The ongoing strike by Canada Post employees is threatening small businesses across the country, especially as the critical holiday season approaches. With sales and revenues already expected to decline, many businesses are scrambling to find alternative solutions to keep operations afloat.
Small Businesses Under Pressure with Canada Post Strike
Damien Silès, the director of the Quebec Retail Council, expressed grave concerns over the strike’s timing. “This strike couldn’t have come at a worse time,” he said. Taking place just two weeks before Black Friday—the kickoff to the busiest shopping period of the year—small businesses that rely heavily on Canada Post’s services are facing a logistical nightmare.
Small businesses, which often depend on the affordability and reach of Canada Post, are now exploring other shipping options. However, these alternatives come with higher costs and potential delays, especially as demand for shipping services peaks during the holiday season.
For instance, the founder of Café Pista noted that other courier services are already under strain, resulting in additional delays. “It’ll require more follow-up from our employees to ensure packages are delivered,” he said, adding that delays could drive loyal customers to seek out competitors.
Financial Strain about Canada Post Strike
Businesses like SweetLegs, a clothing company in Kelowna, British Columbia, are particularly concerned about the affordability of alternatives. “Canada Post’s rates for rural deliveries are significantly lower than private couriers, and in some regions, they’re the only option,” said Chris Pafiolis, SweetLegs’ co-owner.
In Quebec, over 30% of parcels from retailers are shipped via Canada Post. This reliance leaves businesses with difficult decisions: either absorb the additional costs of alternative shipping or pass them on to customers.
Anne Lespérance, the owner of Belle et Rebelle, a boutique in Montreal, decided to absorb the costs for now. “I’d rather pay more to retain my customers than stop online sales and lose them to competitors,” she explained.
Meanwhile, the Independent Bookstore Cooperative of Quebec has adopted a different strategy, encouraging customers to pick up their orders in-store or shop directly at local bookstores. However, even this approach places the financial burden on retailers, who must shoulder the increased shipping costs.
Broader Labor Disputes
The Canada Post strike involves nearly 55,000 workers who walked off the job after contract renewal negotiations failed. Key issues include wage increases and working conditions. The union is demanding a 22% pay raise over four years, while Canada Post has offered a competitive 11.5% increase, along with additional paid leave.
In response, the federal government appointed a mediator to assist both parties in reaching an agreement. While Canada Post welcomed the mediator’s involvement, the prolonged strike continues to disrupt businesses and communities across the country.
The strike comes on the heels of other major labor disputes in Canada, including port disruptions that only recently resolved. “It’s been one strike after another,” lamented Silès. “It could take days or even weeks to return to normal operations.”
Economic Fallout
Canada Post has acknowledged the widening impact of the strike. “The repercussions on small businesses, charities, and remote communities will only worsen as the strike continues,” it stated in a press release.
The situation is further complicated by the federal government’s reluctance to intervene. Labor Minister Steven MacKinnon has indicated that, unlike recent interventions in port and railway disputes, he does not plan to force a resolution in the Canada Post strike.
Preparing for Uncertainty
For small businesses, the strike represents not only a logistical challenge but also a test of resilience. Many are exploring creative solutions to mitigate losses, but the increased costs and delays highlight the vulnerabilities in relying on a single delivery service.
As the holiday season unfolds, the strike underscores the need for small businesses to adapt quickly to changing circumstances, balancing short-term survival with long-term customer reten
