Canada Post and the union representing its 53,000 workers have reached a tentative contract agreement that would bring an end a two-year labour dispute which led to two national strikes.
Details of the agreement-in-principle weren’t released.
“After more than two years of negotiations, we have reached agreements in principle with Canada Post covering both postal bargaining units,” the Canadian Union of Postal Workers said in a statement.
CUPW said the two sides are still working through contractual language that will result in a contract that can be voted on by union members.
While details are being finalized, the union says it won’t strike, and the Crown corporation says it won’t lock its employees out.
“The union will retain the right to strike until new agreements are ratified,” CUPW added.
The agreement comes after just over two weeks of renewed bargaining between the two sides, guided by federally-appointed mediator Peter Simpson.
In late September, the federal government gave the green light for a broad restructuring of Canada Post, including the elimination of home delivery, increased use of community mailboxes, and elimination of some rural post offices. Federal infrastructure minister Joel Lightbound said the restructuring was necessary to fight an “existential crisis” faced by the financially-struggling Crown corporation.
Many of the changes approved by Lightbound were recommended in a May report by the Industrial Inquiry Commission led by veteran mediator William Kaplan.
Within hours of Lightbound’s announcement, CUPW had launched its second national strike within a year. That strike was subsequently downgraded to a series of rotating regional strikes.
On Nov. 7, the Crown corporation gave the federal government its implementation plan for the restructuring, but said it wouldn’t make details public until the plan is finalized and approved.
CUPW has said the restructuring would lead to service cutbacks and jobs losses.
In August, CUPW members rejected Canada Post’s “final offer” in voting ordered by the federal government and monitored by the Canada Industrial Relations Board.
The “final” contract offer rejected in August included a 13 per cent wage hike spread over four years, as well as a $1,000 signing bonus.
