Canada Post Workers Could Go on Strike Again This Month
Canada Post workers might go on strike in just over two weeks, as temporary contract extensions between the company and the workers’ union will end on May 22.
If that happens, it would be the second major strike in less than six months. Last year, about 55,000 workers walked off the job for 32 days in November and December, stopping mail service across the country.
Canada Post is also dealing with big money problems. In 2023, it lost $845 million. Ulrich Paschen, a business instructor at Kwantlen Polytechnic University, said the company might not be able to afford the union’s demands, like a 24% pay raise over four years. If Canada Post increases wages while making less money, it could face serious financial trouble, he warned.
Paschen also said the union has less power now because there is no holiday season pressure like there was in December.
Talks between the union and Canada Post broke down in March, but they restarted last week with the help of a mediator. Still, both sides say the talks are tough. The union says it is focused on better wages, job security, safety, and pensions.
A strike would come at a difficult time for shipping companies, as global supply chains are already struggling with new U.S. tariffs and economic uncertainty.
During the last strike, millions of letters and packages were delayed, including important items like passports, health cards, and medicine. Even after workers returned to their jobs, a massive backlog caused more delays.
Canada Post delivers about 8.5 million letters and 1.1 million packages each weekday, and even more during the holidays. While private companies do most of the parcel deliveries in Canada, they can’t easily take over all the work if Canada Post shuts down.
Last week, Canada Post said in an update that it wants to give businesses some certainty, but added that it had hoped a new agreement would have been reached by now.
A government report looking into Canada Post’s problems is due on May 15. It will offer suggestions about the company’s future, including how it delivers mail, how it treats workers, and how it might stop losing money.
One big disagreement is about weekend deliveries. Canada Post wants to offer delivery on weekends to compete with private companies. It says using a mix of full-time and part-time workers would save money. But the union says this plan would hurt full-time workers.
The federal government has stepped in to stop major strikes before, including at Canada Post, B.C. ports, and railways. It may do so again if a new strike happens.
