Canada Post workers could strike again soon. Here's why

After striking workers took to picket lines and a "couple million" packages piled up just before Christmas last year, Canada Post is back at the negotiation table with the union representing its employees this week.

The Canadian Union of Postal Workers (CUPW) and the postal service are trying to reach a deal on a new collective agreement before their old one runs out on May 22.

The strike in late 2024 ended when the Canada Industrial Relations Board ordered the two sides back to work on Dec. 15. It also extended the collective agreements between the workers and their employer until May 22, which is what employees have been working under ever since.

Labour Minister Steven MacKinnon also established an industrial inquiry commission in order to get a better understanding of Canada Post's financial troubles, and why negotiations have not been successful thus far. That commission's findings will come out on May 15.

The extension of the old collective agreement and its nearing expiry date are why the two sides are negotiating once again.

In other words, the order back to work was more like a pause of the strike, according to Hena Singh, an employment lawyer and mediator.

"We had a pause in the negotiations and the government sent everyone back to work to go through this commission process. And then now they're all coming back to the table," Singh said.

Singh adds that while it's not abnormal for the government to order employees back to work — that's how the recent rail workers strike and the B.C. port strike ended, for example — it is uncommon for them to appoint a commission to get to the root of the issue.

If the two sides don't come to an agreement by May 22, Canada Post workers could go on strike again.

Since December, the two sides have had a few meetings to try and reach a deal. Talks on March 1 and 2 ended without any new agreement. The meetings on Wednesday and Thursday of this week were the next rounds of negotiations.

We don't have exact details on the most recent rounds of negotiations, as both Canada Post and the union have not given any updates about this week's talks.

Ahead of negotiations, the union representing Canada Post's workers said it remained committed to achieving its goals of securing an agreement that would give workers "fair wages, health and safety protections, job security, and the right to retire with dignity."

"It's no secret that this has been a challenging round of bargaining for all of us," CUPW said in a bulletin to members. It added in that memo that the meetings scheduled for April 31 and May 1 could continue if progress was being made.

CUPW told CBC News in an email on Friday that the two sides were "still in talks" today.

Canada Post also released a statement on April 29 saying the two sides were meeting with the help of a mediator.

"Canada Post is committed to the bargaining process and is striving to reach new collective agreements that will help us better serve the changing needs of Canadians while providing good jobs to those who provide that service," Lisa Liu, a spokesperson for Canada Post, said in a written statement to CBC News.

Unlike this round of talks, the March negotiations broke down into more disagreement between the two sides after two days. The union said at the time that it offered "meaningful proposals" that would help Canada Post provide postal deliveries on the weekends (something that's been a sticking point so far in the negotiations), but said the crown corporation pushed for "serious rollbacks" that would hurt jobs.

For its part, Canada Post said in March that the union failed to acknowledge challenges the company faces. The postal service has lost $3 billion since 2018 as private carriers have eaten into the package delivery market, and as letter mail goes away. Canada Post also previously warned that it could run out of money as soon as the second quarter of 2025.

Rich Appiah, principal of employment and labour law firm Appiah Law in Toronto, says it's likely the idea of delivering postage on weekends might still be a sticking point. In the fall, the union expressed worry that daily postal deliveries would open the door to Canada Post hiring contract workers — something a union never wants, according to Appiah.

"If [that] remains something that's on the table … then I can imagine that the union will fight tooth and nail against any potential contracting out," Appiah said.

Appiah says it's hard to predict whether we might see another strike by Canada Post. He says that unions and employers often use the threat of a strike or lockout as a tool in negotiations, so it's not uncommon for two sides to come to last-minute agreements and avoid a work stoppage in the 11th hour.

Ahead of a possible strike, some companies that send out paper statements in the mail (especially financial institutions, such as banks) have begun sending notices to their customers, warning of the potential work stoppage.

Many of the institutions recommend switching to e-statements, or direct consumers to check websites or apps for information usually sent by mail, in the event of another strike.

But Singh says the findings in the commission's report could help talks and avoid a strike.

The negotiations, to her understanding, have stalled because the union is making requests that the company says it can't realistically deliver on due to its financial situation. Given the inquiry will dig into Canada Post's business model and finances, Singh says the report could help the two parties come to an understanding.

"It will be valuable, I think, for [the union] to understand what the circumstances are of the Canada Post … so that the negotiations can reflect that," Singh said.

Singh says the break in time since the last round of negotiations and the fact that the parties are working with a mediator are all factors that might be helping the current talks. She says the impact of the strike in the fall on the public is also top of mind for both parties, who know that businesses and individuals who can't use their services could pivot to other couriers and potentially stick with them even after a strike ends.

"The reality is … I don't think either side wants a strike or a lockout," Singh said. "It [would] lower public confidence in them."

If workers do strike again, Appiah explains that there's nothing preventing the government from ordering the employees back to work a second time.

"It's always a possibility, especially with a new government that seems quite concerned about the economy," Appiah said.