OTTAWA – Canada Post has received strike notices from the Canadian Union of Postal Workers (CUPW), placing both Urban and Rural and Suburban Mail Carrier (RSMC) bargaining units in a position to initiate strike activity beginning November 15 at 12:01 a.m. ET.
In response, Canada Post has announced its intention to maintain delivery services for Canadians while pursuing negotiated agreements. However, the looming strike has already affected business significantly, with parcel volumes dropping by 28% last week compared to the same period last year. This decrease represents over 1.3 million parcels rerouted to competitors, typically at a time when Canada Post relies on increased volumes to bolster revenue.
The company expressed concern about the financial repercussions of a potential labour disruption, citing that a strike could further strain Canada Post’s already challenging financial outlook. In the first half of 2024 alone, Canada Post reported an operational loss of $490 million, part of a trend of over $3 billion in losses since 2018. Retailers are increasingly shifting their deliveries to alternative carriers due to the uncertainty, heightening the urgency for a resolution.
Canada Post has warned CUPW that if no agreement is reached, existing collective agreements will expire on Friday. This shift could permit the company to adjust its operations under the Canada Labour Code, a move it considers crucial to adapt to today’s competitive delivery market.
“The postal system must modernize to remain viable,” Canada Post stated, underscoring the need for a flexible, seven-day delivery model to keep pace with customer demands and reduce operational losses.
Canada Post reiterated its commitment to employee protections, emphasizing that recent proposals safeguard pensions, job security, health benefits, and leave entitlements. Meanwhile, customers are advised to expect potential delays and disruptions in the event of rotating strikes, which could create lasting ripple effects throughout Canada’s national postal network.
The next few days will be critical as Canada Post and CUPW continue negotiations in the hope of avoiding a service disruption.
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