2% to 89.5%. The financial hit includes a $5.5 million reduction in annualized revenue and a $3.9 million drop in annualized net operating income (NOI).

However, Primaris says it views this as a value-creation opportunity. “Regaining control of five of our valuable anchor locations allows Primaris to commence repurposing a significant amount of low productivity space, and marks the beginning of our value surfacing exercise,” said Alex Avery, Chief Executive Officer. “While HBC has been the focus of a lot of discussion and attention, the real story is just beginning, as the disclaiming of leases has finally removed obstructionist barriers enabling us to enhance our properties.”

Hudson’s Bay store at Les Galeries de la Capitale in Québec City. Photo: Justus Coon-Come via Google Maps

Redevelopment Plans Already Underway

Primaris has been preparing for this possibility and is now accelerating its re-tenanting and redevelopment strategy. The REIT expects to invest between $50 million and $60 million across the five disclaimed locations, reducing the overall footprint from 532,100 square feet to about 475,000 square feet. Initial occupancy by new tenants is expected in Q2 2026, with rents beginning to flow as early as 2027.

According to the company, the redevelopment will generate $4 million to $5 million in annual NOI, translating into an 8% to 9% yield on invested capital.

“There is strong tenant demand for our HBC boxes, and we are in discussions with strong covenant, high-quality national retailers, including large format tenants,” said Patrick Sullivan, President and Chief Operating Officer. “There are opportunities where tenants are considering the entire box, others will be subdivided, and others are likely to be demolished to accommodate development of new outparcel and higher density opportunities.”

Unlocking Land and Lifting Restrictions

Primaris also gains considerable flexibility in how it can use the real estate. The REIT will be relieved of obligations tied to 1,866 parking spaces — about 13 acres of land — and will no longer face “no-build” restrictions on 71 acres, including the nine acres currently occupied by HBC stores.

“All of these properties now offer significant intensification opportunities spanning retail outparcels, the potential sale of excess lands for multi-residential, hotel, or other high density uses, and the future expansion of the malls themselves,” noted the company.

The departure of HBC also removes a potential drag on mall performance. “Regained control of these leases offers further indirect financial and qualitative benefits to the shopping centres, such as the halo effect on sales and rents from adjacent tenants following re-tenanting, or the positive impact on capitalization rates and valuations for properties that replace underperforming tenancies with new, stronger retailers,” the company stated.

Hudson’s Bay store at Sunridge Mall in Calgary. Photo: Quy La via Google Maps

Remaining Leases Subject to Bids

Four other HBC locations in the Primaris portfolio — at Conestoga Mall (Waterloo), Orchard Park (Kelowna), Oshawa Centre (Oshawa), and Southgate Centre (Edmonton) — remain subject to bids through the CCAA process. Combined, these leases represent 498,770 square feet of space, or about 3.5% of Primaris’ total GLA. The spaces generate $5.4 million in gross rental revenue annually and $2.0 million in net rental income.

Primaris believes it will have “significant influence” over the outcome of these bids. This is due in part to the extensive deferred maintenance across the HBC locations and the capital that will be required to restore them for ongoing retail use.

Ongoing Uncertainty Around Remaining Sites

As of now, the company has limited visibility into the nature of the bids or the retailers behind them. “Limited information is available about these bids, including any retailer plans or requested lease modifications,” 

Primaris said in a statement. “We are not yet able to comment on the viability of the operating strategies or financial strength of the retailers bidding on these locations.”

Notably, two of the four leases — at Oshawa Centre and Southgate Centre — were acquired by Primaris in January 2025 as part of a $585 million transaction, just weeks before HBC filed for creditor protection.

Vancouver-based entrepreneur Weihong (Ruby) Liu recently announced that she had won bids on 28 Hudson’s Bay stores. On Chinese social media app RedNote, Primaris was mentioned as a landlord for at least some of these. Canadian Tire also said it bid on several HBC stores, with locations currently unknown.

Co-Tenancy Clauses Have Minimal Impact

Only 27 of the over 2,800 leases in the Primaris portfolio include co-tenancy clauses tied to HBC. Thirteen of those clauses relate to the five disclaimed stores, while 14 pertain to the four stores currently subject to bids.

Primaris estimates the total impact from these clauses on 2025 rental revenue will be less than $2 million and says it is actively working to reduce that number to zero. In many instances, mitigation strategies and tenant-specific arrangements may allow the REIT to circumvent reductions in rent or lease obligations.

Hudson’s Bay store at Orchard Park Shopping Centre in Kelowna, BC. Image: Apple Maps

2025 Financial Guidance Remains Intact

Despite the upheaval, Primaris has reaffirmed its financial and operational guidance for the 2025 fiscal year. The company first issued this guidance on February 13, prior to HBC’s CCAA filing, and reiterated it during Q1 results in April.

“Disciplined capital allocation is a key pillar to Primaris’ strategy,” the REIT stated, emphasizing its commitment to transparency and stability. “Providing financial and operating guidance is not only helpful for investors and analysts… it also creates a rigorous discipline for management.”

Context: The Fall of HBC and Real Estate Ripples

HBC filed for creditor protection under the CCAA on March 7, 2025, citing unsustainable operating losses and mounting debt. Since then, the company has been liquidating inventory and working with a court-appointed monitor to monetize its remaining assets — including leases, trademarks, and valuable historical artifacts.

The broader retail real estate market is still absorbing the fallout. Earlier in May, RioCan REIT disclosed a $209 million loss on its investment in a joint venture with HBC. Canadian Tire has since announced it will acquire the Hudson’s Bay intellectual property portfolio for $30 million.

For Primaris, however, the HBC lease disclaimer represents an opportunity to turn disruption into long-term upside.

“Primaris REIT has been preparing for the departure of HBC, as its department store peers downsized and ceased operations over the past 15 years, including Zellers, Target and Sears,” said Sullivan in a previous statement. “The departure of Canada’s final conventional department store will enable future value creation for our stakeholders, paving the way for optimal use of space that better reflects the evolving needs and desires of the growing communities.”

“We are confident that the quantitative and qualitative benefits of regaining control of these spaces will be materially positive for our properties and our unitholders.”

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Chick-fil-A opening another Calgary location

By
Mario Toneguzzi
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Chick-fil-A  is opening a new restaurant on Thursday, May 29 in Calgary. Chick-fil-A East Hills is located at 1500-250 East Hills Square Southeast.  

Last November, the brand opened its first Calgary location at 9223 Macleod Trail SW.

East Hills will be the newest location to open in Calgary. The new restaurant will employ approximately 90-110 full- and part-time people and will be open for dine-in and take-out from 10:30 a.m. to 10:00 p.m. Monday through Saturday. 

In honour of the new restaurant opening, the company will donate $40,000 to local non-profit Calgary Dream Centre through Second Harvest, one of Canada’s largest food rescue organizations. Since 2020, it has donated about C$2 million (US$1.46 million) to local hunger-relief organizations through Second Harvest. 

The restaurant will be participating in the Chick-fil-A Shared Table  program, an initiative that will redirect surplus food from the restaurant to the Calgary Dream Centre.

To date, more than 35 million meals have been created using Shared Table donations from 2,300 restaurants throughout Canada and the U.S. 

Earlier this year, the company announced it would be opening three new restaurants in Alberta this spring, continuing the brand’s plan to open 20 restaurants across the province by 2030.

Chick-fil-A Sunwapta West is now open in Edmonton at 10104 186th Street Northwest and Chick-fil-A The Meadows is now open in Edmonton as well at 4004 17th Street Northwest. 

The company said it expects to open a record eight restaurants across Ontario and Alberta in 2025, marking the most openings in Canada in any year since it opened in 2019. 

“We are seeking franchise candidates in Canada with an entrepreneurial spirit and a CEO mindset, who are passionate about serving great food and providing exceptional hospitality in a fast-paced environment. Chick-fil-A franchisees are independent Owner- Operators who run complex Chick-fil-A-branded restaurant businesses with integrity and stewardship,” it said.

Chick-fil-A, Inc. is the third largest quick-service restaurant company in the United States, known for its freshly-prepared food, signature hospitality and unique franchise model. More than 200,000 people are employed by local Owner-Operators in more than 3,000 restaurants across the United States, Canada and Puerto Rico.

Chick-fil-A opened its first restaurant in the UK in early 2025 with the goal of launching five locations across the UK within the next two years. The first Singapore restaurant is set to open in late 2025, marking the brand’s entry into Asia.

The family-owned and privately held company was founded in 1967 by S. Truett Cathy. 

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PayMore Expands in Canada with Walmart and Franchises

By
Craig Patterson
-

U.S.-based electronics buy-and-sell franchise PayMore is ramping up its Canadian expansion with multiple new storefronts opening this year, including a high-profile downtown Toronto location and new franchisees signed in British Columbia, Calgary, and Ottawa. The company, known for its resale model focusing on consumer electronics, has partnered with Toronto-based Founder Brands, which holds the exclusive Canadian rights to the PayMore brand.

The latest opening, near the busy intersection of Yonge and Wellesley in downtown Toronto, marks a significant step in PayMore’s Canadian growth. “We wanted to be on Yonge Street,” said Adam Corrin, Co-Founder of Founder Brands, in a recent interview. “South of Bloor, north of Dundas—it’s where the density is, it’s where the spending power is, and it’s where people are walking past with old iPhones in their pockets.”

Adam Corrin

Building Momentum from Downtown Toronto to Walmart Locations

PayMore now has six open storefronts in Canada, with three of those located inside Walmart stores. The retail giant is testing the concept by allowing PayMore to operate in spaces near store entrances—areas often occupied by third-party vendors like McDonald’s or dry cleaners.

“We’re in Markham, Scarborough, and Mississauga, right near the point-of-sale areas at Walmart,” Corrin explained. “That strip of retail at the front of the store is a perfect high-traffic environment for us.”

These locations are part of a strategic three-store pilot, with Walmart monitoring performance before any broader rollout. Corrin says the reception has been strong both from consumers and from Walmart management.

“It’s been a great brand for franchisees and a great brand for landlords,” he said. “Everyone wants to be part of the PayMore story right now. The brand is building traction fast.”

Paymore at Walmart in Markham, ON. Photo: PayMore Canada

Consumers Driving Growth with Trade-Ins and Searches

Part of PayMore’s success comes from strong demand among consumers looking to turn in old electronics for cash. As Corrin described, “Every time we open a new store, someone walks in on day one and says, ‘I Googled where to sell my old laptop,’ and PayMore came up.”

He added that the brand is not just attracting tech-savvy customers already thinking about selling their devices, but also people who hadn’t yet considered it. “There are millions of Canadians with drawers full of old electronics,” Corrin said. “They’re just not acting on it—yet.”

Founder Brands has developed a layered marketing strategy to target both actively searching customers and more passive ones. “Right now, we’re focused on digital—SEO, paid search, anything that captures someone who wants to sell their PlayStation or phone,” Corrin said. “But there’s a big opportunity to go after people who haven’t even thought about it yet. The mom who has a drawer of iPads and doesn’t know what to do with them? That’s the next frontier.”

Photo: PayMore Canada

Seasonal and Traditional Marketing to Follow

Corrin noted that as the brand gains scale nationally, broader awareness campaigns will become viable. “We see an opportunity around spring cleaning,” he said. “People want to declutter—and what better way than by trading in unused tech for cash?”

The post-holiday period is another key window. “After Christmas, people have new devices and don’t know what to do with their old ones,” he explained. “It’s a natural moment to reach them.”

In time, Corrin envisions larger-scale campaigns, including PR pushes and possibly even traditional media advertising. “Once we have 30 or 40 stores, we can justify spending more to reach broader audiences,” he said.

Paymore at Walmart in Stouffville ON. Photo: PayMore Canada

Franchising Driving National Footprint

Founder Brands is growing PayMore through a franchise model and has sold nearly 70% of the Canadian territory. So far, eight franchisees are actively pursuing real estate or are in the build-out phase of their stores, according to Corrin.

“We’ve signed franchisees in British Columbia, Calgary, the GTA, and Ottawa,” he said. “We also have letters of intent signed for other markets that will help us fill in the map.”

The pace of expansion is ambitious. Corrin confirmed that Founder Brands is committed to opening 120 PayMore locations across Canada within ten years. With a mix of urban storefronts and co-located retail spaces like Walmart, the company is executing a dual-format approach that allows for flexibility in high-traffic areas.

Opening of PayMore in Mississauga. Photo: PayMore Canada

PayMore’s Canadian Debut: A Look Back

The company’s first Canadian locations were announced in January 2025. At that time, Corrin outlined plans to bring the New York-based PayMore brand north through a scalable franchise model. The initial openings were also tied to the Walmart pilot program, which positioned PayMore to test the Canadian market in locations with steady foot traffic and built-in consumer trust.

“The first stores were a proof of concept,” Corrin said in January. “Now that we’ve validated the business model, we’re ready to scale fast.”

Landlord and Investor Enthusiasm Growing

Real estate landlords have responded positively to the PayMore model, viewing the brand as a strong traffic generator with broad consumer appeal. Corrin confirmed that leasing conversations have moved swiftly across key urban markets, helped by PayMore’s performance south of the border.

“The franchise model helps us move quickly,” he said. “Franchisees are motivated, they know their local markets, and they’re invested.”

Corrin added that many landlords are actively approaching the company about bringing the concept into their properties. “They see this as a fresh take on retail—tech, resale, sustainability. It checks a lot of boxes.”

Photo: PayMore Canada

A Business Model Rooted in Sustainability and Value

In addition to strong unit economics, the PayMore brand appeals to modern consumer values, including sustainability and financial practicality. Corrin noted that resale—and particularly electronics resale—is an increasingly important part of how Canadians think about consumption.

“There’s a cultural shift happening,” he said. “People want to spend smarter, and they’re more aware of the waste associated with electronics. PayMore offers a way to get value from what you already own, and that message is resonating.”

Looking Ahead: Market Penetration and Beyond

Founder Brands’ next challenge is scaling the business while maintaining quality and brand consistency. Corrin said that franchisee training, operational support, and real estate guidance are critical to ensuring the concept’s long-term success.

“Toronto’s just the beginning,” he said. “Soon, you’ll see PayMore stores in suburban communities, college towns, and secondary markets across the country.”

And while the focus remains on PayMore for now, Corrin hinted that more announcements could be on the horizon involving other brands in the Founder Brands portfolio, including experiential retail and food service concepts.

“We’ve got some exciting developments coming,” he said. “But PayMore is definitely the growth engine right now.”

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