Canada Post trucks are seen in a distribution centre in Montreal on December 13, 2024. THE CANADIAN PRESS/Christinne Muschi CMU

By The Canadian Press

"structural issues" remain

Canada Post operations to resume on Tuesday, company says

Dec 16, 2024 | 10:26 AM

OTTAWA – While mail is set to begin moving again on Tuesday as Canada Post employees return to work, key “structural issues” at the centre of the month-long strike remain outstanding heading into the next phase of negotiations.

The federal government pushed to end the work stoppage last week, when Labour Minister Steven MacKinnon directed the Canada Industrial Relations Board to order the 55,000 picketing employees back to work within days if it determined a deal isn’t doable before the end of the year.

Canada Post said Sunday night that after two days of hearings over the weekend, an impasse was declared by the board. It said union members have been ordered back to work under their existing contracts, which have been extended until May to allow the bargaining process to resume.

MacKinnon said Friday that negotiations had been “going in the wrong direction” in the weeks after the strike began on Nov. 15. MacKinnon said he would appoint an industrial inquiry commission to look into the bargaining issues and come up with recommendations by May 15 on how a new agreement can be reached.

“The inquiry will have a broad scope, as it will examine the entire structure of Canada Post from both a customer and business model standpoint, considering the challenging business environment now facing Canada Post,” he said.

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In the meantime, Canada Post said it agreed with the union to implement a five per cent wage increase, retroactive to the day after the collective agreements expired.

Key issues in the dispute include the size of wage increases and a push by Canada Post to expand delivery to the weekend. The two sides have been at odds over how to staff the expansion.

Business groups had been calling on the government to intervene as companies and individuals scrambled to find alternative modes of delivery with the holiday shopping season in full swing.

This report by The Canadian Press was first published Dec. 16, 2024.