Postal workers in Canada have overwhelmingly approved a new five-year contract after more than two years of labour disputes. The Canadian Union of Postal Workers (CUPW), representing approximately 55,000 employees, reported that over 80% of members voted in favour of the agreement, which includes wage increases of 6.5% and 3% in the first two years. Wage adjustments in years three through five are set to track annual inflation rates. The contract also incorporates enhanced benefits and introduces a weekend parcel delivery model.
The vote showed strong support across different worker groups, with about 86% of rural and suburban mail carriers and 89% of urban employees backing the deal. Both Canada Post and the union agreed to avoid strikes or lockouts during the six-week ratification period.
While roughly 60% of the union board endorsed the agreement, emphasizing job security provisions, CUPW president Jan Simpson urged members to reject it, arguing that it undermines certain rights and compensation. In a message to members following the vote, Simpson emphasized the need for continued unity and preparation for future negotiations, warning of ongoing challenges posed by government policies targeting the public postal system.
Canada Post’s chief executive officer, Doug Ettinger, expressed satisfaction with the outcome, highlighting the contract’s role in providing stability and helping to restore public confidence in the service. Ettinger acknowledged the challenges during negotiations and underscored the necessity for change to address evolving market conditions.
The contract comes amid significant structural reforms aimed at modernizing Canada Post in response to declining demand for traditional letter delivery and intensified competition in parcel services. Key changes include expanded use of community mailboxes, introduction of weekend parcel deliveries, and the potential closure of certain post offices. The government lifted a moratorium on converting door-to-door delivery to community mailboxes covering some four million addresses and ended a freeze on rural post office closures affecting nearly 4,000 locations, policies that have been in place for decades.
The path to this agreement has been lengthy and contentious. In December 2024, the federal government intervened to halt a month-long strike by requesting involvement from the Canada Industrial Relations Board and establishing an Industrial Inquiry Commission. Chaired by William Kaplan, the commission issued recommendations that led to the current contractual and operational changes.
Procurement Minister Joel Lightbound described the ratification as a significant milestone for Canada Post, emphasizing its importance for workers, the organization, and the millions of Canadians and businesses that rely on dependable postal services daily. The agreement signals a new phase in balancing the postal service’s traditional roles with necessary modernization efforts.
