Postal Strike Drags On as Union, Canada Post Remain Deadlocked

A nationwide postal strike entering its 27th day has begun disrupting commercial courier services, forcing major carriers to restrict shipments as Canada Post and its union remain locked in a dispute over wages and working conditions.

The Canadian Union of Postal Workers issued a bulletin Tuesday evening defending its position and outlining new proposals, including reduced wage demands and cost-of-living allowances. This followed Canada Post’s Monday statement claiming the union’s latest proposals had widened negotiations gaps.

“We don’t want to provide false hope to impacted employees, small businesses, charities and northern communities that were hoping for a speedy resolution,” Canada Post said in a statement.

“Canada Post has made several important moves to close the gap and reach negotiated agreements, but the union has reverted to their previous positions or increased their demands.”

The union said it presented its revised proposals directly to Canada Post in response to management’s offers.

“With our nationwide strike now in its fourth week, we have waited far too long for Canada Post to bargain in good faith,” they wrote.

“True progress requires meaningful engagement, not surface-level proposals, or new demands that derail progress.”

The union has scaled back its wage demands to 19% over four years, starting with 9% in year one, followed by smaller annual increases. The revised proposal, down from an earlier 22% request, also includes provisions for cost-of-living adjustments, job security measures, and minimum hours for part-time workers.

Over 55,000 postal workers have been off the job since November 15, with federal mediation paused two weeks ago. The union argues wages have not kept pace with inflation and opposes management plans to hire part-time workers at lower rates for weekend deliveries.

The strike’s impact is spreading beyond Canada Post, which has seen its market share drop from 62% in 2019 to 29% last year. Major courier companies are now implementing restrictions as they struggle with increased volume. Purolator Courier has paused service to select partners and capped parcel acceptance. FedEx limited drop-offs to five packages at retail locations, while Toronto-based eShipper, serving over 25,000 Canadian businesses, reported that UPS imposed a 48-hour embargo on its traffic.

Read: Canada Post Strike: Holiday Shopping Hit as Carriers Suspend Canada Service

“This was necessary to maintain the integrity of our network, ensure the health and safety of our employees and allow us to prioritise critical shipments,” Purolator said in a statement.


Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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