New Brunswick Seafood Firm Fights $1M Fine Over Worker Claims

URGENT UPDATE: A New Brunswick seafood processing company is escalating its legal battle against the federal government, contesting a staggering $1 million fine and a 10-year ban from Canada’s Temporary Foreign Worker Program. Bolero Shellfish Processing Inc., located in Saint-Simon, has filed a judicial review application in the Federal Court, claiming the penalty is “unjust and disproportionate.”

The company argues that the fine, the largest ever imposed by Employment and Social Development Canada, stems from a flawed investigation process lasting more than four years. Bolero asserts that allegations from a former employee and advocacy groups led to assumptions of guilt without a proper chance to defend itself. The company states that the ruling has inflicted “true penal consequences” and significant reputational damage.

A recent investigation found Bolero in violation of multiple regulations, including failing to ensure that temporary foreign workers received the hours and pay stipulated in their contracts, alongside issues of improper deductions and health insurance gaps. Furthermore, officials reported that the company did not maintain adequate protections against workplace abuse and mistreatment.

In response to the federal findings, Bolero “categorically rejects” the allegations, asserting that they do not represent the reality of its employment practices or its commitment to worker welfare. The company claims that affected workers were compensated for 30 hours per week even when there was no work available, attributing payroll discrepancies to administrative errors that have since been corrected.

However, former employee Estefania Montes paints a starkly different picture. She alleges, “The company promised to pay us 30 hours a week if there was no work, which we weren’t paid for. We were forced to rely on unemployment insurance to cover our rent, and expenses quickly piled up, leaving us owing the company between $2,000 and $9,000.” Montes and others have also reported hospitalizations due to being compelled to work through medical emergencies.

These claims echo allegations made by the Migrant Workers Alliance for Change, which describes “documented systematic exploitation” of workers at Bolero’s facility. In a strong statement, Employment and Social Development Canada emphasized that “any mistreatment of workers or misuse of the Program will not be tolerated,” affirming the rationale behind the hefty fine.

As this significant legal battle unfolds, Bolero has refrained from further comments on the active court proceedings. The outcome of this case could have far-reaching implications for the treatment of temporary foreign workers across Canada, highlighting ongoing tensions within the labor market.

Stay tuned for more developments as this story continues to evolve.