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DHL Express Canada plans to shut down operations nationwide starting June 19 amid an ongoing impasse in contract negotiations, according to Unifor, a union representing more than 2,100 DHL employees across Canada.
Ahead of the planned shutdown, DHL Express Canada will suspend the importation of international packages Monday, according to the union.
DHL Express Canada did not immediately respond to a request for comment by the time of publication.
Union workers have been on strike since June 8 following a lockout initiated by the carrier. DHL Express Canada initially said it would be able to sustain service due to contingency measures it implemented.
“With the implementation of these proactive measures, we are pleased to confirm that we can sustain our operations throughout our Canadian network, and we do not anticipate significant disruptions to our service,” DHL told Supply Chain Dive last week.
The carrier’s latest actions come as contract negotiations remain stalled between DHL Express Canada and Unifor. The two sides have been negotiating since last year. Their previous contract agreement expired Dec. 31, 2024.
Unifor is pushing for improved wages and working conditions, and has also been vocally against changes that it says reduce owner-operator pay.
DHL previously told Supply Chain Dive that it is pursuing a fair agreement for employees that “also realistically reflects the current economic landscape.”
Canada is also facing labor unrest elsewhere in its parcel delivery sector. Without a new labor contract, Canada Post employees are entering the fourth week of an overtime ban, pushing customers to seek alternative delivery options.
Correction: This story was corrected to reflect the date DHL Express Canada is expected to begin its nationwide service suspension.
