Canada Post Presents Final Offer as Union Urges Workers to Reject

Unionized postal workers in Canada are set to vote on a final offer from Canada Post, with the voting period running from July 21 to August 1, 2024. The Canadian Union of Postal Workers (CUPW) is actively encouraging its members to reject the proposal, claiming it undermines the essence of free and fair collective bargaining. Canada Post, on the other hand, asserts that the offer prioritizes workers’ needs while aligning with the company’s current financial situation.

Details of Canada Post’s Final Offer

The offer includes a notable signing bonus: $1,000 for full-time regular employees and $500 for all other employees. In addition, Canada Post has proposed changes to the cost of living allowance (COLA), which will now trigger payments only if inflation exceeds 7.16% from February 1, 2025 to January 31, 2028. Wage increases over the next four years remain consistent with a previous offer made on May 21. Workers would see a 6% increase in the first year, followed by 3% in the second year and 2% in each of the third and fourth years, retroactive to February 1, 2024.

Further improvements include modifications to the short-term disability program, allowing eligible employees to receive up to 80% of their regular wages for up to 30 weeks, an increase from the previous 70% for a maximum of 17 weeks. New hires will be required to work for six consecutive months before being added to the defined benefit portion of the pension plan. Other adjustments involve an increase in personal days, with employees allotted 13 multi-use personal days annually, including 7 paid days and the option to carry over up to 5 personal days each year.

The offer also introduces a dynamic routing system for urban workers, which aims to update delivery routes daily based on mail volume. Additionally, Canada Post plans to implement a new weekend parcel delivery system for urban units and a part-time flex position, which will require employees to work at least 20 hours weekly to cover absences. Notably, the company intends to eliminate the five-minute wash-up time before meals for urban workers, a policy change that has raised concerns among employees.

CUPW’s Opposition and Concerns

CUPW has voiced its discontent with the final offer, asserting that Canada Post has disregarded the union’s positions. The union has launched a fact-check portal to illustrate how the offer falls short of meeting basic demands. Regarding the proposed wage increases, CUPW argues that a 6% raise amounts to a mere 1% increase when accounting for previous COLA adjustments.

The union also criticizes the unstructured work schedules associated with the weekend parcel delivery system, expressing concern that they could empower management to create routes without considering workload, health, or safety. The introduction of part-time flex positions is viewed as a potential threat, as CUPW fears these roles could lead to the elimination of overtime for full-time workers and impact part-time employees’ hours.

Concerns surrounding dynamic routing persist, with the union advocating that such a system may lead to unsustainable delivery pressures on employees. CUPW also argues that load leveling could disproportionately favor certain workers when distributing hours. The separation of sorting and delivery tasks has raised alarms, as the union believes it will lead to increased workloads for both letter carriers and routers. Lastly, CUPW insists that removing the wash-up time is a health and safety concern, given that workers handle various packages throughout the day.

In a statement released on July 18, CUPW emphasized that the offer “ignores the realities on the workfloor, fails to address key demands, and threatens hard-won protections.” The union has indicated that should the majority of workers reject the offer, they will approach management to resume negotiations and maintain an ongoing overtime ban that has been in effect since May 23, 2025. This ban allows workers to decline overtime requests, regardless of whether all deliveries have been completed, limiting their working hours to a maximum of 40 hours per week.

As the voting period unfolds, the outcome will significantly influence the future of postal workers’ conditions and the ongoing relationship between Canada Post and CUPW.