The Canadian Union of Postal Workers (CUPW) has declared a nationwide strike hours after the federal government in Ottawa announced plans to reduce mail delivery in coming years.
The government said that door-to-door mail delivery will end for nearly all Canadian households within the next decade, moving them to centralized community mailboxes.
CUPW announced late on Sept. 25 that all Canada Post workers represented by the union were walking off the job.
Canada Post said in a written statement that no new mail will be accepted during the labour disruption. However, letter carriers will continue to deliver government welfare cheques.
The job action comes after the Liberal government of Prime Minister Mark Carney announced sweeping changes aimed at shoring up Canada Post, which is losing billions of dollars a year.
Letter mail and bills and statements sent through Canada Post have all but disappeared and the Crown corporation has been unsuccessful in gaining a bigger share of parcel shipments.
Government plans also include slowing down the frequency of mail delivery across Canada and closing many post offices.
The union representing 55,000 postal workers said it was caught off-guard by the changes and that the government’s efforts will further erode demand for letters and parcels.
The federal government said about four million Canadians will see their service switch from door-to-door delivery to a community mailbox model over the next decade.
The proposed changes could generate $400 million per year in cost savings for Canada Post, according to estimates.
Since 2018, Canada Post has lost more than $5 billion. The Crown corporation is on track to lose $1.5 billion in 2025.