World Cup security firm had labour dispute on city contract
· Toronto Sun
Toronto’s event security contractor for the FIFA World Cup was caught up in a recent labour dispute over another city contract – and the union involved in that fight is warning that “under-qualified companies” are being entrusted with the public’s safety.
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The United Food and Commercial Workers Canada Local 1006A had alleged “ongoing violations” involving its members – guards that worked at Toronto Community Housing Corporation properties – a little more than a year before Star Security won the city’s high-profile World Cup contract.
In a statement, Sharon Bollenbach, executive director of the City of Toronto’s World Cup secretariat, defended Star’s selection – but she did not clarify if the company would get any of the additional security funding promised by the federal government last month.
Star, which is based in Hamilton and specializes in event security, said it couldn’t comment on the federal funding announcement, but ignored other questions from the Toronto Sun .
Online job postings suggest Star will pay its guards as little as $18 an hour. A top official at a rival private security company in the GTA, who the Sun is not identifying to allow him to speak freely about a competitor, said Star’s pay is less than what the industry saw for the 2010 Vancouver Olympics.
At that level for a two-month job, Star would have to rely heavily on entry-level guards, he argued.
“Is that what we really want?” the official asked.
‘Lowest-bid procurement’
In early 2024, a law firm complained to the Ministry of the Solicitor General about alleged “ongoing violations of the Private Security and Investigative Services Act” by Star Security, which months before had taken over a rival firm’s contract to handle security at TCHC properties, according to a document shared with the Sun .
That firm was representing UFCW Local 1006A, and it alleged Star tried to treat those unionized security guards as independent contractors. That meant they didn’t get certain benefits and might be denied statutory holiday pay, according to the complaint.
The union said things ultimately worked out for its Star Security guards at the TCHC, as they joined the UFCW contract after proceedings at the Ontario Labour Relations Board.
But in a statement, UFCW warned the “ongoing use of lowest-bid procurement for private security contracts … puts public safety and regulatory compliance at risk.”
“Under-qualified companies are winning major contracts,” the union said in its statement, “pushing out licensed and trained professionals. This has led to lower wages, lost benefits and sometimes even violations of the Private Security and Investigative Services Act.”
Last year, the Ministry of the Solicitor General sent out a memo to the private security industry, warning against what it called “employee misclassification” as independent contractors. Such misclassification could violate the PSISA and lead to an agency getting its licence revoked, the ministry memo said.
While Bollenbach’s statement did not address the dispute involving the TCHC contract, she said Star was picked after a competitive bidding process in line with city policies.
Asked about the federal government’s recent pledge of $145 million in extra funds for World Cup security in Toronto and Vancouver, Bollenbach said city hall is still “finalizing details” with Ottawa.
Event safety and security costs in Toronto are pegged at $93.7 million, Bollenbach said, most of that going toward the Toronto Police. “Private security costs are not a stand-alone budget line and are included within broader venue and event-related security expenses,” her statement added.
Not ‘just another product’: Union
UFCW’s warning follows a lawsuit against the city that was launched after an unrelated security firm, responsible for homeless shelters, ceased operations.
Employees with One Community Solutions are suing a list of entities, including their former employer and city hall, for $32 million , alleging labour violations such as underpayment and nonpayment of its workers. (That class action lawsuit has yet to be certified.)
OCS won a competitive procurement process in 2023, around the time Star took over the TCHC contract. OCS employees were ordered off the job early this year after the Ministry of the Solicitor General warned they couldn’t serve as security guards.
The ministry has told the Sun that Star Security is properly licensed.
In the UFCW statement, union local president Wayne Hanley called for “independent checks on licensing and staffing” of security providers to ensure they meet government standards.
“Security should not be treated as just another product to buy cheaply,” Hanley said, per the statement. “It is a vital public safety service that requires licensed staff, proper training and strong oversight.”
Toronto will host six World Cup games, with the first on June 12.