Potential Canada Post Lockdown: What Businesses need to know

· by Huzaifa Saeed

Canada Post has given the union a 72-hour lock-out notification which would indicate that service will be affected as of Friday, July 8.

Note – There can be no legal work disruption before Friday, July 8. In the event of a full labour disruption, Canada Post will not operate. Mail and parcels will not be delivered, and no new items will be accepted. Any mail and parcels within the postal system during a work disruption will be secured and delivered as quickly as possible once operations resume.

Updates on the labour dispute can be accessed at this URL: https://www.canadapost.ca/web/en/comm/list.page?ecid=murl|ddn|lr|5

The key issues in this dispute are a two-tiered pension system (Defined Benefit continuing for current workers, but a Defined Contribution plan for new-hires), wage parity between city and rural letter carriers, and completely restoring door-to-door mail delivery.

What does this mean for business owners?

While Canada Post ships roughly two of every three parcels that Canadians order online, it’s not the only the only option.

Other companies that can assist in deliveries are  UPS, FedEx and Purolator. In larger centres, couriers may also be an option.

You should note, however, that due to increased volume, the price and exact delivery timeframes might not be quite what regular users are accustomed to.

UPS Canada has said in a statement that it is prepared to take on additional packages should there be a Canada Post work stoppage.  For customers looking for an alternative to their regular Canada Post shipments, the UPS Access Point Network will accept pre-labeled UPS shipments for drop off. Please visit ups.com/readynow to process your shipment and to find your nearest UPS Access Point location.

Purolator has a warning on its website that delivery time guarantees will be temporarily suspended in light of the Canada Post situation.

Local courier providers can be found throughout Canada and some are offering special deals should a Canada Post work-stoppage occur at Canada Post.

Other alternatives

If business concerns are related to payments – customer or supplier – there are many alternatives to Canada Post’s services:

  • Banks are set up to take/make payments to many businesses so that you and your customers/suppliers can continue to be paid – if you rely on cheques for your business.
  • For a minimal cost, electronic funds transfers can also be set up through banks to exchange payments.
  • Interac™ also has online versions making it easy for businesses to process payments at very low cost without involving mail delivery.
  • Canada Post has said that cheques such as Canada Pension Plan cheques or other social assistance cheques will be delivered as they are considered an essential service.

It is our hope that Canada Post and its employees can reach an agreement before any labour disruption occurs.