A sudden nationwide strike was called by the union representing Canada’s postal workers, following major reforms announced by the federal government to Canada Post, instructing the Crown corporation to cease home delivery and shut down some rural mail outlets. Canada Post experienced significant financial losses, with a $448 million loss before tax in the first half of 2025. Despite a $1-billion injection by the government earlier in the year to sustain operations, the corporation is losing approximately $10 million daily.
Canada Post members initiated the strike in response to the government’s reforms, with the Canadian Union of Postal Workers expressing outrage and declaring all its members at Canada Post would be on strike. The union was taken aback by the sudden changes imposed by the government, arguing that these changes, alongside ongoing contract negotiations for wages and part-time workers, were driving down demand for postal services.
During the strike, Canada Post stated that no mail or parcels would be processed or delivered, and service guarantees for items in transit were suspended. The postal service would continue delivering government benefit cheques and live animals during the strike, with a commitment to secure and deliver all items in the postal network promptly once operations resume. The proposed reforms by the government include ending home delivery and converting to community mailboxes, with estimated annual savings of nearly $400 million.
The implementation of these changes by Canada Post, which will likely take close to a decade, requires the corporation to submit a plan outlining the transition within 45 days. While the strike disrupts postal services, the government aims to transform Canada Post to ensure its sustainability in the long run.
