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U.S. News
22 November 2024

Canada Post Strike Disrupts Businesses And Communities

Over 55,000 postal workers halt services as small businesses and non-profits struggle to cope with delays

The Canada Post strike continues to wreak havoc across the country as it enters its second week, affecting not just postal workers but also businesses and communities relying on mail services. The strike, initiated by over 55,000 postal workers on November 15, 2024, stems from disputes over wages, working conditions, and other labor issues, leaving millions of Canadians without regular mail delivery just as the holiday season heats up.

Alexandra Fatokun, the owner of Handcraft'd Luv, based in Airdrie, Alberta, highlights the severe impact on her small business. With over 80 percent of her sales occurring before Christmas, the disruption has been particularly devastating. Fatokun noted, “Virtually my whole business is dependent on this. It seems like nobody really cares. That’s what it feels like to me.” For many small businesses, the stakes are high as they navigate refund requests and dwindling customer orders during this pivotal shopping season.

Similarly, Lauren Kamps, who operates Flint & Feather Jewelry in Calgary, is watching her Christmas sales plummet due to the uncertainty surrounding shipping. Kamps explained, “People are not ordering as much because they know the strike is going on and they know people are not shipping packages right now.” The strike not only impacts immediate sales but could also lead to lasting financial consequences for these businesses.

The situation isn’t limited to entrepreneurs feeling the financial strain. Non-profits are grappling with significant fundraising challenges. Brittany Beatty from Discovery House remarked on the difficulties they face, particularly during December, which typically brings 25 percent of their annual donations. This season, with annual mail campaigns disrupted, they fear for their fundraising outcomes.

Reflecting on the broader picture, the Canadian Federation of Independent Business (CFIB) estimates about 72 percent of its members are feeling the pinch due to cash flow concerns and payment delays caused by the strike. Corinne Pohlmann, the organization’s executive vice-president, stressed the importance of timely mail service to small businesses, especially those located in rural and remote areas where alternatives are limited.

The provinces are stepping up to combat the fallout from the Canada Post strike, implementing alternative arrangements to keep financial support moving to residents. Although the strike has halted most regular mail delivery, certain government cheques are still going out. Governments across provinces and territories have begun preparing alternate payment options, mostly by encouraging direct deposits or offering pickups at local government offices.

For example, the government of Ontario stated, “There is a plan in place to ensurе clients will receive their payment through their local offices on time.” Welfarе payments and disability support checks will no longer be mailed, pushing recipients to pick them up personally at designated locations.

Similarly, Quebec’s government is providing access to various payments through their provincial services, with offices open on Tuesdays and Thursdays to distribute funds. British Columbia acknowledged potential longer wait times at their ministry offices as residents come to collect payments during this disruption.

Communities across the northern territories are feeling the effects significantly. Many of these regions rely heavily on mail services, not only for personal correspondence but also for health care and government services. One Ottawa food bank reported being severely impacted as it receives the majority of its donations through the mail. This has become particularly concerning as the demand for its services surges amid the holiday season.

On the logistical side, some territories, such as Yukon and the Northwest Territories, are finding their ways to keep services running. Governments have turned to local couriers to transport important documents and services, ensuring communities still receive the support they need. The Yukon government has partnered with local cargo services to move necessary mail, and community post offices remain operational, distributing whatever deliveries they can.

Despite the provinces making backup plans, the frustration among the public is palpable. Residents of rural regions, who often rely on Canada Post as their primary mail service, are left wondering how long the strike will last and what other options they have. The longer-term effects could reshape the stakes for both citizens and small businesses alike as the holiday season advances.

Negotiations between Canada Post and the Canadian Union of Postal Workers (CUPW) remain underway, but with the clock ticking for holiday retail, pressure is mounting. Lisa Liu, representing Canada Post, reaffirmed their commitment to reach new agreements at the bargaining table.

Fatokun expressed her support for the postal workers but also urged for government intervention. She pointed out, “If they’ve done it before for other industries, I don’t see why they’re holding back. When two elephants are fighting, it’s the grass—us—who suffers.”

While all eyes remain on the negotiations, businesses and communities are adapting each day to the reality the strike poses. Many are hoping for swift resolutions, as delays herald consequences not just financially but also emotionally for those who rely on mail not only as a means of fit financial transactions but as part of their everyday lives.

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