Canada Post employees have approved a new contract, bringing an end to prolonged disputes and negotiations between the union and the Crown corporation, which included nationwide strikes. The Canadian Union of Postal Workers (CUPW), representing 55,000 postal workers, disclosed that members voted overwhelmingly in favor of ratifying the agreement reached in December 2025, with 85.9% supporting the deal.
According to CUPW, approximately 86% of rural and suburban mail carriers and 89% of urban workers voted in favor of the contract. Jan Simpson, CUPW national president, stated that despite facing challenges, postal workers achieved some benefits and prevented severe cutbacks initially proposed by Canada Post. The agreements safeguard essential rights such as job security and pensions, ensure decent wage increases, enhanced benefits, and fair pay for all hours worked for rural and suburban mail carriers.
The new contract entails a 6.5% wage increase in the first year, followed by 3% in the second year, and subsequent raises aligned with the annual inflation rate in the following years. Additionally, the deal introduces a weekend parcel delivery model and improved benefits for the workers.
The approval of the contract marks the end of prolonged conflicts between Canada Post and the union regarding wages and structural adjustments to the postal service, which led to several strikes by workers during the negotiation process. Doug Ettinger, president, and CEO of Canada Post, welcomed the affirmative vote, emphasizing the importance of stability and collaboration to enhance the postal service’s operations.
Canada Post employees participated in the balloting process between April 20 and May 30, with an agreement in place not to engage in any strikes or lockouts during the ratification vote. The ratification vote followed the release of Canada Post’s first-quarter financial results, revealing a $205 million loss in the initial three months of the year. To support the struggling postal service, the federal government allocated $673 million for the current fiscal year.
With declining demand for mail services, Canada Post aims to modernize through various reforms, including community mailboxes, weekend parcel delivery, and potential post office closures. Minister Joël Lightbound described the contract approval as a significant advancement in the restructuring efforts of Canada Post, emphasizing the commitment to building a stronger and more efficient postal service for all Canadians.
Despite the agreement’s ratification, the union remains opposed to service cuts and plans to focus on assisting communities in preserving, enhancing, and expanding postal services.
