Canada Post and Union Continue Talks to Avoid Work Stoppage

Canada Post has confirmed that discussions are ongoing with the union representing postal workers, with neither side giving notice of a potential work stoppage. In a statement released on Sunday, the Crown corporation stated that both parties have agreed not to issue a 72-hour strike or lockout notice “as long as the talks remain productive,” and that operations are running as usual.

The Canadian Union of Postal Workers could have legally gone on strike as of Sunday, following the end of a cooling-off period in contract negotiations the day prior. However, no strike notice has been issued thus far, although the union has indicated that one could be issued “at any time” in the event of a breakdown in talks.

Last week, Canada Post presented its latest contract offer, which includes a total of 11.5% in wage increases over a four-year period. The proposal also ensures the protection of the defined benefit pension for current employees, as well as their job security and health benefits. The corporation asserts that the offer will prevent current employees from experiencing any setbacks.

Despite the offer, the union has expressed dissatisfaction, claiming that it falls short of their demands and entitlements. Earlier in the week, the union disclosed that its members had voted overwhelmingly in favor of a strike if a mutually acceptable agreement could not be reached at the bargaining table, with preliminary results showing support from 95.8% of urban workers and 95.5% of rural workers.

In its statement, Canada Post highlighted its struggle to keep pace in the competitive parcel delivery market, citing a loss of $490 million in the first half of 2024 and a total loss of $3 billion since 2018. The company emphasized the need for negotiations aimed at establishing “a more flexible and affordable delivery model,” which would involve parcel delivery services seven days a week.

Additionally, Federal Labour Minister Steven MacKinnon held a meeting last Thursday with both the union and Canada Post management, urging them to work towards a mutually agreeable resolution.

The ongoing negotiations between Canada Post and the postal workers’ union remain a topic of interest, with both parties striving to reach a consensus and avert any potential disruptions to mail delivery services.