Experts weigh in after workers reject latest offer
Canada Post has once again reached a stalemate with its workers after unionised employees rejected the corporation’s final offer.
“The Canada Industrial Relations Board (CIRB) has informed Canada Post that a majority of employees represented by the Canadian Union of Postal Workers (CUPW) have voted to reject the Corporation’s final offers to both the Urban and RSMC (Rural and Suburban Mail Carriers) bargaining units,” said the Crown corporation in a press release. “This means negotiations between the parties remain unresolved.”
The employer is now assessing how it will proceed.
“This result does not lessen the urgent need to modernise and protect this vital national service. However, it does mean the uncertainty that has been significantly impacting our business – and the many Canadians and Canadian businesses who depend on Canada Post – will continue. We are evaluating our next steps.”
In late 2024—when negotiations between the employer and the workers stalled—Canada Post employees went on strike that lasted nearly a month before the CIRB ordered that they go back to work.
'Respect the collective bargaining process'
This time, the Canadian Union of Postal Workers (CUPW) is calling on the federal government to stay out of the negotiations process.
“Our negotiators are ready to get back to work right away. We’re committed to staying at the table until we’ve reached a deal. We expect the same from Canada Post. And we’re calling on the government to prove to postal workers that it really respects the collective bargaining process, like it says it does,” said Jan Simpson, national president of the union.
“If the government truly respects unions and collective bargaining, it will keep out. No more back-to-work orders. No more forced votes.”
A national overtime ban, in place since late May when CUPW entered a strike position, will remain in effect, according to a report from The Canadian Press (CP).
Another strike unlikely, say experts
However, it is unlikely that there would be another similar labour action at Canada Post, experts told CP.
Larry Savage, professor in the department of labour studies at Brock University, said the division among CUPW members would make it difficult to organise a strike. He said that even if a strike could be organised, it is not clear it would achieve the union’s goals.
The federal government had previously encouraged both sides to agree to binding arbitration, which CUPW supported but Canada Post opposed, arguing it would delay negotiations. Both King and Savage told CP that arbitration is unlikely to deliver the sweeping changes Canada Post is seeking.
Canada Post’s financial challenges have been a central issue in negotiations, according to the report posted in Global News. An Industrial Inquiry Commission report earlier this year found the postal service was effectively bankrupt and in need of substantial reform. Savage told CP that the federal government may consider restructuring Canada Post’s mandate after the current dispute is resolved, potentially expanding community mailboxes or ending daily door-to-door delivery.
Negotiations for a new collective agreement have lasted more than a year and a half.
Earlier this year, CBC reported that Canada Post is laying off nearly 50 managers as part of a cost-cutting initiative following years of financial losses.
