What Happened: Hudson’s Bay Layoffs Explained
Aleks Kukolj
Barrister & SolicitorAleks is dedicated solely to the practice of employment law. He has proudly served – and continues to serve – employees across the province of British Columbia.
The closure of the Hudson’s Bay Company marks the end of an era in Canadian retail—and the beginning of a challenging time for more than 8,300 employees facing sudden job loss. If you’re among those affected by the Hudson’s Bay layoffs, it’s crucial to understand your rights and the financial support available to you, especially through the Wage Earner Protection Program (WEPPA). Here’s what you need to know about the Hudson’s Bay layoffs and how to claim up to $8,844 in wage protection under WEPPA for those impacted by the Hudson’s Bay layoffs.
On June 1, 2025, Hudson’s Bay closed all 96 of its stores across Canada, resulting in the termination of approximately 8,347 employees—89% of its workforce. The closure follows months of liquidation sales and a failed attempt to secure financial backing during creditor protection proceedings under the Companies’ Creditors Arrangement Act (CCAA). Most employees have not received severance or termination pay, but will collect accrued vacation pay based on their last day of work.
What Is WEPPA and Why Does It Matter for Hudson’s Bay Employees?
The Wage Earner Protection Program (WEPPA) is a federal program that provides financial compensation to employees who lose their jobs due to their employer’s bankruptcy or insolvency. For those impacted by the Hudson’s Bay layoffs, WEPPA Hudson’s Bay offers a critical safety net—covering unpaid wages, vacation pay, termination pay, and severance pay, up to a maximum of $8,844.22.
Hudson’s Bay is seeking a court declaration to allow affected employees to access WEPPA benefits. Once granted, eligible employees can apply for payments to recover some of the wages and benefits they are owed.
Are You Eligible for WEPPA?
You may qualify for WEPPA if:
- Your employment has ended due to the Hudson’s Bay layoffs;
- Hudson’s Bay has filed for creditor protection or is subject to other qualifying insolvency proceedings;
- You are owed wages, vacation pay, termination pay, or severance pay; and
- The amounts owed were earned during the eligibility period or your termination occurred before the discharge of the trustee/receiver.
How Much Can You Get?
The current WEPPA maximum is $8,844.22 per eligible employee. This amount covers unpaid wages, vacation pay, termination pay, and severance pay, but not bonuses or commissions beyond this cap.
How to Apply for WEPPA
How to Apply for WEPPA Hudson’s Bay
1. Gather Your Documents
- Record of Employment (ROE);
- Proof of claim statement (shows what Hudson’s Bay owes you);
- Social Insurance Number (SIN);
- Details of your employment and termination.
2. Apply Online or In Person
- Online: The fastest way is through the Service Canada website. Complete the application in one session, as you cannot save a partially completed form.
- In Person: Pick up a paper application at any Service Canada Centre, but expect longer processing times.
3. Application Deadline
- Apply within 56 days of your termination or the date of bankruptcy/receivership, whichever is later.
4. Await Processing
- Service Canada typically processes applications within 35 days after receiving all required information.
5. If Denied
You have 30 days to request a review by the Minister if your application is denied.
Important Tips for Hudson’s Bay Employees
- Monitor Announcements: Watch for updates from Hudson’s Bay or the court regarding the official WEPPA declaration.
- Apply Promptly: Delays can jeopardize your eligibility.
- Direct Deposit: Sign up for direct deposit to receive your payment quickly.
- Seek Legal Advice: If you believe you are owed more than WEPPA covers, consult an employment lawyer about your options.
Final Thoughts
The Hudson’s Bay layoffs are among the largest in Canadian retail history, leaving thousands in financial uncertainty. The WEPPA Hudson’s Bay process is your best route to recover unpaid wages and benefits. Don’t miss your chance—apply as soon as possible to secure up to $8,844 in wage protection.
If you have questions about your eligibility or need help applying, contact Service Canada or consult with an employment lawyer familiar with WEPPA Hudson’s Bay claims.