Threat of Canada Post strike concerning to Calgary businesses

Calgary businesses concerned about a postal strike A Canada Post workers strike with the holiday season fast approaching could have major impact on Calgary businesses.

Madame Premier in Inglewood relies solely on Canada Post to ship products to its customer base across Canada.

"I am going to have to find an alternative immediately, because I can't send anything with the confidence that it's going to be delivered," said owner Sarah Elder.

"This means interruption after interruption after interruption. So, it makes it really hard to plan, it makes it hard to sell and it makes it hard for us to deliver."

Elder says she wants to see the federal government step in on a labour dispute between Canada Post and its union, which formally filed a 72-hour strike notice Tuesday morning.

"Costs keep going up—I keep continuing to pay more to Canada Post—and I am now facing job action. So, what am I paying for?" Elder said.

"And if this means potentially looking at other options, is the government the best provider of postal solutions in Canada? I think that needs to be on the table."

Although Canada Post is not the most cost-efficient option for Elder, she still wants to support the company.

"I think a lot of small businesses, myself included, choose to use Canada Post because it is Canada Post," she said.

"We don't necessarily want to use another provider because it's not supporting the Canadian economy and Canadian workers."

Labour Minister Steve MacKinnon was asked about the strike notice Tuesday in Ottawa.

He says he is hopeful a deal can be reached before Friday's deadline.

"We are hoping to achieve a deal at the table," he said.

"We will make every effort possible to keep them at the table and keep them talking."

The two sides have been negotiating for nearly a year.

Canada Post workers have a slate of demands, including wage increases in line with inflation, "improved staffing provisions," increased paid medical days, paid meals and rest periods and improved rights for temporary employees.

"We're bargaining for fair wages; we're bargaining for improved health and safety; we're bargaining to retire in dignity, where we're bargaining to expand to the public post office," said Jan Simpson, Canadian Union of Postal Workers national president.

"Canada Post is trying to get around collective agreements and change the lives of the next generation of postal workers."

The company says it has been bleeding money and needs to adapt to change to stay competitive.

"The parcel business has changed so much. That's where the growth is in the delivery business," said spokesperson Jon Hamilton.

"We're changing a delivery model that's been in place for many years."

Hamilton says Canada Post has lost $3 billion over the previous five years coming into 2024.

Last week, the parcel business for the company was down 28 per cent compared to the same week last year, which is concerning with Black Friday shopping and the Christmas season around the corner.

"We also want Canadians to know that if the union goes on rotating strikes as of Friday, we will continue operations with employees who are at work," Hamilton said.

Elder is hopeful Canadians will still shop local.

"Despite the challenges with Canada Post and possible labour action, please don't stop supporting small businesses at this time," she said.

Deborah Yedlin, president and CEO of the Calgary Chamber of Commerce, released a statement on Tuesday afternoon:

"As representatives of Calgary's business community, we are deeply concerned about the potential for strike and lockout action between Canada Post and the Canadian Union of Postal Workers. A strike at this time would create far-reaching disruptions for Calgary businesses, especially as we approach the crucial holiday season," she said.

"Small and medium-sized businesses—comprising 95 per cent of all businesses in Calgary and 98 per cent across Canada—depend on Canada Post for affordable, reliable shipping. A strike would create delays in deliveries, disrupt cash flow, add to debt burdens and hinder growth potential. For many, this season accounts for a significant portion of annual revenue, and a disruption now could prove costly. Increased operational expenses from turning to alternative courier services would only heighten existing cost pressures on small businesses.

"Rising costs are already a top barrier to growth, and we must do everything possible to support our business community through this critical season. We urge all parties to reach a swift, fair resolution, and we call on policymakers to explore contingency measures that protect Calgary's economy, so businesses can thrive and customers can count on reliable service."