Prolonged postal strike leaves businesses struggling with delays during peak sales period
The Retail Council of Canada is urging the federal government to intervene in the ongoing postal strike, citing the impact on businesses and workers.
BNN Bloomberg reports that the council, representing 54,000 storefronts, emphasized the challenges the Canada Post strike creates for retailers striving to meet customer demands and remain operational.
Diane Brisebois, president and CEO of the council, stated, “Retail knows that the best labour agreement is negotiated with both parties at the table, but that’s not happening and it’s time to end the strike.”
The strike, involving over 55,000 Canada Post workers, reached its 19th day on Tuesday, coinciding with the end of Black Friday and Cyber Monday.
Canada Post announced it was waiting for a union response to a framework presented over the weekend aimed at achieving agreements.
The Canadian Union of Postal Workers has reviewed the framework, acknowledging progress on some issues but maintaining that it “still remains far from something members could ratify.”
A major contention involves weekend delivery, with disagreements over how to implement the service.
Brisebois pointed out that the labour action is affecting thousands of retailers and millions of consumers. She noted that businesses rely on Canada Post for shipping orders, distributing flyers, and processing payments.
The timing of the strike has been especially challenging, as retailers enter their busiest season with holiday sales and year-end bookkeeping in full swing.
The strike has disrupted various industries. In Alberta, a bookkeeping service reported being unable to access funds stuck at Canada Post due to delayed mail from insurance companies.
On Prince Edward Island, a seed supplier with an 86-year history of using Canada Post reported being unable to distribute 270,000 catalogues.
The company now faces storage fees and expects lower Christmas sales, according to the Canadian Federation of Independent Business (CFIB).
Brisebois highlighted that alternatives to Canada Post are limited and costly.
“Because of the length of this strike, alternative delivery is either unavailable or too expensive — which means shipments are not making it to businesses, stores or customers in time for the holidays,” she said.
Montreal-based pantyhose maker Sheertex recently informed customers that other carriers were overwhelmed with orders, resulting in “significant surge pricing” for shipments.
Some businesses have encouraged customers to shop in person or opt for in-store pickup of online orders to cope with the delays.
However, the Retail Council of Canada continues to emphasise the urgency of resolving the strike, stressing its impact on retailers during the crucial holiday period.
