The Impact of the Canada Post Strike on Small Businesses

The ongoing Canada Post strike is proving to be a nightmare for small businesses across Canada, with the Canadian Federation of Independent Business (CFIB) estimating a staggering loss of $1.5 billion for these operations. As the holiday season approaches—typically one of the most lucrative times of the year—both outgoing sales and incoming revenues are taking a hit.

Experiences from Local Businesses

Lucie Bourbonnais, the owner of La Ribouldingue, a beloved game and toy store in Plaza Vaudreuil, shares her experience: "Our online toy sales have significantly dropped because customers believe we can't deliver, despite having a red banner on our website assuring them otherwise." This decline in consumer confidence has forced Bourbonnais to seek alternatives after exclusively relying on Canada Post for years.

Economic Consequences

Jasmin Guenette of the CFIB pointed out that traditionally, small businesses can expect between 25 to 40 percent of their sales during the holiday season. Unfortunately, this year is looking grim. "Every day that the strike continues, small businesses in Canada are losing approximately $76 million," warns Guenette.

Mitigating the Damage

In a bid to mitigate the damage, Bourbonnais has turned to the Quebec retail council's "Envoie Quebec" platform, which allows members to access over 20 different transport companies. "It enables us to choose the most cost-effective option for each delivery," she explains.

Overwhelmed Delivery Services

However, many alternative delivery services are struggling to keep up with the demand. "Those services are completely overwhelmed," Guenette confirms. Bourbonnais echoes this sentiment: "We've had days when delivery trucks arrive but can only take half of the packages we've prepared because they simply don't have enough space. They have to promise to return the next day."

Cash Flow Issues

The repercussions of the postal strike extend beyond mere sales. Many small business owners, like Bourbonnais, often manage their finances with checks that are sent and received through the mail. Delays in the postal service mean that these businesses may face cash flow issues, struggling to pay rent and employee wages. "This strike affects not only our sales but our very livelihoods. For small stores like ours, this is everything," she adds.

Looking Ahead

As the strike continues into another week, the future of thousands of small businesses hangs in the balance. Will they be able to survive this holiday season? Stay tuned for updates as we follow the unfolding situation!