A ‘lot of ground’ remains between Canada Post, workers as strike talks progress

MONTREAL — Canada Post and the postal workers union found slivers of consensus Tuesday amid talks with a special mediator, but “a lot of ground” remains between them on the key concerns as a countrywide strike entered its fifth day.

“On smaller issues, we were able to find some progress,” said Canada Post spokesman Jon Hamilton in a phone interview.

“The special mediator has helped facilitate those discussions. So we’re going to continue to be at it. We’re committed to getting collective agreements. We don’t want arbitration,” he said.

“There’s still a lot of ground to cover.”

With deliveries at a standstill, the Crown corporation and the Canadian Union of Postal Workers are in negotiations over a pair of contracts — one for rural and suburban mail carriers that was discussed Monday, the other for urban carriers that was under the microscope on Tuesday.

The union said progress was made due in part to the presence of Ottawa’s top mediator, appointed to the task last week. Peter Simpson, director general of the Federal Mediation and Conciliation Service, spent the beginning of the week at a hotel in Ottawa shuttling between the parties’ conference rooms in a back-and-forth of proposals and potential concessions.

“After 12 months of discussions, the employer finally began to move on the pressing issues. Resolving these issues could pave the way to agreements,” union president Jan Simpson said in an update to members Tuesday.

“The urban unit will find out if there is movement on their side.”

About 55,000 employees represented by the Canadian Union of Postal Workers walked off the job on Friday, shutting down operations and halting deliveries as the busy holiday season kicks off.

The union is calling for a cumulative wage hike of 24 per cent over four years, while Canada Post has offered an 11.5 per cent increase.

Other wedge issues include job security, benefits and contract work for parcel delivery on weekends.

Negotiations between Canada Post and its unionized employees began in November 2023.

On top of wage hikes to make up for inflation, the union is seeking bumps to short-term disability payouts and ten paid sick days per year. For rural and suburban mail carriers, the union also wants to include corporate vehicles for mail-carriers as well as paid meals and breaks.

Canada Post has argued that its financial situation is already dire and the union’s demands would break the bank.

In the first half of 2024, Canada Post lost nearly a half-billion dollars. The Crown corporation has reported $3 billion in losses since 2018, as Canadians sent fewer letters while competitors gobbled up even more of the parcel market.

The union counters this position by suggesting the Crown corporation reconsider its ongoing executive bonuses and expand its services to manage higher costs.

The last postal work stoppage took place starting in late October 2018, when employees carried out rotating strikes lasting 31 days.

Previous postal strikes held in 2011 and 2018 ended when the federal government passed legislation sending employees back to work.

This report by The Canadian Press was first published Nov. 19, 2024.

Christopher Reynolds, The Canadian Press