Thursday, June 2, 2011

Canada Postal Strike


Winnipeg will be the focus of the first strike activity by postal workers if they fail to reach a deal with Canada Post by the midnight Thursday deadline, says their union.
A news release from Canadian Union of Postal Workers said the strike will begin at 11:59 p.m. ET in Winnipeg and continue for 24 hours, after which it will continue in other locations to be announced later.
"The purpose of this strike activity is to encourage Canada Post Corporation to abandon their proposals for significant concessions and instead negotiate solutions to the very real problems that are being experienced by 48,000 postal workers," said the news release.
Winnipeg was chosen for the first strike activity because it was the first city to be affected by Canada Post's modernization program, resulting in a sharp deterioration of service, as well as health and safety problems for postal workers due to new work methods and equipment, said the release.
Negotiations between Canada Post and CUPW are going down to the wire, not unlike the first game of the Stanley Cup hockey playoffs, Canada Post spokesperson Jon Hamilton told CBC News in a phone interview from Ottawa Thursday.
"Hopefully we can find a resolution. We're getting down to the final hours. Like last night's hockey game scoring didn't happen until 18 seconds left, and we might be in the same position," he said.
"The union says they are committed to reaching a deal and they're available 24/7 and so are we."
In a news conference Monday, CUPW president Denis Lemelin said the union has "historically" reached a deal very close to the deadline.
CBC News has requested an interview with CUPW and is waiting to hear back from the union.
Negotiations between Canada Post and CUPW continued late into Wednesday night and are ongoing Thursday.
Canada Post is not contemplating locking out its workers at this time and hopes the union will continue negotiations past a strike deadline, Hamilton said. Canada Post is aware of CUPW intentions for rotating strikes and said its priority remains the safety of its workers and security of the mail and its facilities.
Some mail would get throughIn the event of a strike, Canada Post will cease nearly all mail delivery, with the exception of monthly social assistance payments such as government pension cheques, veteran's cheques, as well as welfare and child benefit cheques.
Those cheques will all be delivered in one day by letter carriers in uniform who had agreed in advance to be on the job through a work stoppage, Hamilton said.
While some retail postal outlets will remain open, all letter boxes will be sealed to prevent mail being "trapped" in the system, he added.
Labour Minister Lisa Raitt is encouraging Canada Post and CUPW to settle their dispute at the negotiating table.
The federal government has warned that a postal strike could harm the Canadian economy, but Raitt's office said it is not yet at the point of considering legislating an end to the labour dispute.
The last time Canada Post workers went on strike was in 1997. The government of the day forced an end to the strike with back-to-work legislation after about two weeks.
While a postal strike in 2011 won't have the same impact as those in the 1980s or 1990s, "mail delivery is still a life-line to small business, rural communities, seniors and charities who rely on mail campaigns to raise money," Hamilton said.
The Red Cross, for example, which is trying to raise $1 million to fund community projects through a lottery, said in a news release that "a strike will gravely affect the final week of ticket sales, and the final outcome of the 2011 Red Cross Lottery."
Meanwhile, little progress between the two sides was made at a meeting Wednesday in Ottawa with Deepak Chopra, the president and CEO of Canada Post, Lemelin and Raitt.
After more than seven months of contract talks, the union rejected Canada Post's final offer and tabled its own counter-offer on Monday.
Canada Post called the union's offer "out of touch" with the challenges currently facing the Crown corporation, which includes a core letter mail business that has fallen by more than 17 per cent since 2006, and a deficit of $3.2 billion.
The union, which represents close to 50,000 letter carriers and other workers, is asking for a four-year contract with wage increases of 3.3 per cent in the first year and 2.75 per cent in years two and three. Sick leave and pensions are also issues.
The average starting wage for postal workers is $23 an hour.
Canada Post has tabled an offer that includes a defined benefit pension plan for both new and existing employees, up to seven weeks vacation and job security.

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