Canada Post offer to union – In a last-ditch effort to avoid a nationwide postal strike, Canada Post has made what it’s calling a “global offer” to the Canadian Union of Postal Workers (CUPW)—but the union says the proposal falls well short on nearly every front. With strike action looming, the offer includes a 13% wage increase over four years—far less than the 19% CUPW argues is needed to keep pace with rising costs of living.
The proposal also includes a cost-of-living allowance (COLA) trigger threshold of 13.59%, a figure CUPW says is so high it’s unlikely ever to be activated.
The union maintains that the proposed 6% wage increase should be treated as retroactive compensation for the high inflation rates postal workers endured in 2022 and 2023, years during which COLA payments lagged behind actual increases in living expenses and did not contribute to base wages.
Further contentious items include Canada Post’s plan to double the number of part-time parcel delivery positions and force some flexible part-timers to work up to 30 hours per week—measures CUPW sees as an erosion of full-time jobs. Dynamic routing, load levelling without compensation, and the elimination of the long-standing five-minute wash-up time have also raised red flags.
Canada Post is also proposing a two-tier benefits system that would delay access to health and pension benefits for new hires until they complete six months of consecutive regular employment. CUPW calls this a deliberate move to divide the workforce. Similarly, the company’s offer to include personal days already mandated under the Canada Labour Code is being dismissed as little more than “window dressing.”
Perhaps most notably, Canada Post has refused the union’s request for a two-week truce to allow both parties to review the offer and continue talks without triggering a work stoppage.
As the clock ticks toward the strike deadline, it appears the two sides remain far apart, not just on numbers, but on principle.
Below is a point-by-point list of items where the parties disagree:
- Wages: Canada Post’s offer of a 13% wage increase over 4 years is considered short of CUPW’s last demand for a 19% increase to members’ base wages, which CUPW states is needed to keep pace with rising costs of living.
- Cost Of Living Allowance (COLA): CUPW views the offered COLA trigger threshold of 13.59% as far too high, meaning it is unlikely to ever be paid out. They also argue that the offered 6% wage increase should be seen as back pay for high inflation from previous periods, as COLA payments in 2022-2023 were not sufficient and are not included in the base salary.
- Part-Time Parcel Delivery: Canada Post is seeking to increase the proportion of part-time positions for urban members handling parcel delivery to approximately 20% (from the current 10%), rather than using regular full-time workers and existing collective agreement provisions for seven-day delivery. They also propose that some “flex” part-time workers could be forced to stay up to 30 hours per week.
- Dynamic Routing: Canada Post wants to introduce dynamic routing in a limited number of locations without a proper agreement on the governing rules. CUPW states that Canada Post is unable to demonstrate that the routes would be route measurement system compliant and admits that they lack the necessary software or technical ability.
- Load Levelling: Canada Post proposes introducing load levelling for both RSMC and Urban members. Instead of fixing issues with the current sophisticated route design system, they want to transfer mail and points of calls to other workers during scheduled hours with no additional compensation. This would reportedly be done on an ad hoc basis by supervisors who may have limited knowledge of the route measurement systems.
- Two-tier Benefits Qualification: Canada Post proposes creating a second class of benefits qualification requirements for new hires, delaying health and pension benefits until six months of consecutive regular employment.
- Personal Days: While additional personal days exist under the Canada Labour Code, CUPW considers their inclusion in the collective agreements as “window dressing”.
- Wash-up Time: Canada Post is proposing to take away the 5-minute wash-up time.
- Refusal of Truce: Canada Post has refused CUPW’s request for a two-week truce, which CUPW sought to review the offers in detail and continue negotiations without a labour disruption.
These points represent areas where Canada Post’s offers seek to change existing collective agreement rights and methods, or where they fall short of CUPW’s demands or expectations.
For more information, refer to the Canadian Union of Postal Workers website.
