Canada Post Issues Notice To Union

Tuesday July 5th, 2016

Posted at 1:21am

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Canada Post says that it has notified the Canadian Union of Postal Workers (CUPW) that it will be changing the terms and conditions of employment for all employees represented by the union starting Friday, July 8th, 2016.

They say that the uncertainty caused by the prolonged negotiations and the union’s strike mandate is having a negative and escalating impact on the postal service.

They report that nearly all of their largest e-commerce customers have already moved most or all of their parcel volumes to other carriers, resulting in a volume decline of at least 75%, and that the number of parcels arriving at their largest plants has declined to the point where there often are not enough parcels to last an entire processing shift.

In addition, they say that lettermail is down in many facilities by as much as 50% and over the long weekend, and that commercial customers deposited half the mail they usually deposit.

Canada Post says this has left them with no choice but to now respond to the rapidly deteriorating volumes and the financial impact to the business, using the means provided in the Canada Labour Code.

This means that as of Friday, July 8th, 2016, the terms and conditions of the current collective agreements will no longer apply. Under the new terms and conditions, employees will continue to receive their regular pay and some benefits such as applicable prescription drug coverage. Other items will be cancelled in line with the statutory minimum conditions established under the Canada Labour Code. The Corporation will also have the flexibility to adjust staffing according to the amount of work required.

In order to take this step, Canada Post has followed the procedural requirements and issued a 72-hour notice to the union. They say that the issuing of the notice does not necessarily mean that Canada Post will not be operating on Friday, but it allows the Corporation to take measures that are necessary to respond to the changing business reality.

Canada Post says that the offer they presented to the union on June 25th, 2016 is final, and that the unions more that the union’s more than $1 billion in demands were unaffordable and therefore rejected.

The union has scheduled  a 10am press conference on Tuesday.

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