Canada Post workers have embarked on a nationwide strike after the federal government authorised widespread reforms that would shut some post offices and end certain types of deliveries.
The Canadian Union of Postal Workers (CUPW) called the proposed reforms an attack on our postal service and workers, as it announced the job action.
The strike by the union's 55,000 members comes amid an ongoing dispute over pay and benefits for postal workers that resulted in a weeks-long walkout late last year.
Canada Post said operations will shut down during the strike, leaving mail and parcels undelivered for millions and adding it would compound the corporation's already dire financial woes.
The sweeping changes announced by the federal government follow years of financial losses sustained by the postal service, which faces reduced demand and stiff competition from private parcel delivery services.
Procurement minister Joël Lightbound stated Canada Post lost C$1bn last year and is on track to lose C$1.5bn this year.
Canada Post is effectively insolvent, and repeated bailouts are not a long-term solution, he noted.
The proposed changes will see the closure of several post offices in previously rural areas and grant the service more flexibility to raise prices. Another significant proposal includes ending home deliveries, redirecting parcels to community mailboxes instead of doorsteps, affecting around four million addresses in the country.
Lightbound emphasized that the goal is to save Canada Post, but the postal workers' union argues the proposals undermine public service and fail to address customer needs.
In response to the strike, Canada Post expressed disappointment, stating that the escalation in strike activity will further worsen its financial situation.
The impact on small businesses, especially during the critical holiday shipping season, is expected to be massive, according to the Canadian Association of Independent Business.
However, government social security cheques will continue to be delivered during the strike, and negotiations regarding pay disputes remain unresolved.