Canada Safeway Ltd has agreed a contract deal with striking staff at three stores in northwestern Ontario.

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The deal was reached just a day after Safeway said it would permanently close doors at the three stores in Thunder Bay that have been out of operation due to a protracted strike. The stores are in Dryden, Fort Frances and Kenora.


The workers at these stores, who are represented by the United Food and Commercial Workers International Union local 175, are expected to hold ratification votes within the next few days.


Calgary-based Canada Safeway said it will shut down its Thunder Bay stores, which together employ 481 staff.


The strike, which is ongoing, has cost the company C$7.5m (US$4.9m) in lost business.

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