Provigo may close two distribution centres in Quebec

Loblaw may be closing its two Provigo distribution centres in Quebec, and opening one in Cornwall, Ont., according to a report in the Montreal Gazette.

Some 600 jobs could be endangered say Provigo employees if the company’s head office plans to close two distribution centres in Boucherville, Que., and St. Laurent in Montreal.

According to a report on the website Argent.ca, the employees were told the company is relocating the distribution centres to Cornwall, Ont., but no time frame was given as to when that would happen.

The St. Laurent centre specializes in frozen foods; while the second houses produce.

Loblaw issued a statement on Friday to the Montreal Gazette: "We are committed to our business in Quebec and in order to continue to serve our customers we need to ensure a viable and efficient supply-chain operation," the statement read. "This approach is not specific to Quebec; we have made supply-chain adjustments to ensure efficiency and adequate capacity in every major market across Canada. We are encouraged by the union's feedback and desire to meet about the future of these facilities but at this time we are have agreed with the union not to discuss details of our discussions."

Rumours that Loblaw would be setting up a massive distribution centre in the industrial park had surfaced about 14 months ago with some city officials in Cornwall expecting the warehouse to be completed in late 2012, according to a report.