As the nationwide Canada Post strike reaches a week, some are urging the federal government to intervene immediately to end the work stoppage.
The call of the Canadian Federation of Independent Business Friday came as the Crown corporation reported another multibillion-dollar third-quarter loss as it braces for a seventh straight annual loss this year.
More than 55,000 Canada Post workers went on strike last Friday, halting mail and parcel services across the country. Some post offices have also been closed amid the labor action.
The Crown and the Canadian Postal Workers Union are holding talks this week with a special mediator, appointed by the federal government. But there have been few signs that the labor dispute will end.
The CFIB, which represents 97,000 small and medium-sized business (SME) owners across the country, said the strike is negatively impacting Canadian businesses and wants Ottawa to intervene.
“The holiday season is crucial for these small businesses,” said the CFIB wrote in a letter sent to Labor Minister Steven MacKinnon dated November 20.
“SMBs cannot bear the costs of work stoppages in federally regulated sectors every time negotiations between a union and an employer reach an impasse.”
“We therefore urge you to intervene, as you have already done twice this year, by imposing binding arbitration or back-to-work legislation.
“Small business owners would like to see you act with conviction for the overall good of the country.”
A majority of Canadians (57 per cent) also favor the government intervening in the ongoing postal strike, according to a Leger poll released this week.
The federal government has urged both sides to reach a collective agreement. Ottawa has not indicated it will consider back-to-work legislation or binding arbitration to end the strike.
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Speaking to reporters in Ottawa on Wednesday, MacKinnon said: “We only have one strategy with Canada Post, and that is intensive mediation and we hope to close the gap between the parties.”.”
MacKinnon’s press secretary told Global News Thursday night that the federal government is closely monitoring negotiations between the two sides for now.
The federal government has intervened in recent work stoppages.
Earlier this month, MacKinnon imposed binding arbitration to end closures at Canada’s largest ports in British Columbia and Quebec. In August he did the same to end the work stoppage on the country’s two largest railroads.
Canada Post reports losses in the third quarter
The strike comes as Canada Post has been struggling amid huge financial losses.
On Friday, the national postal service reported a pre-tax loss of $315 million in the third quarter of 2024 amid declining revenue and package volumes.
Canada Post’s package revenue in the third quarter decreased 5.8 per cent and volumes decreased by six million pieces, or 9.6 per cent, compared to the same period last year.
“An increasingly crowded and highly competitive e-commerce delivery market continued to impact Parcels’ results in the third quarter of 2024.” Canada Post said in a press release.
“While Transaction Mail volumes continued to erode, revenue increased due to an increase in the regulated stamp duty.”
Canada Post expects another “significant loss” this year, which would be the company’s seventh consecutive annual loss.
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