Canada Post issues notice of lockout

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The Canadian Union of Postal Workers issued a statement this morning saying, “Canada Post has just served notice on 50,000 Canadian workers that it plans to drive them out onto the streets without pay in an effort to impose steep concessions on them.”

The statement is in response to Canada Post issuing 72 hours’ notice that it will be changing the terms and conditions of employment for all employees represented by the union starting Friday, July 8.

The issuing of the notice does not necessarily mean that Canada Post will not be operating on Friday, said officials. It allows the Crown Corporation to take measures that are necessary to respond to the changing business reality.

Canada Post says the uncertainty caused by the prolonged negotiations and the union’s strike mandate is having a negative and escalating impact on the postal service.

Customers are already looking to avoid the risk of a work disruption. Nearly all of Canada Post’s largest e-commerce customers have already transferred delivery service to other carriers, resulting in a volume decline of at least 75 per cent. The number of parcels arriving at the largest plants has declined and often there are not enough parcels to last an entire processing shift, says Canada Post.

Letter mail is down in many facilities by as much as 50 per cent and over the weekend, commercial customers deposited half the mail they usually deposit.

The Corporation must now respond to the rapidly deteriorating volumes and the financial impact to the business, using the means provided in the Canada Labour Code. As of Friday, July 8, the terms and conditions of the current collective agreements will no longer apply. Under the new terms and conditions, employees will continue to receive their regular pay and some benefits such as applicable prescription drug coverage. Other items will be cancelled in line with the statutory minimum conditions established under the Canada Labour Code.

The Corporation will also have the flexibility to adjust staffing according to the amount of work required.

On July 4, Canada Post informed the union that the offers the Corporation presented on June 25 are to be considered final, as they represent a fair and reasonable framework for settlements. The company also informed the union that the union’s more than $1 billion in demands were unaffordable and therefore rejected.

“We knew this was their game all along. They are sabotaging the public review of the post office,” said Canadian Union of Postal Workers president Mike Palecek. “They refused to negotiate fairly with us and now they ‘re locking the doors and will try to starve us into submission.”

The union says it has been attempting to negotiate pay equity for its female-dominated workforce of rural carriers and stave off the profitable Crown Corporation’s demands for massive rollbacks. Canada Post has tabled just one offer since negotiations began and is now shutting down Canadians’ postal service across the country.

“This is brought to you by the men who wanted to take away home delivery,” said Palecek.

“They wanted us to sell out the next generation of Canadian postal workers for a quick deal, but we stood firm. Now they’re going to hold the public hostage until they get what they want.”

Canada Post locked postal workers out in 2011 until the Conservatives forced them back to work with legislation that has since been ruled unconstitutional.

“We will not be bullied by a corporation that is supposed to be providing people with public service, that is raking in millions in profits every year, and that is willfully and needlessly waging war upon tens of thousands of workers and their families,” said Palecek.

 

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