Canada Post proposes new contract to employees amid dispute

Canada Post has isOTTAWA sued what it calls a “timelimited” contract offer to its employees in hopes of ending rotating strikes that have created a historic backlog of undelivered parcels.

The offer Wednesday to members of the Canadian Union of Postal Workers came just hours after online sales and auctioning giant eBay called on the federal government to legislate an end to the contract dispute.

The Crown corporation’s four-year offer includes annual two-per-cent wage hikes, plus signing bonuses of up to $1,000 per employee.

The proposal, which the agency said was worth roughly $650 million, also contains new job-security provisions, including for rural and suburban carriers who have complained about precarious employment, and a $10-million health-and-safety fund.

But Canada Post said the offer was only viable if it can be agreed to before the holiday shopping rush. It has imposed a deadline of Nov. 17 for Canadian Union of Postal Workers members to accept the deal.

“This measure is to ensure we can reach a justin-time resolution and deliver for Canadians ahead of the holiday rush,” the Crown corporation said in an email.

“The time limit is necessary as this offer is only affordable if we can clear the backlogs caused by the union’s strike activity and effectively deliver the quickly arriving massive Black Friday and Cyber Monday volumes.”

The head of eBay Canada sent a letter to the prime minister late Tuesday, urging him to force an end to the labour dispute. Andrea Stairs, eBay’s general manager for Canada, also warned that quick action was needed to ensure retailers don’t lose out on the Black Friday and Cyber Monday sales.

Continued rotating strikes at Canada Post will result in significant losses for small and mediumsized businesses across the country, Stairs warned, noting that smaller firms are unable to negotiate lower shipping fees with other delivery services.