Nationwide Shutdown! Canada Post "Bankruptcy" Strike! Delivery of millions of parcels suspended in Canada!

Just now!

Many partners have received notices from various industries:

Canada Post service disruption!

It may affect your mail!

Image source: CIBC

All Canada Post employees have received strike notices.

The Canadian Postal Workers Union (CUPW) has issued strike notices to both urban letter carriers and rural/suburban mail carriers (RSMC). The strike will begin at midnight on Friday, May 23rd.

Image source: 51 reporter shooting

On Monday, Canada Post said it had received strike notices from the Canadian Union of Postal Workers (CUPW). Both negotiating units, urban letter carriers and rural/suburban mail carriers (RSMC), have issued strike notices.

Until then, Canada Post operations will continue as usual, but the company warned that labor disruptions would affect millions of Canadians and businesses who rely on postal services.

Canada Post stated in a statement: "If CUPW initiates rotating strikes, Canada Post will continue to deliver mail in unaffected areas and strive to reach a negotiated agreement."

Image source: Global News

In the event of a nationwide labor disruption, mail and packages will be suspended, and no new mail or packages will be accepted until the strike ends. Canada Post stated that mail and packages already in the system will be properly stored and delivered once operations resume.

Canada Post processes over 2 billion letters and approximately 300 million packages annually. A service interruption will affect millions of residents and businesses. However, Social Economic Assistance Checks (SEC) will continue to be delivered, and the union also committed to ensuring that government financial aid sent by mail reaches seniors and other Canadians who depend on this service.

The transportation of live animals will continue during the strike, but new orders will not be accepted during the strike period.

Image source: Global News

In addition, the Unifor DHL Express Canada union is negotiating wage agreements with its employer. If no agreement is reached, its members may go on strike next month.

Canada Post is effectively "bankrupt."

According to the mediator involved in the talks with Canada Post, the company is effectively "bankrupt."

In his report submitted to the government on Thursday and made public last Friday, veteran mediator William Kaplan wrote: "Canada Post is facing a survival crisis: it is effectively insolvent or bankrupt. Without thoughtful, careful, phased, and immediate reforms, its financial situation will continue to deteriorate."

The report suggests that the royal company should be allowed to close more rural post offices, open more community mailboxes, and arrange part-time staff to provide weekend package delivery services. It recommends gradually phasing out door-to-door letter delivery services.

In response, some netizens expressed confusion: "Why doesn't Canada Post do more courier business and become more like a courier company rather than a post office?"

A netizen familiar with the industry replied: "They are doing so. Canada Post owns 91% of Purolator. Canada Post handles most of the letter business, while Purolator handles most of the courier business."

Another netizen added: "Even though Canada Post owns Purolator, it is a completely independent company. Purolator's courier service is more expensive. Canada Post delivers letters, but also couriers. With the digitization of many businesses, Canada Post delivers more courier packages than letters. They are still the best choice for rural areas."

Last Strike: Nearly 200,000 Passports Stuck

This strike or shutdown will be the second service disruption within six months. From November to December last year, 55,000 employees went on strike, and the postal system was paralyzed for 32 days.

According to Merchant Growth, a small business financing company, the 2024 disruption caused approximately CAD 1.6 billion in losses for small businesses. Since then, courier companies such as FedEx and Purolator have raised shipping prices.

At that time, Service Canada suspended the mailing of passport packages after November 8, 2024. This resulted in 185,000 updated passports being held up at Service Canada and unable to be shipped in time.