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Canada Post Strike July 2nd 2016 and Delivery Times?

Started by SupergirlDC1959,

77 posts in this topic

eccomic

eccomic

Posted
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I have just put a moratorium on purchasing or selling until this is resolved...I will Fed Ex the big ticket books in the interim and will now consider an alternative carrier in lieu of Canada Post. This is really gonna hurt their revenue stream, as there are many others who are going to do the same..... :sorry:

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VintageComics

VintageComics

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If you need to sell, use FedEx Ground, folks.

 

You can have a book across the continent in a week or less at about the same price as Small Packet Air or Expedited depending on what you're shipping.

 

The only thing I can't speak to is insurance.

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revat

revat

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They will be forced back to work in no time. The golden era of bloated pensions are over.

 

precariously close to politics

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Wall-Crawler

Wall-Crawler

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The current government had previously said that they will not interfere in the collective bargaining process. I don't think that the government will react as quickly as the previous one with regards to a CP strike but if push comes to shove they might. Furthermore an Ontario court found that the previous back to work legislation was unconstitutional. The government has not yet appealed that decision. I don't have a crystal ball but I would be surprised if this is over in 2 weeks or less unless they reach a deal.

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Michelangelo

Michelangelo

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Perhaps one day Canada Post will adopt the USPS model of how to run a postal service. USPS doesn't run itself like a business where it has to make money and turn a profit. USPS operates at a loss but provides a solid service at outstanding rates for US citizens.

 

The Gov. of Canada makes enough money off of us... just provide the service because Canadians need the service. Look at it like healthcare, education, etc. It's the cost of running a country.

 

I have no problem not using Canada Post anymore.. I always want to support Canadian businesses, but when you're going to overcharge for bad service, I don't feel bad.

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ChrisInBaltimore

ChrisInBaltimore

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Perhaps one day Canada Post will adopt the USPS model of how to run a postal service. USPS doesn't run itself like a business where it has to make money and turn a profit. USPS operates at a loss but provides a solid service at outstanding rates for US citizens.

 

The Gov. of Canada makes enough money off of us... just provide the service because Canadians need the service. Look at it like healthcare, education, etc. It's the cost of running a country.

 

I have no problem not using Canada Post anymore.. I always want to support Canadian businesses, but when you're going to overcharge for bad service, I don't feel bad.

 

You're aware that USPS has come under fire here, correct? There has been talks about shortening the delivery week and how much money the service loses. People don't love it here.

 

The big issue is the benefits a carrier gets. They make out alright in retirement and the government just can't afford it.

 

Not the best source, but it points out some of the issues here:

 

http://thefederalist.com/2016/06/30/the-u-s-postal-service-needs-a-brexit-from-government/

 

And more:

 

http://www.insidesources.com/as-new-postal-reform-bill-progresses-in-house-taxpayer-and-consumer-groups-voice-skepticism/

 

*Sources are weird because mainstream media doesn't seem to cover stuff as boring as "Snail Mail."

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lou_fine

lou_fine

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It is interesting to see that CP turned a decent profit last year and are taking such a hardline stance with the union this go round.

 

I believe the profit for last year was about half of what the profit was for the year before. Canada Post has been making profits for almost 20 consecutive years now except for the years where there were a labor disruption and the year after that due to the bad PR. :gossip:

 

Any idea what the big hangup on labor negotiations is for this go round. I heard something on the news about not being able to meet their pension obligations, but that's a big non-starter from my point of view if that's what they are going with. hm

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kimik

kimik

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It is interesting to see that CP turned a decent profit last year and are taking such a hardline stance with the union this go round.

 

I believe the profit for last year was about half of what the profit was for the year before. Canada Post has been making profits for almost 20 consecutive years now except for the years where there were a labor disruption and the year after that due to the bad PR. :gossip:

 

They had a reported loss in 2011-13, with 2014 being a large profit and 2015 being a bit lower but still health for a crown corp. The drop in business due to bad PR following a stike is why I am shocked that they would risk another one after two years of decent profits.

 

I can't find the breakdown with a quick check, but in 2013 they were heavily bloated in management: one president and CEO, two “group presidents” and 19 vice-presidents for a group of companies with almost 70,000 employees accounting for $10 million in salary. The President and CEO gets paid ~$500K/year, which is high IMHO for a crown corp. This tells me that they are still running it like a government department which is a huge waste of dollars. You do not need that many VPs - in Alberta we are rationalizing a lot of agencies and crown corps right now by merging them and eliminating management. How many VPs at $250K - $350K do you need?

 

Any idea what the big hangup on labor negotiations is for this go round. I heard something on the news about not being able to meet their pension obligations, but that's a big non-starter from my point of view if that's what they are going with. hm

 

The pension issue is likely the biggest one and it is the reason I think that Canadapost should be put back under government control. In the end, it will be the taxpayers that cover any shortfall since it is a crown corp. Might as well get rid of the bloated management team and reduce their salaries to the lower civil servant rates as well (DMs, ADMs and EDs appear to get paid less than the Canadapost executives do). The postal workforce will be reduced over time as the switch is made from letter carriers going door to door to the one mailbox for a block or two approach that is happening now which reduces costs.

 

However, reliable postal service is an essential service so I have no problem letting a government department coordinate that. The letter post business is not a very profitable one so it is unlikely a private firm would want it.

 

My biggest issue with CanadaPost is that the management team can't seem to get a deal with the unions unless there is a lockout or strike. That is highly ineffective leadership IMHO. Yes, it takes two sides to make a deal, but we just had a year long negotiation at my work (I am in management) where over time we got a reasonable deal for both sides done regardless of how bad/contentious it looked at one point. Knowing how leadership in gov't agencies/crown corps are selected from my past life, I am skeptical that they actually have any ability as leaders. I will say no more.

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NP_Gresham

NP_Gresham

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You're aware that USPS has come under fire here, correct? There has been talks about shortening the delivery week and how much money the service loses. People don't love it here.

 

The USPS is no more reviled than GM or any other big corporate entity. The fact is they do a great job without the bloated corporate salaries at the top.
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lou_fine

lou_fine

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Any idea what the big hangup on labor negotiations is for this go round. I heard something on the news about not being able to meet their pension obligations, but that's a big non-starter from my point of view if that's what they are going with. hm

 

The pension issue is likely the biggest one and it is the reason I think that Canadapost should be put back under government control. In the end, it will be the taxpayers that cover any shortfall since it is a crown corp.

 

Yes, just heard on the news that one of the main concerns is the cutback in the pension plan for the unionized workers. It should be pointed out though that this would only be for new employees joining the Corporation going forward as they would fall under a Defined Contribution pension plan as opposed to the current Defined Benefit pension plan for current unionized employees. Nothing changes for the current unionized employees since they would all remain grandfathered in under the Defined Benefit pension plan. New employees would know upfront what kind of pension plan they will be receiving and it will be up to them to decide if they want to join the Corporation or not. Hence, they would not in fact be losing anything.

 

Not sure why you say this pension issue should push the government to put the post office back under government control. I believe on a going concern basis, their pension plan is fully funded and actually running at something like 105% of their pension requirements with a surplus of over $1.2 billion dollars. (shrug)

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