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Tag: postal worker strike

  • Purolator, UPS Temporarily Halt Courier Shipments Amid Canada Post Strike Backlog

    Purolator, UPS Temporarily Halt Courier Shipments Amid Canada Post Strike Backlog

    Purolator, UPS Temporarily Halt Courier Shipments Amid Canada Post Strike Backlog

    The ripple effects of the ongoing Canada Post strike are putting strain on Canada’s shipping infrastructure. In response to overwhelming demand, Purolator and UPS have temporarily paused accepting shipments from smaller courier companies to manage capacity and prioritize essential deliveries.

    Rising Demand Creates Shipping Bottlenecks

    Purolator, a Canada Post subsidiary, confirmed the suspension on Thursday, citing severe weather conditions and an unprecedented surge in package volumes. The company emphasized the need to focus on critical shipments. Similarly, UPS has been scaling back package intake, with some warehouses reportedly nearing full capacity.

    This pause has impacted intermediaries like eShipper, which connects small e-commerce businesses with large shipping carriers. Businesses reliant on these intermediaries now face limited options, leading to logistical challenges and increased costs.

    Jon Thorpe, owner of Midnight Lightning, a climbing gear retailer, noted that switching from Canada Post to alternative carriers has driven up shipping costs, deterring customers. “When you’re ordering a $12 product and shipping is $15, it’s pretty much a no-go,” he said.

    Union Strikes and Worker Disputes

    The Canada Post strike, now in its third week, has been fueled by disagreements over wages and staffing policies. The union representing over 55,000 postal workers is pushing for wage increases to match inflation and opposes Canada Post’s proposal to hire part-time weekend staff at lower rates.

    This labor dispute has left Canada Post unable to handle its usual volume, forcing businesses to pivot to private carriers like Purolator, UPS, and FedEx. However, the surge in demand has pushed these companies to their limits.

    Small Businesses Feel the Pinch

    The strain on shipping services has disproportionately affected small businesses. Some companies, such as Montreal-based cookie maker Felix & Norton, have halted order processing entirely due to a lack of viable shipping options. Others, like hosiery brand Sheertex, report facing steep surge pricing from alternative carriers.

    While smaller regional carriers have stepped in to fill the gap, their limited coverage and inflated prices are making it harder for businesses to maintain operations.

    Highlighting the Role of Canada Post

    The current crisis underscores Canada Post’s dominant role in Canada’s shipping network. The organization handles the majority of personal mail and small business shipments, while private carriers typically focus on niche services such as oversized parcels.

    Without Canada Post, the system has become imbalanced, leaving businesses scrambling for solutions. As the strike continues, businesses, consumers, and shipping networks alike are left navigating the growing challenges of a strained logistics system.

    Source : The Canadian Press

  • Canada Post Faces Backlash Over Temporary Layoffs of Striking Workers

    Canada Post Faces Backlash Over Temporary Layoffs of Striking Workers

    As the nationwide strike by over 55,000 Canada Post workers approaches its second week, the Crown corporation has begun temporarily laying off employees, a move the Canadian Union of Postal Workers (CUPW) has labeled a “scare tactic.” The union is now investigating whether this action violates the Canada Labour Code, which protects striking workers from layoffs.

    Layoffs Spark Tensions Amid Strike

    In a notice to its members, CUPW revealed that Canada Post had issued a “mass amount” of Records of Employment (ROEs), marking the first instance of such action in decades. These records, typically used to document an interruption in earnings, were sent to Service Canada instead of directly to affected workers due to disruptions in mail delivery. CUPW negotiator Jim Gallant estimated the layoffs impacted “hundreds” of both full-time and part-time employees.

    Gallant described the move as unprecedented in his 36-year career, noting its intimidating nature. “It creates high anxiety,” he said. “You’re on strike, not earning wages, and now you’re sent a document suggesting your employment has ended.”

    Legal Concerns Arise

    The controversy centers on conflicting interpretations of the Canada Labour Code. CUPW argues the layoffs may constitute an unfair labour practice, while Canada Post contends its actions comply with the law. A statement from Canada Post spokesperson Philomena Liu explained that the ongoing strike has forced the company to adjust operations, citing a section of the Labour Code permitting changes under lockout conditions.

    Employment lawyer Deborah Hudson described the layoffs as “unprecedented” and questioned their legality. “Workers are already unpaid during a strike,” she said. “If the layoffs persist, legal action from the union is inevitable, whether through grievances or unfair labour practice complaints.”

    A Climate of Escalating Disputes

    Earlier in November, Canada Post issued a lockout notice, though it assured employees that it had no intention of enforcing a lockout. Instead, the company claimed the notice was necessary to implement operational changes in response to the strike’s impact.

    The ongoing labour dispute highlights growing tensions between Canada Post and its workers, with significant implications for both parties. As the situation develops, the union’s potential legal action could set a critical precedent for labour relations in Canada.

    What’s Next?

    For now, CUPW continues to rally its members, urging them to stand firm amid these challenges. With both sides standing their ground, the resolution to this labour standoff remains uncertain, but its outcome could have long-lasting effects on unionized workforces across the country.

    Source : The Canadian Press