What You Need to Know as Purolator and  Post Strike
In response to the ongoing Canada Post strike, Purolator and UPS have temporarily suspended shipments from various courier companies, grappling with a backlog of deliveries.
Purolator, a subsidiary of Canada Post, explained in an emailed statement to Global News on Friday that their network is currently facing “service disruptions due to severe weather and an unprecedented surge in volume.” The company elaborated, “We have recently made the decision to temporarily suspend service to select partners, including third-party platforms.” This move was deemed necessary to uphold the integrity of their network, ensure the safety and well-being of their employees, and focus on prioritizing critical shipments. Purolator is actively evaluating the workload within its network and is committed to resuming services as swiftly as possible.
Among those affected are couriers like eShipper, which serve as intermediaries between smaller e-commerce businesses and large carriers. These entities have been temporarily restricted from shipping with Purolator and UPS. A communication from eShipper to its clients, acquired by The Canadian Press, indicated that “no shipments will be processed or moved by these carriers” for a period of 48 hours starting Wednesday. Combined with the nationwide Canada Post strike, these suspensions are leaving Canadians with fewer and, at times, more costly shipping options during the bustling holiday shopping season.
Additionally, last week saw the U.S. Postal Service temporarily halting mail to Canada due to the strike. U.S. customers have been advised to hold off on sending items to Canada until further notice. Entering its fourth week on Friday, the nationwide Canada Post strike shows little sign of resolution. The strike has been financially detrimental to businesses, costing millions daily, and has disrupted lives across the country.
A recent Angus Reid Institute poll reveals that seven out of ten Canadians have already experienced delays in sending or receiving packages. Jim Bookbinder, a logistics professor at the University of Waterloo, pointed out that the strike is having a particularly severe impact on small businesses and households in remote areas dependent on Canada Post. “For small businesses, Canada Post is crucial for dispatching items to customers, and for rural households, it is a vital lifeline,” he explained in an interview with Global News. With the holiday shopping season nearing its peak, Bookbinder emphasized the urgency for Ottawa to step in. “If intervention doesn’t occur soon, we might as well consider this holiday season a loss,” he remarked.
Among those affected by the Canada Post strike is the British Columbia-based newspaper publisher, Supply Post. Jeff Watson, president of Supply Post, shared how his third-generation family business in Langley Township, B.C., relies on Canada Post to distribute up to 20,000 copies of their paper and another 150 to 200 courier packages to truck stops and newsstands across the nation each month. Many of these copies are currently delayed due to the postal shutdown, as Watson informed Global News. “At this juncture, our direct mail newspaper copies aren’t in circulation. They’re on hold until the strike is resolved. We’re striving to distribute extra copies through bulk partners and enhancing our digital services,” he stated. Although they have not yet calculated the financial toll of the strike, Watson noted that “receivables are tens of thousands of dollars behind.” He added, “The longer this persists, the greater the impact on the overall business for everyone involved.
Even if the strike were to cease immediately, Bookbinder suggests it would take Canada Post a couple of weeks to clear the backlog. “Should the government step in, the question remains whether sooner or later is preferable. Sooner might be better because regardless of timing, the union will be displeased, but public sentiment may favor governmental intervention, he noted. Despite Canada Post’s essential service status, Bookbinder observed, “It’s challenging to foresee the federal government designating it as such.
A recent Leger poll indicates that 57 percent of Canadians support federal intervention in the ongoing postal strike. Negotiations between Canada Post and the Canadian Union of Postal Workers were paused last week as both parties remained “too far apart on critical issues.” In a statement to Global News on Friday, Matthieu Perrotin, press secretary for Labour Minister Steven MacKinnon, urged, “We encourage the parties to return to the negotiating table. Canadians depend on them to reach a deal. Negotiated agreements are always the best path forward.”
Canada Post announced on Thursday that it has received the union’s latest counterproposal through the mediator and is currently reviewing it. “The union has been ready to return to the mediation process since it was suspended by the government’s special mediator,” the CUPW stated on Wednesday. “Our counterproposals include movement on both our demands and those of the employer to help bring the parties closer to an agreement.”