Union sues Canada Post over plan to end doorstep delivery

Unionists in Canada have launched a major legal challenge against Canada Post’s current efforts to adapt to falling letter volumes. The Canadian Union of Postal Workers revealed yesterday that it will file a lawsuit in the Federal Court of Canada claiming that the state-owned postal service does not have the right to refuse to provide doorstep delivery of mail.

The challenge will state that only Canada’s Parliament has the authority to make such changes to the postal service.

Canada Post said yesterday that it was “confidant” its plans would withstand “any and all legal scrutiny”.

Centralising delivery

Canada Post announced plans last December to end doorstep mail delivery as part of a five-pronged bid to counter the losses being made by its letter business as more Canadians switch to digital alternatives.

Most Canadians already receive their mail via community or centralised mailboxes, rather than delivered to their individual doorstep.

The decision to end doorstep for the remainder, within five years, should affect about a third of Canadian homes according to Canada Post, which is aiming to save $700m-$900m in annual costs by requiring all homes to use centralised mailboxes.

The Canadian Union of Postal Workers (CUPW), which represents around 50,000 postal workers, is joined by groups representing people with mobility issues in launching the challenge suggesting that Canada Post is unlawful in removing doorstep delivery.

The lawsuit is being filed under Canada’s Charter of Rights and Freedoms, the union said, adding that Canada Post’s plans would see Canada as the “only G8 country without home mail delivery”.

“In Canada, people should count, not just the bottom line,” said Denis Lemelin, national president of the Canadian Union of Postal Workers.

The union and partnering groups have retained constitutional lawyer Paul Cavalluzzo to argue their case. Cavalluzzo commented that the challenge would bring “one of the most important postal decisions which has ever been made since Canada Post was created in 1981”.

“Committed”

Canada Post said yesterday that its decision to switch a third of the population to community mailboxes had been “difficult”, but insisted that the changes had to be made to secure the future of the postal service in Canada while avoiding the need to become a “burden” on taxpayers.

The Crown Corporation said the trend for digital communications replacing traditional mail was likely to accelerate, meaning that Canadians were using Canada Post “differently than they have in past years”.

“Canada Post remains committed to ensuring the right approach is taken and no one is left behind. All Canadians must have access to the postal service,” Canada Post said in a statement.

“The company also has in place a robust accommodations program based on best practices developed and utilised by municipalities, provinces and federal institutions. In addition, Canada Post spent months talking with human rights experts and regional and national organizations with extensive expertise in the field of accommodation to ensure the Corporation was taking the best approach. Changing the way Canada Post delivers the mail across the country will help secure postal service for all Canadians.”

Canada Post has been profitable in the first half of 2014 thanks to stamp price increases, after losing money last year. Transactional mail volumes fell 4.7% year-on-year in the six months up to the end of June 2014, but was boosted by election mail in Quebec and Ontario.

The Corporation made a $58m loss in the whole of 2013, and believes that without changes it will be losing $1bn a year by 2020.