Small businesses should pay the same discounted postage rates as large corporations when sending mail through Canada Post, Bloc Québécois leader Yves-François Blanchet said.
Blacklock's Reporter says the proposal comes ahead of new financial statements expected in May, with the post office forecast to report deepening losses.
“With or without a trade war we must encourage businesses that have a storefront in our neighbourhoods,” Blanchet said. “They employ local people.”
Canada Post currently allows major commercial clients — such as banks and utilities — to send mail like invoices and statements for as little as 55¢ via postage meters, while the regular retail stamp rate stands at $1.24.
Blanchet is calling for regulatory changes that would mandate the same rates for small and medium-sized enterprises.
“These are simple measures but they will help our small businesses compete with American multinationals,” he said. “Economic resistance to Donald Trump starts around the corner.”
The Bloc offered no cost estimate for the policy. Small businesses remain among the most frequent users of Canada Post services.
“Nearly all businesses send and receive mail from Canada Post,” noted a 2022 Department of Public Works report titled Canadian Businesses’ Views On Canada Post Services. The report also found that most businesses supported federal assistance to keep postal services operating at current levels.
Canada Post is expected to release an updated Annual Report to Parliament next month, following continued financial losses. In January, cabinet approved a $1.03 billion line of credit to keep the Crown corporation solvent.
“It will provide a much-needed financial bridge to ensure Canada Post can continue to serve Canadians while working with the government on the changes required to ensure the long term viability of Canada’s postal system,” said the government notice.
“It is clear the corporation must be put on a path to viability.”
Canada Post has not posted a profit since 2017. Its pre-tax losses have mounted annually, including $276 million in 2018, $153 million in 2019, $779 million in 2020, $490 million in 2021, $548 million in 2022, and $746 million in 2023.
Operational challenges have included a 28-day work stoppage during the 2023 Christmas season, the busiest time of year. A similar strike in 2018 cost the post office $110 million.
In its last Annual Report, Canada Post said letter volumes have declined for 17 straight years, while its share of the parcel market has dropped from 62% to 29% since 2019.
“Canada Post needs to adapt to the dramatic changes in how Canadians live and work today to remain relevant and viable,” the report stated.
