Weeks after parting with its chief financial officer and two other senior executives, Canada Post has laid off almost 50 managers this week while the company warns of “significant financial and operational challenges.”
The Crown corporation restructured its senior executive in January, axing 20 per cent of its senior roles. The company said the move reflects its “critical financial situation.”
About half of the fired managers worked in Ottawa, with others in Toronto and across the country, the company told the Star in an emailed statement.
Canada Post says the layoffs will not have any impact on services and are part of the cost-cutting measures they’ve been implementing over the last two years.
The company froze management hires last year and is working with the government to return the organization to solvency, something that will require “urgent changes,” the company said.
Doug Ettinger, the company’s president and CEO, described the current situation on Jan. 27 as an “edge-of-the-cliff juncture.” The Crown corporation is losing ground to its various competitors, he said, leaving them in financial dire straits in the aftermath of the five-week national postal strike.
“We are literally driving a 1967 Ford in a Formula One race in 2025,” Ettinger said in the first public hearing before the federal Industrial Inquiry Commission (IIC).
“This is simply — and I’ll underline this — not sustainable and we are facing insolvency as a result.”
With files from Hayden Godfrey
