Canada Post’s current strike, which started on November 15, has disrupted deliveries across the country, leading to what can only be described as severe service interruptions. With more than 55,000 Canada Post workers participating, the company has reported staggering figures; it has seen deficits of over eight million parcels from the same time last year. This work stoppage has compelled many customers to seek delivery alternatives, pushing them toward private courier services.
The strike highlights significant labor disputes centered around wages and the working environment within Canada Post. Main issues raised by the union include wage increases, job security, and improved working conditions. Presently, Canada Post has proposed wage hikes totaling 11.5% over four years, along with increased paid leave and preserved pension provisions.
But the union, represented by the Canadian Union of Postal Workers (CUPW), is demanding more: they are advocating for cumulative raises of 24% over the same period. Some of their proposals also include requiring full-time employees to handle parcel deliveries on weekends. While Canada Post has countered by offering to increase the number of part-time staff to achieve this goal, tensions remain high.
Talks between Canada Post and the union continued over the weekend, supported by the intervention of a special mediator. The discussions seek to resolve the standoff and bring workers back to their routes, allowing mail and parcel deliveries to resume. A Canada Post spokesperson explained, "We hope to find common ground for the sake of all involved, but the challenges are considerable and require meaningful negotiation from both sides."
The impact of this strike is palpable across the country. Reports indicate significant delays not only with personal letters and packages, but also with businesses heavily reliant on timely shipments. Small businesses especially worry about replenishing stocks, anticipating growing customer frustrations due to diminished delivery options and slower timescales.
"It’s tough for us," said Sarah Thompson, owner of Sarah’s Boutique, located downtown. "We depend on Canada Post for our shipments, and with this strike underway, we’re losing business every day. Customers want their orders fast, and they’re turning elsewhere. We’re left hanging."
Last year, Canada Post had increased its focus on e-commerce logistics, which remains one of the most competitive market segments. With the retail sector pivoting heavily online, these recent service disruptions could permanently impact customer loyalty if prolonged. Consumers have grown accustomed to the conveniences of swift delivery, and losing service could push them toward more consistently reliable providers.
This year’s situation follows the trend of Canada Post's staggering operational losses, reports indicating the corporation declared another significant loss of $315 million before tax just last quarter. Even with revenue growth from other segments, like Direct Marketing — up by 9% or $21 million — the decline from parcels and Transaction Mail continues to eclipse potential gains.
Transaction Mail, which typically constitutes various forms of traditional mail, saw volumes decrease by over 33 million pieces this quarter, equaling about 6.6% less than last year. An increase was noted largely due to the adjusted stamp rates, but this isn’t enough to offset the broader declines across delivery channels, leading Canada Post to record losses totaling $803 million from operations this past year alone.
Adding fuel to the fire, parcel revenues dropped by nearly $46 million, or 5.8%, and their associated volumes fell by 9.6%. This suggests the competitive nature of parcel delivery — now dominated by private services like Amazon and others — is having long-lasting consequences. The courier space is exceedingly busy, leaving little wiggle room for negotiations on service and pricing.
Public sentiment varies. Some sympathize with workers’ demands for fair wages and conditions, acknowledging the pressures of rising living costs. Others express frustration at the disturbance to their service. Mixed public opinions showcase the fine line Canada Post must walk, balancing operational viability with worker contentment as they try to navigate these tumultuous times.
Even as negotiations inch forward, stakeholders and customers watch anxiously. The holiday season, when parcel volumes traditionally peak, looms large as both Canada Post and its customers brace for what might come. If mediation fails, many are left wondering how they will adapt — and if they might seek alternatives permanently.
