Top court hears arguments in Wal-Mart store closure dispute

The Supreme Court of Canada heard arguments Wednesday on the legality of Wal-Mart's decision to shut down a Quebec store in the midst of a labour dispute.

The store in Saguenay closed in April 2005, just before an arbitrator was to impose a collective agreement for the unionized employees.

The company said the store wasn't profitable, but appellants say the employer shut it down in response to the organized labour dispute and want Canada's top court to rule that the action was against the law.

The court is being asked to decide whether closing the store contravened freedom of association as enshrined in the Charter of Rights and Freedoms.

The United Food and Commercial Workers union was certified in September 2004 to represent workers at a Wal-Mart in Jonquière. After several bargaining sessions, the parties couldn't reach an agreement and the union filed an application under the Labour Code to refer the dispute to arbitration.

On Feb. 9, 2005, the dispute was referred to arbitration. That same day, Wal-Mart announced it would close the store, which employed 190 people.

A Quebec labour commission, the Quebec Superior Court and the Quebec Court of Appeal have all previously ruled in favour of the company.