[HCDX] Canada Post announces strike deadline

["Mike Brooker" <aum108@xxxxxxxxxxx>]

A very old, hackneyed headline that gets trotted out every few years.  I've
lost count of the number of postal strikes and strike threats in this
country.


Jul. 11, 2003. 02:53 PM


Canada Post announces strike deadline
Impact on small business could be 'devastating'

CANADIAN PRESS

OTTAWA - There has been more than five years of galloping telecommunications
growth since Canada's last postal strike, but the country's dependence on
deliveries of what savvy Internet users derisively call "snail mail" hasn't
really abated, say experts.

In fact, in the face of a July 18 strike deadline by the Canadian Union of
Postal Workers, one business lobby warned today that a postal stoppage would
pack all the devastating economic impact of SARS and mad cow disease
combined.

"We've been hit by so much uncertainty: the Iraqi war, the border-crossing
issue, the rising dollar, SARS and BSE (mad cow disease)," said Garth Whyte
of the Canadian Federation of Independent Business.

"This postal strike has the potential of being SARS and BSE combined to our
membership."

Whyte said a federation survey during the November 1997 strike estimated the
shutdown was costing member businesses about $200 million a day.

Last month, the 45,000 members of CUPW gave their union a 92 per cent strike
mandate. Their contract expired Jan. 31. The strike deadline is set for
12:01 a.m. next Friday.

The union and the corporation, while still hopeful of reaching a deal, are
at an impasse over several key issues, including salaries, subcontracting,
retirement, workload and work safety.

Union president Deborah Bourque said today "there's no reason to write off
Canada Post" despite the increase of e-mail and heavy competition from the
courier industry.

Last year, Canada Post moved 9.8 billion pieces of mail, a significant drop
from the 11 billion carried in the year preceding the 1997 strike. But at 37
million pieces of mail per day and with an economic impact of more the $2
billion annually on Canada's gross domestic product, the postal service
still packs quite a wallop.

"There is no question that a lot of customers are using electronic means to
pay their bills but that is still a minority of customers, and that's not
the only function of Canada Post in the retail sector," said Diane Brisebois
of the Retail Council of Canada.

Retailers, especially smaller ones, are often dependent on the post for
things such as promotional flyers, credit card invoices and receiving and
shipping products.

"A postal strike for them is quite devastating."

Brisebois said private carriers simply can't fill the gap during a strike,
and tend to give top priority to existing customers.

"If you're a small merchant who hasn't used their services, you're at the
bottom of the list.

You might not even be able to get through to their 1-800 number or regional
sales rep - assuming they service your area."

John Gustavson of the Canadian Marketing Association said Canada Post
continues to play as big a role as ever in the direct marketing sector.

"When you order something over the Internet, somebody still has to deliver
it, and Canada Post delivers a huge volume of product."

As a representative of the Crown corporation's largest group of customers,
Gustavson said he was told directly Thursday by the presidents of both
Canada Post and CUPW that "they were quite confident a settlement could be
reached."

He also said there's a lot more at stake for Canada Post and its workers
than just a labour disruption.

"Every time there has been a postal strike, some mail volume has disappeared
and not come back," said Gustavson.

"We think that would be far more so (the case) in this day and age, as more
and more people learn to use electronic means of taking care of their
business."


73

Mike Brooker
Toronto, ON

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