A special mediator has been appointed to support negotiations between Canada Post and the union representing its striking workers, a spokesperson for the federal labour minister told CBC News on Saturday.
In a statement, spokesperson Matthieu Perrotin said that Peter Simpson, director general of the federal mediation and conciliation service, has been appointed “to support the parties.”
“We are making sure that these two groups have everything they need to reach a deal,” the statement said. “Parties must reach a deal, and Canadians are counting on them.”
Labour Minister Steven MacKinnon signalled that the Liberal government is not currently looking to intervene and end the strike, saying Friday that he is “not looking at any other solution other than negotiation right now.”
Canada Post workers went on strike early Friday after failing to reach an agreement with their employer, shutting down the corporation’s mail service across the country.
The Canadian Union of Postal Workers (CUPW) says about 55,000 workers in its urban, rural and suburban mail carrier bargaining units are off the job, adding that little progress has been made during bargaining.
“Canada Post had the opportunity to prevent this strike, but it has refused to negotiate real solutions to the issues postal workers face every day,” the union said in a statement. “Instead, Canada Post left us no choice when it threatened to change our working conditions and leave our members exposed to layoffs.”
Mail and parcels, the Crown corporation said, will not be processed or delivered during the strike, and some post offices will be closed. Service guarantees will be affected for items already in the postal network, and no new items will be accepted.
The two sides began talks toward a new contract on Nov. 15, 2023.
Canada Post workers went on strike early Friday after the Canadian Union of Postal Workers (CUPW) said little progress was made during bargaining. York University labour expert Steven Tufts says CUPW has not built the large-scale public campaign needed to pressure Canada Post into changing its business model, despite knowing that Canada Post is struggling financially.
Canada Post’s latest contract offer included annual wage increases that amounted to 11.5 per cent over four years. It also offered protection of the defined benefit pension for current employees, as well as job security and health benefits.
CUPW said that wasn’t enough and that the two parties remain far apart on several issues.
Canada Post says it has lost $490 million in the first half of 2024, part of a total $3 billion lost since 2018. The company says a strike will only further contribute to its already dire financial circumstances and that the union’s demands will lead to more fixed costs that Canada Post can’t afford.
“Both sides are still working towards achieving negotiated settlements and discussions will continue,” Canada Post said in a statement on Saturday.