Mediation stalls as Canada Post strike delays 10 million parcels

Labour talks pause as unresolved wage and business model disputes disrupt nationwide mail delivery

Mediation stalls as Canada Post strike delays 10 million parcels

The special federal mediator has suspended mediation between Canada Post and its postal workers, stating that both parties remain “too far apart” to make further progress.

Federal Labour Minister Steven MacKinnon announced the suspension on Wednesday, as the nationwide mail strike entered its thirteenth day, as reported by Financial Post.

MacKinnon expressed hope that the pause will allow both sides to reassess their positions and return to negotiations with greater determination.

Posting on X, he explained, “After several intensive days of negotiation, (the special federal mediator’s) assessment is that parties remain too far apart on critical issues for mediation to be successful at this time.”

On Wednesday, MacKinnon summoned both parties to his office to deliver a clear message: they bear sole responsibility for the consequences of the conflict. He ruled out federal intervention and stopped short of introducing back-to-work legislation.

Binding arbitration, a measure used in recent disputes involving ports and railways, is also “not in the cards,” according to MacKinnon. Speaking in French, he noted, “The issues are around a transformed business model for the corporation.”

Approximately 55,000 postal workers began the strike on November 15 after years of unsuccessful negotiations between Canada Post Corporation and the Canadian Union of Postal Workers (CUPW).

Canada Post reported on November 27 that nearly 10 million parcels had already been delayed due to the strike, a number expected to rise with Black Friday sales and the approaching holiday season.

Negotiations between Canada Post and CUPW remain at a standstill. Canada Post claimed this week that talks “have ground to a halt with no movement” and accused the union of refusing to engage.

The corporation alleged that CUPW informed the mediator it would not respond to proposals after days of non-response.

CUPW rejected the claims, calling them “full of half-truths and outright deception.”

The union clarified that it had declined to revisit a specific employer demand that had already been addressed at least a dozen times.

“Canada Post is fully aware of how far CUPW is willing to go – they just don’t like the answer,” CUPW said in its statement.

Wages remain a key point of contention. Management proposed an 11.5 percent increase over four years, while the union is demanding a 24 percent cumulative increase for the same period.

The federal government has reiterated its position that the two parties must resolve the dispute independently, as the conflict continues to impact mail delivery nationwide. The next step in negotiations remains uncertain.

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