The federal government is insisting rural post office closings will not happen, even as Canada Post is reporting significant declines in mail volume and revenue losses.
Opposition MPs have raised the spectre of rural closures justified by the losses. In fact, some rural post office have closed in recent years.
On Nov. 29, the crown corporation reported a $190 million pre-tax loss in the third quarter brought on by declining mail volumes and a Supreme Court ruling that assigned more costs to be accounted for by Canada Post.
“For the first three quarters ended Oct. 1, 2011, the Canada Post segment lost $211 million before tax, down from a pre-tax profit of $7 million in the same period a year earlier,” the corporation said in a Nov. 29 statement.
It blamed some of the losses on this year’s company lockout, which was provoked by rotating union strikes. The government quickly ended it with back-to-work legislation.
The day after the Canada Post loss report, Quebec New Democrat MP Francine Raynault challenged the government over its rural post office intentions.
“Canadians and Quebeckers who live in rural areas need and are entitled to receive their mail and have a post office nearby,” she said in the House of Commons. “Driving or walking 20, 30 or 40 minutes to get the mail is unacceptable. Why is the government refusing to keep rural post offices open?”
Steven Fletcher, junior minister of transport responsible for Canada Post, said the corporation has an obligation to keep post offices open.
“Our government is committed to quality postal service for all Canadians, no matter where they live,” he said. “That is why our government introduced the Canadian Postal Service charter. We expect Canada Post to abide by the charter and provide quality postal service that Canadians can count on.”