Canada Post confident of a settlement with the Union of Postal Workers
Canada Post received formal notice yesterday from the Canadian Union of Postal Workers (CUPW) of its intention to commence strike action as of July 18, 2003. Although the Corporation regrets this tactic by the Union and the effect it could have on business, it remains confident a negotiated settlement can be reached.
“This clearly is an attempt by the CUPW to increase pressure on the Corporation at the bargaining table to get further concessions at the expense of the business community and employees’ peace of mind,” said the Honourable André Ouellet, president and Chief Executive Officer of Canada Post. “The Union has to realize we can no longer sustain the costs associated with the current collective agreement and continue to meet the needs of our customers.”
The costs of Canada Post’s benefits plans alone, have risen by more than $270 million since 2000 and are projected to reach $850 million this year. While Canada Post intends to continue to fund the vast majority of the benefits costs, it must find solutions to address future escalating costs to maintain the current level of benefits employees currently enjoy.
“Additional costs associated with this collective agreement cannot be sustained without placing job security at risk,” said Mr. Ouellet. “If the CUPW cannot work with us to negotiate an appropriate solution to this situation, unfortunately, there will be a strike.”
Despite the Union’s announcement, both parties continue to indicate their strong desire to bring these talks to a successful conclusion and every effort will be made by Canada Post’s negotiating team to reach a negotiated settlement.
