By Canadian Press

CP NewsAlert: Canada Post to make new offers ahead of strike deadline, union says

May 21, 2025 | 9:22 AM

OTTAWA — The union representing Canadian postal workers says Canada Post is issuing a new set of offers today.

Earlier this week the union issued a strike notice that could see postal workers back on the picket line on Friday.

Canada Post says it presented new global offers today to the Canadian Union of Postal Workers (CUPW), demonstrating what it says is a “commitment” to reach agreements and maintain continuity of postal services for Canadians.

According to Canada Post, the new offers, for the Urban and RSMC (Rural and Suburban Mail Carriers) bargaining units, go further on wage increases and would protect employees’ benefits and entitlements. The offers also reflect the Corporation’s current realities. Canada Post has proposed important changes to its delivery model to increase its flexibility and help address the Corporation’s significant financial and operational challenges.

Canada Post says it is negotiating with CUPW at a critical moment for the postal system. Since 2018, the Corporation says it has incurred more than $3 billion in losses before tax, and it will post another significant loss for 2024. In early 2025, the government of Canada announced repayable funding of up to $1.034 billion for Canada Post to prevent insolvency.

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“Building on the important work of the Industrial Inquiry Commission (IIC) and the findings and recommendations in its final report, the parties must now bring urgency to negotiations,” Canada Post said in a statement. “Another labour disruption would be costly and disruptive for employees, small businesses and the millions of Canadians who rely on the postal system.”

Under the new global offers, current employees would keep their:

• Defined benefit pension
• Industry leading job security provisions
• Health benefits and post-retirement benefits
• Vacation (up to seven weeks) and pre-retirement leave
• Cost of living allowance that protects against the effects of unforeseen inflation
• Work schedules

The Corporation says it has increased its wage offer. Current employees would receive wage increases of 6.0 per cent in year one; 3.0 per cent in year two; 2.0 per cent in year three; and 2.0 per cent in year four (13.59 per cent compounded). The offers also provide employees with better income replacement for leave under the short-term disability program, and six added personal days locked into the collective agreements.

As part of the company’s commitment to reach agreements, Canada Post has withdrawn items since its last global offer. The company is no longer proposing a new health benefits plan, changes to employees’ post-retirement benefits, or enrolling future employees in the defined contribution pension.