Canada Post is laying off dozens of managers and senior executives in a bid to save money after years of heavy losses.
The Crown corporation, which recently secured a $1 billion federal loan to stay afloat, said no unionized workers will lose their jobs.
Three senior leaders, including the chief financial officer, were fired last month as part of a 20% reduction in top management.
Nearly 50 managers across Ottawa, Toronto, Montreal, and other regions also received layoff notices this week.
The cuts are part of a “corporate-wide restructuring” needed to address financial struggles.
“It’s an unfortunate reality, but we have to streamline processes and prepare for a tough year,” said Canada Post spokesperson Jon Hamilton.
Hamilton said the layoffs target non-union staff who do not handle mail or part of daily operations, which means services will not be affected.
The amount of financial savings from the cuts has not been disclosed.
Canada Post has lost over $3 billion since 2018 and warned it risked running out of cash this spring.
A December strike during its busiest season worsened the crisis.
The federal loan, announced in January, offers a “short-term fix” to cover bills until long-term changes are made.
Hamilton said more management layoffs are “definitely” possible, though a last resort.
Hiring freezes and travel cuts are already in place.
The Canadian Union of Postal Workers (CUPW) has long criticized Canada Post for being “top-heavy” with managers.
CUPW national negotiator Jim Gallant said roughly 3,000 front-line jobs, like mail carriers, have vanished since 2006, while management layers grew.
“They have superintendents, managers, directors. It’s a lot,” said Gallant.
“Managers get paid a lot, but how many do they need?”
Canada Post employs about 50,000 people, with 5% in management roles.
The union and corporation remain in tense contract talks, with a federal inquiry examining stalled negotiations and Canada Post’s business model.
A report is expected in May.
