Canada Post Strikes over pay for 55,000 Workers
Union members walked out after failing to reach an agreement with the nation’s main mail carrier. Stoppages could disrupt delivery before the holidays.
Canada Post workers started a strike on Friday over pay and working conditions, which is expected to disrupt deliveries before the holiday season.
After a year of failed negotiations, the Canadian Union of Postal Workers, representing about 55,000 workers, began a nationwide strike at midnight.
A statement from Canada Post indicated that the strike will shut down operations and no mail or parcels will be delivered. Postal workers will temporarily close some offices and there will be delays for items already in the mail network, it said.
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Canadians will continue to be inconvenienced by any national strike activity, said Canada Post, a government-owned company. Courier services competing with Canada Post in recent years will continue to operate.
Protracted labor negotiations failed to produce a new labor agreement for postal workers last month, resulting in a strike.
Employees at Canada Post have been offered a wage increase of 11.5% over four years, as well as pension and job security benefits. Additionally, the company told us it proposed a “more flexible and affordable delivery model” that would let it deliver seven days a week instead of just on weekdays.
This offer didn’t meet the union’s demands and rolled back their benefits and working conditions. Union members wanted 22 percent more pay over four years, plus paid medical leave, better health coverage, and other stuff.
There is nothing unreasonable about our demands: fair wages, safe working conditions, the right to retire in dignity, and more services at the post office. “We still hope to negotiate collective agreements with Canada Post, but they must be willing to resolve our new and outstanding issues.”
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Canada Post said customers have already switched to private competitors or stopped using the service since the union announced its strike. Canada Post said it handled 28 percent fewer parcels this month than last year, at its busiest time.
Canadians and businesses count on the postal service, so a labor disruption would worsen the company’s financial problems. “Both parties need to put their energy into resolving issues to reach a negotiated settlement.”
Recently, the postal service has faced significant operational and financial challenges due to fierce competition. With services like UPS and FedEx, Canada Post faces growing competition from small businesses relying on gig workers who are poorly paid.
Postal service provider Canada Post reported losses of about $350 million for the first half of 2024. According to the company, it has lost more than 2.14 billion Canadian dollars since 2018.
Canadian Labor Minister Steven MacKinnon said the government sent mediators to help the two sides reach an agreement. Throughout Thursday, he spoke about the need for Canadians to agree. It is our responsibility to ensure that these two parties have everything necessary to reach a compromise.
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