The Ongoing Strike

The ongoing strike of Canada Post is wreaking havoc on small and medium-sized businesses across Canada during the critical holiday shopping season. The Canadian Federation of Independent Business (CFIB) reports that the strike is costing enterprises an astounding $76.6 million every day, which amounts to an estimated $765 million in just 17 days of labor action.

If the strike persists, this figure could exceed $1 billion by midweek, as businesses struggle to cope with the loss of mail and parcel services. Over 55,000 Canada Post employees walked off the job on November 15, leading to the closure of numerous post offices and significant delays in services.

Urgent Calls for Government Intervention

With the stakes so high, CFIB is urging the federal government to intervene. "It’s not the Grinch who is about to steal Christmas; it’s Ottawa sitting idly by while small businesses face a revenue crisis," said Corinne Pohlmann, CFIB's executive vice-president of advocacy. Due to circumstances beyond their control, businesses are losing critical sales opportunities.

Amid growing frustration, the CFIB is advocating for immediate government action, either through binding arbitration or back-to-work legislation. Labour Minister Steven MacKinnon emphasized the necessity for Canada Post and the Canadian Union of Postal Workers (CUPW) to expedite negotiations. Though he mentioned that binding arbitration "wasn't on the cards" for now, he has not dismissed the possibility if discussions stall.

Impact on Small Businesses

Currently, three-quarters of small businesses are feeling the adverse effects of the strike. Pohlmann remarked, “Small firms have missed the crucial sales window of Black Friday, Small Business Saturday, and Cyber Monday.” If a resolution isn't found soon, Canada Post may not be able to handle additional business during the holiday peak season due to significant backlogs.

Decline in Online Sales

Adding to the challenges, online Black Friday sales in Canada have experienced a six percent decline compared to last year, according to Salesforce, a U.S.-based cloud software company. Caila Schwartz, director of consumer insights at Salesforce, noted that “the double whammy of the Canada Post strike and fewer appealing discounts has put a damper on the holiday spirit in Canada.”

U.S. Postal Service Response

In related developments, the U.S. Postal Service has temporarily halted Canada-bound mail due to the ongoing strike. U.S. customers are urged to refrain from mailing items to Canada until further notice.

Canada Post's Commitment

Canada Post has issued a statement expressing its commitment to find a resolution. They have proposed a "comprehensive framework" to the union for negotiating agreements, aiming to reignite discussions with the help of mediators.

Looking Ahead

As the strike continues to disrupt business operations, the growing call for governmental intervention raises questions about the future of postal services during one of the busiest times of the year. Will the government step in before it’s too late? Stay tuned as this developing story unfolds.