Pattison, Hootsuite face backlash over business linked to ICE

The owner of a U.S. building sought for use as an ICE processing facility has addressed outcry over the proposed sale.

Two Vancouver-based companies are facing public backlash for their ties to U.S. federal agencies after two killings carried out by immigration enforcement officers.

The United States Department of Homeland Security is planning to buy a warehouse in Hanover County, Va., owned by the property arm of B.C. billionaire Jim Pattison, to convert into an ICE processing facility. The potential purchase has sparked calls for boycotts and protests in British Columbia.

“You have a moral duty to stand in the interest of humanity and to cut your ties with ICE immediately,” said B.C. Green Party Leader Emily Lowan.

Lowan is calling for shoppers to boycott Pattison’s grocery stores, including Save On Foods. “As Canadians, I think we need to stand in solidarity with our American neighbours who are at risk of violence every day and do everything in our power to pressure those corporations,” she said.

Jim Pattison developments purchased the 43.5-acre site for roughly C$10.4 million in 2022, according to property records, and it could be valued this year at around C$69 million following improvements.

In a statement, Jim Pattison Developments said “an offer was accepted to sell the building to a U.S. government contractor. Some time later, we became aware of the ultimate owner and intended use of the building. This transaction is still subject to certain approvals and closing conditions.”

Hootsuite also under scrutiny

Another Vancouver-founded company, Hootsuite, is also drawing criticism for what procurement records show is a contract to provide social media management services to the U.S. Department of Homeland Security, which overseas ICE.

A protest outside Hootsuite’s Vancouver headquarters is planned for Friday by a group called Democracy Rising. “Public pressure changes behaviour,” co-founder Kalifi Ferretti-Gallon said. “The public is watching, and companies will be remembered for how they chose to act in this moment.”

Hootsuite did not respond to a request for comment by deadline.

A complex calculation for Canadian firms

One business expert says decisions about whether to sever ties with U.S. agencies are not straightforward, in that companies must weigh damaging their business with managing public perception. “There are lots of Canadians who don’t agree with the actions of Mr. Trump. Do we sever all ties?” asked Marvin Ryder, an Associate Professor in McMaster University’s DeGroote School of Business. “Lots of Canadians have voted with their pocketbooks not to visit the United States, but that doesn’t mean we still don’t sell them oil.”

Ryder also points to the recent trade deal between Canada and China. “It doesn’t mean that we love China, doesn’t mean we agree with everything that China does, doesn’t mean that we’re going after a free trade deal with China.”

In the end, Ryder believes that a Canadian company facing backlash will base its decisions going forward on the extent it is revenue-dependent on its U.S. customers. “If I am associated with ICE, but the revenues I’m generating from being associated with ICE are one per cent, two per cent of my overall revenues, it wouldn’t cost me very much to sever that relationship as a form of protest,” he said. “But if it’s 50 per cent of my revenue. Well, wait a minute, this could threaten the very viability of my company.”

With files from The Canadian Press