Home Money & Business Business Canada Post announces resumption of services following nearly a month-long labor strike.

Canada Post announces resumption of services following nearly a month-long labor strike.

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Canada Post announces resumption of services following nearly a month-long labor strike.

TORONTO — Operations at Canada Post will restart on Tuesday following a work stoppage that lasted nearly a month.

The strike was initiated by workers who could not come to an agreement with Canada Post over important matters such as wage increases, job security, and the staffing plans for an expansion that includes weekend deliveries.

In response to the ongoing situation, the federal government took action on Friday to address the work stoppage. Labor Minister Steven MacKinnon announced that the dispute would be referred to the Canada Industrial Relations Board, which is an independent tribunal tasked with resolving workplace conflicts.

After two days of hearings, the board concluded late Sunday that negotiations had reached a stalemate and ordered the nearly 55,000 striking workers to return to their jobs. Additionally, this decision will prolong the existing collective agreement until May 22, 2025.

Canada Post has reached an agreement with the Canadian Union of Postal Workers to implement a 5% wage increase that will be retroactive to the day following the expiration of the previous collective agreement.

Before this action, the labor minister had declined to respond positively to requests for government intervention, indicating that it was essential for the two parties to reach a resolution independently. He acknowledged, however, that the strike has significantly affected Canadians, particularly small businesses, residents in remote areas, and Indigenous communities.

MacKinnon also pointed out that while Canada Post was primarily designed to handle letter deliveries, the volume of letters has declined sharply, forcing it to compete vigorously in the parcel delivery market.