"Canada's national postal service, struggling with billions of dollars in losses and mired in difficult contract negotiations with its union, will end door-to-door delivery and cut other services in a sweeping reorganization aimed at restoring operations to solvency, officials said. "Canada Post is facing an existential crisis," Joël Lightbound, the government minister responsible for the crown corporation, told reporters Thursday. With Canadians receiving fewer letters and private carriers now delivering most parcels, he said, the corporation has lost more than $3.5 billion since 2018 and is on pace to lose more than $1 billion this year alone."
"The Canadian Union of Postal Workers called the measures an "outrage" and declared a strike that shut down operations across the country on Friday. Leaders of the 55,000-member union, which has been attempting to negotiate a contract with Canada Post since 2023, said the cuts caught them by surprise. "We cannot accept this attack on good jobs and public services," national president Jan Simpson said in a statement. "Let's now turn our efforts to making sure the government and Canada Post hear us loud and clear.""
Canada Post will end door-to-door delivery and implement broad service cuts as part of a reorganization to restore solvency. The corporation has lost more than $3.5 billion since 2018 and faces projected losses exceeding $1 billion this year. Approximately 4 million remaining addresses will be converted to community mailboxes, a change estimated to save nearly $300 million annually. Additional measures include closing some rural post offices, shortening the stamp-price increase approval process, and relaxing delivery standards for non-urgent mail to allow more ground transport. The national postal workers' union declared a strike in response, and the changes follow recommendations from an independent commission amid a shifting market with fewer letters and more private parcel delivery.
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