Canadian e-commerce merchants are closely watching a May 22 deadline for signs of a possible strike by postal workers that could stall billions in online revenue, strain supply chains, and leave rural shoppers without supplies, reports say.
A work stoppage would mark a second strike in recent months, following a 32-day walk-out that began in November, 2024, and ended only when the federal government ordered workers back on the job.
Now conditions may shape up for a repeat of that scenario, as talks are sputtering between the two sides. On Tuesday, negotiators for Canada Post left the bargaining table, stating that “a temporary pause in discussions is necessary… to focus on preparing comprehensive proposals aimed at moving discussions forward constructively.”
In response, the 50,000-member Canadian Union of Postal Workers called the move “reprehensible,” saying they had come to the meeting prepared to negotiate. “The Union has been focused on protecting full-time jobs as well as helping Canada Post meet its needs to expand into weekend parcel deliveries. But many of Canada Post’s demands remain more or less the same as they were prior to our strike, including numerous rollbacks,” the union said.
A renewed strike would roil the country’s $65 billion e-commerce sector, especially since the timing would come just weeks before back-to-school promotions and months before the fourth quarter holiday peak, according to the Toronto-based shipping company Stallion. And if it lasts more than a few days, that prolonged uncertainty could dampen consumer confidence, reduce revenue, and squeeze already-tight small-business margins, the firm said.
“When postal trucks parked last winter, we saw inbound shipping enquiries surge 22 percent overnight as thousands of sellers scrambled for alternatives,” Pramod Bhat, CEO at Stallion, said in a release. “We held our rates steady to help Canadian businesses keep moving, yet many still found themselves reacting at the last minute. If negotiations falter again, contingency planning must start before the strike actually begins.”
