Tentative Deal Reached Between Canada Post and Union
A settlement to end the strike is reached in principle between Canada Post and the union.
A tentative agreement has been reached between Canada Post and the union that represents about 55,000 postal workers to put an end to a strike that has interfered with mail deliveries nationwide.
The Canadian Union of Postal Workers (CUPW) stated that all sides "have agreed on the main points" and that strike action has been discontinued, however the specifics of the agreement were not disclosed.
"We need to agree on the contractual language that will form the collective agreements that would be put to a vote by the members," the union stated, adding that it would "retain the right to strike" .
In the midst of an ongoing disagreement over postal workers' pay and benefits, a nationwide mail strike that started on September 25 turned into a rolling strike.
"While this is being done, it has been agreed that all strike or lockout activities are suspended," stated Canada Post, confirming that an agreement has been reached, subject to a union vote.
Negotiations between the postal service and the union have been going on for almost two years.
The protest began in September, just hours after the federal government declared it was approving major reforms at Canada Post.
Approximately four million houses would no longer receive door-to-door post delivery, non-urgent letter mail might be transported by ground rather than air, some previously rural post offices would close, and the service would have more latitude to hike costs.
According to the government, the modifications are required to prevent Canada Post from suffering significant financial losses. According to government statistics, Canada Post lost C$1 billion ($717; £535 million) last year and is expected to lose C$1.5 billion this year.
Similar to the US Postal Service and the UK's Royal Mail, the Canadian postal service has experienced severe drops in letter mail delivery over the previous few decades, which has resulted in financial shortages.
Due to either a lack of demand or fierce competition from other courier services, its three main revenue streams—letter mail, direct-marketing mail, and package mail—are all declining.
In November 2024, postal workers went on strike in protest of their wages and working conditions.
The Canadian government ordered postal workers to return to work in December of last year, ahead of the busy Christmas season.
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