Canadians are facing a disruption in mail delivery as early as June 3, barring a last-minute compromise deal.
The Canadian Union of Postal Workers rejected the last Canada Post offer May 30, complaining that the crown corporation is proposing a two-tier system of pay and benefits that would make new employees second-class workers.
The union made what it said is its last proposal and gave notice that it could begin a strike beginning June 3.
Canada Post quickly rejected the union proposal, arguing it is “out of touch” with the fact that the post office has seen letter volumes decline 17 percent since 2006 in the face of internet competition. It insisted its proposal for new employee compensation is generous.
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A strike would officially involve only Canada Post’s urban employees, but rural delivery would also end because urban employees operate the processing centres that prepare mail for rural distribution.
Canada Post would quickly lay off rural letter carriers when the mail dried up.
Federal labour minister Lisa Raitt issued a statement May 30 urging both sides to find a contract solution. “Any work stoppage would impact Canada’s economic well-being,” she said.
Agricultural institutions that depend on the mail to deliver cheques are scrambling to find alternative delivery methods.
The Canadian Wheat Board is encouraging grain farmers to sign up to a system that allows the board to directly deposit payments in their bank accounts.
