Canada Post workers officially went on strike on Nov. 15, 2024, and have been off the job for more than four weeks after failing to reach an agreement with the government-owned enterprise. Approximately 55,000 employees represented by the Canadian Union of Postal Workers (CUPW) initially asked for a 24 percent wage increase over the next four years and the ability to work on weekends with extra pay. Issues regarding benefits, sick leave, job conditions and security are also being discussed. “Our demands are reasonable: fair wages, safe working conditions, the right to retire with dignity and the expansion of services at the public post office,” reported the union. Recently, the board sent over a new list of proposals, however, Canada Post said these suggestions don’t bring the two sides closer to a resolution. The new proposal lowered demands, in particular asking for a 19 percent wage increase in the next four years. This strike has delayed and affected millions of Canadians and businesses, as mail and packages, along with government- issued documents such as passports have not been delivered by the company.
During the busy holiday season, the postal strike has taken a toll on small and medium-sized businesses, costing the sector $76.6 million per day. 3 quarters of these companies missed out on the biggest sales weekend of the year with Black Friday, Small Business Saturday and Cyber Monday. Canada Post is the most effective form of courier, as it’s cheaper than other companies. Large and heavy items that would traditionally be shipped for $8 via Canada Post, would cost $20 with another service. “We use Canada Post and right now everything is on hold until Canada Post comes back because we can’t afford other people’s rates,” says Jane Decola, owner of Brabery in Barrie Ontario. Those who are considering other options are experiencing capacity issues. Rivals such as FedEx and UPS have taken some business from Canada Post, however, they don’t have the resources or the space to increase their demand, resulting in a backlog of shipments. Despite the strike, most local businesses said they plan to return to Canada Post. According to the Angus Reid Institute, most Canadians agree with the arguments being made by the courier company, although the strikes have impacted 47 percent. Canadian seniors are often hit the hardest as they rely on traditional mailing methods and depend on Canada Post to pay bills and government benefits, however, persons aged 35-44 reported to be impacted the most as many of their packages have been delayed.
Specialists and researchers have argued that as the strikes continue, and people pivot to other courier companies, Canada Post risks worsening its financial circumstances. The Crown company lost $3 million as people sent less mail and switched to technology services. Retail Analyst Bruce Winder told Global News that “whenever someone goes on strike like that, whenever a system shuts down, if people get used to using a different service provider and maybe find that provider better in some ways, there’s a risk they won’t go back to the original service provider.” Ian Lee a professor at Carleton University says other companies are more “resilient” and “dynamic,” arguing that the future of Canada Post and Union workers is at risk. “Canada Post and CPUW are shooting themselves in the foot,” he added. Lee went on to say that the Canada Post strikes in 2024 are different from previous ones, as worker protests in the past would impact the Canadian GDP because of how many people relied on invoices and cheques through the mail. “I’m not trivializing a postal strike to those people who are affected. It’s going to be very real for them. I’m just saying it’s not going to be national and catastrophic.”
The Canada Post strikes have disrupted holiday plans for millions of Canadians, forcing them to find alternatives to the once-popular courier company and causing Canada Post to lose much-needed business. Regardless of the outcome of the negotiations, they will leave lasting consequences for citizens and workers.
Written by Suriya Rampersad
