The fate of Canada Post now lies in the hands of Labour Minister Patty Hajdu, as postal workers brace for potential service cuts that the Liberal Party once strongly opposed, reports Blacklock's Reporter.In a message to members, Canadian Union of Postal Workers (CUPW) National President Jan Simpson warned that a cabinet-appointed mediator has proposed sweeping changes that could alter the nature of postal service across the country.“This is not a done deal,” Simpson wrote. “It is up to Minister Patty Hajdu to decide what to do with this report, if anything at all.”Mediator William Caplan’s Report of the Industrial Inquiry Commission, released by the cabinet on Friday, described Canada Post as “effectively insolvent or bankrupt” and recommended major cost-cutting measures. These include replacing doorstep delivery with community mailboxes for 4 million households, repealing a 1994 ban on rural post office closures, and hiring more part-time workers..Caplan also rejected CUPW’s proposal to expand into postal banking and insurance, calling it “unrealistic.” Canada Post previously operated postal banks before 1968.CUPW expressed concern that the proposals would contract out jobs, cut services, and significantly roll back protections in the existing collective agreement.“There is no guarantee these changes will even grow the parcel business,” said Simpson. “Canada Post’s proposals have not been fully costed.”Canada Post is expected to release its 2024 Annual Report by the end of the month, showing millions in pre-tax losses. The Crown corporation reported a $748 million loss in 2023..The Liberal government previously rejected similar proposals. In 2015, one of its first actions was to halt the phase-in of community mailboxes, calling for innovation over cutbacks. Then-Public Works Minister Judy Foote said Canada Post should explore new revenue sources and business lines instead of reducing services. “Canadians must have a say in any major decisions about the future of Canada Post,” Foote told a Commons committee in 2016. CUPW says that moment has come again, and the final decision is now up to Minister Hajdu.
