Canada Post has announced a dramatic 50% decline in mail volumes since postal union CUPW startedrotating strikes on June 3 which are continuing at different locations across the country.
“This decline in volume comes at a time when the company is already struggling to addresssignificant business challenges,” Canada Post stressed.
CUPW is currently on strike in Calgary and Edmonton in western Canada. Both work stoppages willlast 24 hours with four thousand postal workers expected to hit the picket lines.
Gord Fischer, National Director of the Prairie region for CUPW, explained the reason behind theunion’s choice for its Edmonton and Calgary locals. “Canada Post is refusing to put proper staffingin place, leading to overwork and forced overtime. Routes don’t get covered and mail ends upsitting in the depots, leading to complaints about service.”
“The union has clear demands about improving our service and making sure adequate staffing is inplace. Canada Post wants us to do more with less, regardless of what that does to the public’spostal service,” he added.
Despite the rotating strikes, most of the postal network continues to operate. Mail is beingaccepted and processed in all locations that are not impacted by a rotating strike, Canada Poststated.
The most recent strikes in Calgary and Edmonton follow work stoppages in Victoria, Montreal,Hamilton and Winnipeg, where the first legal strike in more than 13 years started last Friday afterlast-minute talks failed to settle the dispute.
Canada Post said that it has proposed a strong offer to CUPW as part of the collectivebargaining process and cannot understand why the union is willingly damaging the business withstrike action.
In concrete terms, Canada Post proposed annual wage increases for postal workers that will bringthe top wage rate to $26 an hour, continued job security, comprehensive medical benefits foremployees and retirees and generous vacation leave that gives employees up to seven weeks off eachyear. No changes were proposed to a Defined Benefit pension plan.
Canada Post explained that it has proposed a new wage and benefits package for employees hiredin the future. This includes a starting wage of $19 an hour that rises to $26 an hour over sevenyears; up to six weeks vacation; and fully indexed defined benefit pension by age 60. “The packagefor new employees is still superior to the wages and benefits offered by competing logistic anddelivery companies. Equally important, these changes will help Canada Post manage labour costs thattake-up two-thirds of its revenues,” the company claimed.
In response to the union’s latest proposal, Canada Post stated that it remains too expensive andfails to address the challenges facing the postal system. “The union’s latest offer would still adda significant amount of new costs to Canada Post over the life of the contract and does not offerrealistic solutions and flexibility to problems such as declining mail volumes, increasingcompetition, and electronic substitutions of traditional mail. CUPW has not yet put forward anoffer that could form the basis of a deal with Canada Post.”
In speaking with the union, Canada Post has also agreed to withdraw one of its key proposals.The company had previously proposed a system that would create more part-time positions to help itadapt to a steady decline in mail volumes. With the hope that CUPW would start to address theissues facing the postal system, Canada Post has offered to withdraw this key proposal.Approximately 85% of the jobs in CUPW’s urban bargaining unit are full-time positions.
Canada Post added that its latest compromise is in keeping with the company’s commitment toreach a negotiated settlement that will protect postal services. Talks between the company and theunion continue in an effort to obtain a collective agreement that meets the needs of customers,employees and the company.