Canada Post presents latest offer in union negotiations after last week's strike mandate
CUPW said members voted overwhelmingly in favour of strike
Canada Post has submitted a new contract offer to the Canadian Union of Postal Workers (CUPW) just days after the union secured a strike mandate from its members.
The latest proposal aims to avoid a labour disruption by offering wage increases totaling 11.5% over four years. It also ensures the continuation of defined-benefit pensions for current employees, along with maintaining job security and health benefits.
Last week, CUPW announced that members had voted overwhelmingly in favor of strike action if negotiations fail. Preliminary results show 95.8% of urban workers and 95.5% of rural workers supported the strike mandate.
The cooling-off period for negotiations ends on Saturday, and workers would be legally allowed to strike as of 12:01 a.m. ET on November 3, provided 72 hours’ notice is given.
“We recognize the challenges our employer is facing, and our goal is not to simply make demands, but to work together toward solutions that support the long-term success of our public post office while addressing the real struggles our members face daily,” said CUPW National President Jan Simpson in a statement on Monday.
Canada Post Warns of Financial Impact
Canada Post expressed concern about the potential consequences of a strike, warning that it would negatively affect both the businesses and individuals who rely on its services.
“A labour disruption would have significant consequences for the businesses we serve and the millions of Canadians who rely on Canada Post, while deepening the company’s already serious financial situation,” the company said in a statement on its website last week.
Canada Post declined to comment further when contacted by CBC News.
Meanwhile, Labour Minister Stephen MacKinnon told CBC News that the government is actively engaged in facilitating negotiations. “We’re obviously active in trying to facilitate a collective agreement, and we want the two parties to agree and for that agreement to be ratified,” he said on Wednesday.
Negotiations between Canada Post and CUPW have been ongoing for nearly a year.
In May, the Crown corporation reported a pre-tax loss of $748 million for 2023. It attributed the loss to increased competition from post-pandemic parcel delivery services, declining mail volumes, and rising delivery costs. At the time, Canada Post warned it could run out of operating funds within a year without financial improvements.
