Mail delivery will continue through the week, after encouraging signs in a contract dispute between Canada Post and the union representing 50,000 of its workers. This, as talks resumed and the post office withdrew a threat to lock out its workers.
Canada Post issued a brief statement that said it had withdrawn its lockout notice "which will allow both parties to focus their efforts on serious negotiations."
The Crown corporation's news release followed a statement earlier Sunday from Labour Minister MaryAnn Mihychuk, who encouraged the two sides to continue discussions beyond a deadline of 12:01 a.m. ET today that Canada Post had set.
Canada Post initially served a lockout notice to the Canadian Union of Postal Workers (CUPW) for last Friday, but later delayed the notice until Monday.
The post office and the union were saying little Sunday, leaving the federal government to confirm the two sides were back at the negotiating table.
The two sides are far apart on two major issues — wages and pensions — after seven months of negotiations, including 60 days of conciliation talks and more than 30 days with federal mediators.
CUPW wants rural and suburban mail carriers to be paid by the hour, like urban letter carriers, rather than by how many packages they deliver.
Canada Post wants to change the pension scheme for new hires, moving them to a defined contribution plan instead of a defined benefit plan. Many private sector companies have moved to defined contribution plans because they reduce costs for companies and shift the risk for future payouts onto employees, who are no longer guaranteed a set return in retirement.
