Businesses bracing for potential repeat of Canada Post service disruption

Canada Post workers could go on strike again, potentially putting businesses in limbo at a time when they are grappling with tariffs.

The collective agreement between the crown corporation and the union is set to expire on May 22 after being extended when workers were ordered back to work by the Canadian Industrial Relations Board.

If a deal is not struck beforehand, workers could be on the picket lines for the second time in just a matter of months after the first strike in the tail end of 2024.

Alberta-based Sock Rocket mails their subscribers a new pair of socks monthly via letter mail through Canada Post.

If another strike were to happen that would be one of their services that would be halted.

“Letter mail is the one that would be the most heavily affected here because there is no substitute for letter mail in Canada. Canada Post is the only provider,” explained founder Tommy Zizian. “That’s a pause on a service that we pride ourselves in providing, and there’s really no alternative.”

CityNews spoke with Zizian back when Canada Post workers went on strike in 2024, but what’s different now, is that the home-based business, like many others, are also dealing with the effects of tariffs.

“The unknowns, the variabilities is very difficult, lost business opportunities in the States and everything that comes along with that,” he said. “It’s a little bit like a kick you while you are down situation.”

The threat of another strike comes as Canada Post continues to be in a difficult financial position as technology continues to eat away at its business, potentially threating its existence.

“Canada Post is insolvent… In the cities, the bigger cities across Canada the private sector has basically taken over most functions, the private couriers are doing a great job,” explained Ian Lee professor at the Sprott School of Business at Carleton University. “The problem is in the rural and remote communities, which about 15 per cent of the population.”

“But as Canadians wait, some are taking advantage of the crown corporation for as long as it exists.

“I send cards in the mail because those type of things are welcome these days,” one Calgarian said.