A fruitless exercise? The political struggle to compel corporations to justify factory closures in Canada

Abstract

ABSTRACT This paper examines the political history of the failed struggle to require companies to justify their plant closing decisions in Canada’s industrial heartland of Ontario. Demands for the public review of plant closing decisions began, locally, in the auto town of Windsor in the 1950s and 1960s and reached Toronto with the closure of Dunlop Tire in 1970. Another wave of closures struck in 1980, this time reaching deep into rural and small-town Ontario as well as larger industrial towns and cities, generalizing concern. The resulting Select Committee on Plant Shutdowns and Employee Adjustment, created by the Ontario legislature, took it upon itself to conduct the kind of public review of recent closures that was long demanded. Due to the strength of the political opposition to any interference with management rights, it was essential that proponents could point to precedents in Western Europe. Trade unionists also grounded their argument in favour of government regulation in the moral economy idea that long-service workers accrued a proprietary right to their jobs.