Canada was taken by surprise late Thursday as the union representing Canadian postal workers unexpectedly called for a nationwide strike. This move followed the federal government’s announcement of significant reforms to Canada Post, instructing the Crown corporation to cease home delivery and shut down some rural mail outlets.
Canada Post reported a loss of $448 million before tax in the first half of 2025, following a $30 million loss before tax in the first half of 2024. Despite a $1-billion injection from the federal government earlier this year to sustain operations, the corporation is still facing daily losses of around $10 million, according to Public Works and Procurement Minister Joël Lightbound.
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While Canada Post welcomed the reforms, the Canadian Union of Postal Workers expressed outrage, leading to all its Canada Post members initiating a nationwide strike, as stated in a notice on the union’s website Thursday evening.
The union’s statement declared, “In response to the Government’s attack on our postal service and workers, effective immediately, all CUPW members at Canada Post are on a nation-wide strike.”
Here are the key points to note:
When did the strike commence?
The strike is already underway. Canada Post workers have been engaged in strike actions for months, which began with disruptions during the previous holiday season. The recent escalation involves actions like an overtime ban and work-to-rule campaigns, with full strike participation expected by Friday.
Union negotiator Jim Gallant confirmed the initiation of picket lines and worker strikes, expressing the union’s disagreement with the government’s actions and predicting a complete strike by the next day.
Canada Post expressed disappointment in the union’s decision to escalate strike activities, foreseeing further financial strain on the corporation.
What led to this situation?
The union, representing 55,000 postal workers, criticized the government’s reforms, asserting that Canada Post and the government are contributing to reduced demand for postal services through their actions. Contract negotiations have been ongoing for nearly two years, focusing on issues such as wages and part-time employment, amid the corporation’s ongoing financial losses.
Earlier this month, the union rejected a 13% pay increase offer from the government, citing a 19% demand gap. While willing to collaborate on weekend delivery and part-time staffing, the union accused Canada Post of walking away from negotiations.
What happens to mail services during the strike?
Canada Post confirmed that no mail or parcels will be processed or delivered during the strike, suspending service guarantees for existing items in transit. New items will not be accepted until normal operations resume. Essential services like government benefit cheques and live animal deliveries will continue during the strike, and the backlog from previous disruptions will be addressed promptly once operations resume.
Will home delivery be affected?
As part of the restructuring plan, the government has authorized Canada Post to end home delivery, affecting approximately four million addresses still receiving direct home delivery. The transition to community mailboxes is expected to save substantial costs annually, with potential closures of rural post offices also permitted.
What is the timeline for these changes?
Canada Post is required to present a plan within 45 days outlining the implementation of the reforms. While the complete switch to
