Canada Post and union reach deal in principle to end strike

Canada Post and the Canadian Union of Postal Workers (CUPW), representing approximately 55,000 employees, have reached a preliminary agreement to halt a nationwide strike that has severely disrupted mail services across the country. While specific details of the deal remain undisclosed, both parties confirmed that the main points of contention have been resolved, and strike activities have been suspended pending a union vote. The union emphasized that it retains the right to strike if the final collective agreement fails to meet member approval. The strike, which began on September 25, escalated into a rolling strike due to unresolved disputes over wages and benefits. Negotiations between Canada Post and CUPW have been ongoing for nearly two years, with the federal government recently authorizing significant operational changes to address the postal service’s financial struggles. These proposed measures include ending door-to-door delivery for four million households, shifting non-urgent mail to ground transportation, closing rural post offices, and granting flexibility in pricing. Canada Post reported a staggering loss of C$1 billion in 2023, with projections indicating a further loss of C$1.5 billion this year. The decline in letter mail, direct-marketing mail, and parcel mail revenues, coupled with fierce competition from private couriers, has exacerbated the financial crisis. This strike follows a similar labor dispute in November 2024, highlighting ongoing tensions between postal workers and management.