When Cookies Crumble: What Craig’s Cookies’ Union Vote Can Teach Small Businesses about HR — and How Fractional HR Could Have Changed the Game

In late December 2025, nearly 90 workers at five Craig’s Cookies locations in Toronto voted to unionize with UNITE HERE Local 75, a significant move in the food service sector. Workers cited issues including wages, benefits, and working conditions, while the company stated it “respects the results of the vote and will work with the union in good faith.” 

This development reflects a broader truth about workplaces: employees will organize when they feel their voices aren’t being heard early enough. But what if the situation could have been different? What if Craig’s Cookies had access to proactive people strategy before the vote? That’s where fractional HR comes in.

The Union Vote: A Tipping Point, Not an Isolated Incident

Workers at Craig’s Cookies locations in Bayview, Church-Wellesley, Leslieville, Parkdale, and Union Station overwhelmingly supported unionization after a two-week organizing drive. This move, rare in small food-service businesses, signals rising awareness among frontline workers about their rights and expectations, and the need for strong, strategic HR support in scaling organizations.

Unionization is not inherently adversarial, it’s often a sign that employees want more structure and clear pathways for compensation, respect, and communication. But for employers without robust HR capacity, such developments can feel sudden and destabilizing.

Why Fractions Matter: The Case for Fractional HR

At The People Group, this is exactly the gap we see most often in growing businesses. Fractional HR is a flexible model that gives small and medium-sized businesses access to seasoned HR expertise without the cost of a full-time hire, and without waiting until problems escalate into crises.

Here’s how fractional HR could have supported Craig’s Cookies, or any rapidly growing business with frontline workers:

Proactive Employee Relations and Engagement

A fractional HR partner could have:

• Run regular pulse surveys and focus groups.

• Identified concerns around pay, breaks, or workplace culture before they turned into a union drive.

• Built communication channels where employees felt heard, long before formal organizing began.

These actions not only foster trust, they often prevent escalation.

Policy and Pay Strategy Built for Growth

As Craig’s Cookies expanded from one shop to 22 locations, HR needs would have evolved rapidly. Fractional HR professionals specialize in:

• Competitive pay benchmarking

• Standardized break policies

• Formal escalation processes

These are core components of fair workplaces and often critical to union decisions.

Compliance & Risk Mitigation

Employment law and labour standards are complex, especially across multiple locations. Fractional HR keeps companies up-to-date on compliance, minimizing legal risk, and improving employee confidence that processes are fair and lawful.

Strategic People Planning

Rather than reacting, fractional HR helps businesses anticipate needs:

• Workforce planning for seasonal shifts and expansion

• Compensation strategy tied to both market reality and employee expectations

• Clear career ladders so employees see paths forward

This kind of strategy reduces the sense that unionization is the only path to being heard.

Communication Frameworks That Build Trust

When employees know there are channels, and experts, handling concerns, many issues are resolved without escalation. A fractional HR partner would help:

• Build town halls and feedback mechanisms

• Create transparent performance and compensation communication

• Coach managers to lead with empathy and clarity

The Real Lesson for Small Business

Union votes often make headlines, but the lesson is deeper:

Employees organize when they don’t feel seen or supported.

Many small businesses don’t yet need, or can’t yet afford, a full HR department. But every business does need thoughtful people strategy. That’s exactly where fractional HR shines: expertise on demand, cost-effective, adaptable to changing needs.

Rather than being reactive when tensions peak, fractional HR helps organizations be strategic before the crunch.

Fractional HR: Prevention + Strategy Over Reaction

When your business grows fast, people challenges grow too. And when HR functions grow as an afterthought, that’s when misunderstandings, dissatisfaction, and escalations like union drives occur.

Fractional HR gives growing companies like Craig’s Cookies (and many others) the opportunity to:

• Understand and act on employee sentiment

• Build compliant, transparent workplace systems

• Respond to concerns before they become crises

It’s not just about avoiding headlines, it’s about building workplaces where people feel valued, respected, and engaged.

If you’re leading a business that’s scaling and want to future-proof your HR strategy before issues escalate, fractional HR might not just be an option, it might be the game-changer your people deserve. If you’re navigating growth and want a steady, experienced HR partner in your corner, book time with The People Group here.