Metro, union reach agreement in principle after six-month strike

Metro Inc. has reached an agreement in principle with the union representing employees at its produce distribution centre and transportation and head office in Quebec.

STTEUMR (CSN) workers have been on strike since March 30.

The agreement was reached Thursday (Sept. 17), the food and pharmacy retailer said.

It will be unanimously recommended by the union's bargaining committee before being submitted to the employees for a ratification vote on Sept. 24. The union will present the details of the agreement to its members on that occasion.

“In the meantime, our stores continue to be well stocked to meet our customers' needs,” Metro said in a release.

Metro said the labour dispute negatively impacted its most recent quarterly results by $90 million. That includes an estimated $66 million in lost profit and direct cost impact, or $0.32 per share. 

“We've been fighting with our hands tied behind our backs for a while. We're in tighter shape today, but it's been a challenging order," outgoing president and CEO Eric La Flèche told analysts on Metro's third quarter earnings call in August. 

At that time, La Flèche said Metro had presented a new global offer to the union with “competitive wage and working conditions that compare very favorably with the market. In addition to offering quality long-term jobs in Quebec.”

The Ontario- and Quebec-based retailer's banners include Metro, Food Basics, Jean Coutu and Super C, among others.