Union challenges temporary layoffs as Canada Post cites operational changes during labour disruption
The Canadian Union of Postal Workers (CUPW) has raised concerns about Canada Post's decision to lay off employees amidst a labour action involving over 55,000 workers.
In a notice posted on Monday, the union described the layoffs as a “scare tactic” and confirmed it is investigating the matter, as reported by BNN Bloomberg.
Canada Post spokesperson Lisa Liu acknowledged the layoffs, clarifying that they are temporary. She stated the corporation had notified certain employees that the collective agreements are no longer in effect, citing the Canada Labour Code provisions related to lockout notices.
“Our business has been significantly impacted leading up to and throughout this labour disruption. We have taken steps to adjust our operations,” Liu said.
Neither CUPW nor Canada Post disclosed the scope of the layoffs.
Earlier in November, Canada Post issued a lockout notice, asserting it did not plan to lock out employees but needed flexibility to respond to the strike’s effects.
Liu indicated the disruption has essentially halted operations, necessitating operational adjustments.
The collective agreements’ suspension, Liu explained, allows the organisation to adapt to its current business realities. However, labour experts have questioned the legality of the layoffs.
Labour and employment lawyer Deborah Hudson noted that the Canada Labour Code protects workers from layoffs related to strike participation.
“If the temporary layoffs continue, they will for sure result in legal action by the union,” Hudson said, suggesting possible grievances or unfair labour practice complaints.
David J. Doorey, a labour law professor at York University, also raised concerns. “On its face, Canada Post appears to be violating that section of the labour code,” he said in an email.
Should CUPW challenge the layoffs, Canada Post must present compelling evidence to demonstrate the layoffs were unrelated to the strike.
Hudson speculated the layoffs might anticipate a decline in post-strike workload, particularly as other carriers have managed Black Friday deliveries. “Maybe they’re anticipating a drop of workload ahead of time,” she said, adding that Canada Post would need to justify these temporary layoffs.
Striking workers retain the right to return to their jobs once the strike ends unless those roles no longer exist, Doorey noted. He added that hypothetical layoffs due to a lack of work post-strike remain uncertain at this stage.
The strike stems from unresolved bargaining issues, including weekend parcel delivery expansions to boost revenue. The union and Canada Post remain divided on how to implement the initiative.
Canada Post, which reported a $315m pre-tax loss in its third quarter, has emphasised the need for weekend deliveries to remain competitive. The strike has already caused the corporation to miss delivering millions of parcels.
Federal Labour Minister Steven MacKinnon indicated on Wednesday that mediation efforts have reached an impasse, with both parties too far apart on key issues. While mediation talks have been suspended, the government does not plan to intervene with binding arbitration.
In a statement, Canada Post spokesperson Phil Rogers said the organisation is “considering its options to move negotiations forward with greater urgency and remains committed to negotiating new collective agreements.”
Meanwhile, CUPW president Jan Simpson reiterated the union’s goal of protecting full-time jobs. With no resolution in sight, both sides continue to face mounting pressure to address the labour dispute.
