Job losses expected as Canada Post plans to phase out door-to-door delivery

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CANADA POST DELIVERY COSTS

Local postal workers are reeling from the news that door-to-door delivery is being phased out.
“It’s huge,” said Craig Dyer, who was out delivering mail as he spoke to The Telegram. Dyer is the chief shop steward with the Canadian Union of Postal Workers (CUPW) Local 126 in St. John's.

A letter carrier for Canada Post, braves the snow on his route in this file photo. — Telegram file photo

The morning has been frantic, said Dyer, as customers react to the news.

According to a Canadian Press report, Canada Post says it plans to eliminate 6,000 to 8,000 positions during the next five years, mainly through attrition. The postal service says it expects nearly 15,000 employees to retire or leave the company in that time frame, which it says more than covers its cost-reduction targets.

Canada Post is phasing out urban home delivery and raising rates to cope with dwindling volume and mounting losses, the Globe and Mail is reporting.

Besides job cuts, the federal Crown corporation announced five initiatives today to overhaul the postal system, including a move to so-called community mailboxes, higher postal rates effective March 31, 2014, expanding network of franchised post offices.

Organizations: Canada Post, Canadian Press, Globe and Mail

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Recent comments

  • Dipto Chakraborty
    January 11, 2014 - 20:15

    I feel strongly about this issue, even though I personally will not be affected by it, living in a well-connected area! A T-shirt has been specifically designed for people to spread word about this cause. Please wear it in your community to build more momentum. Get it at http://www.teespring.com/canadapost

  • Tom Gall
    December 24, 2013 - 12:52

    Since I have recieved at least 50 letters addressed to other addresses and they lost my xmas letters, community box sounds good to me.

  • T. Carrubba
    December 16, 2013 - 14:22

    Start petition to stop government from phasing out door to door postal service.

  • Grim Reality
    December 12, 2013 - 05:17

    It is simple enough. Look at the whole picture and realize that this idea of large pay raises, life time job security, large pensions with minimal input will not last. Door to door delivery was used as a way to allow everyone even in remotes parts access to this service. Transportation was not as readily available, however over time this has changed and it is easier to move about now to access more centralized locations. I live in an area where there are multiple villages in a small area. I total there are six communities with 4 post offices covering this area. This is an example of how they can also save costs by centralizing these to one location with that one location handling packages and those rural boxes for everywhere else. I feel the same sort of distaste for politicians and their lavish lifestyle with large pensions, bottomless expense accounts, and second home allowances. I understand the requirement for a home where they are voted in, but not in Ottawa. Instead there should be a gov't funded housing area with living quarters fro the politician. It is furnished by the tax payers and when the politician leaves office it is returned to the tax payer for the next politican including the contents. As for expenses it should be if you are going to claim it you are required to have receipts. If you work in the private sector you are required to have receipts for every claim when you file with CRA, regulation brought in by the gov't. However, honorable politicians do not require the same level of receipts for claims. This is not party specific and the voting public has to realized that the only difference between the parties is which corrupt soul is in office.

  • Rick
    December 12, 2013 - 04:27

    A lot of customers are upset by this, but in reality MANY customers here in Newfoundland and elsewhere will be unaffected by the fading away of door-to-door delivery. If you read the complete article, it says everybody's simply moving to community boxes -- which a lot of communities here (including much of Mount Pearl, Portugal Cove-St. Philips, Torbay etc) already use. We'll all just start using the box on the corner instead. This was inevitable and makes sense. I'm not one to defend every move Canada Post makes, by a long shot, but this move makes sense. They just need (from a marketing/PR perspective) to get out in front of it and control the message, so the story doesn't seem negative.

  • m spectator
    December 12, 2013 - 00:07

    So a business losing money cuts back and raises prices to stay in business, and people complain? Do what makes sense. If you don't like what a business is doing and are unhappy with their services, use a different business. Email exists and so does Purolator! Also, I find the fact that people are losing jobs sad. Don't get me wrong. However, what's sadder is that we're paying people $20+ an hour to be glorified paperboys. You could fire one postie, employ two young people at half the wage, and feed more families that way.

  • Optimistic Realist
    December 11, 2013 - 23:03

    This all makes sense. I support the changes. Why should a third of the country get a type of service the rest of us haven't had for decades? Equality is a funny thing sometimes.

  • paul l bonyun
    December 11, 2013 - 20:55

    I am very discouraged what's happening to public service in the US and Canada I did 38 years on the job in the fire service and law enforcement in Maine I look at the deals the younger people are getting in both countries its sad

  • billy
    December 11, 2013 - 17:10

    If they are cutting back 15000 jobs most by attrition. Who is going to be left to pay all the pensions. The poor taxpayer who works until he is 65.

  • Brian
    December 11, 2013 - 16:08

    How is it that Australia Post (also a "crown corporation") can offer a much better, cheaper, and easy to use service while actually returning a profit to its sole shareholder (the Australian government)? Maybe Canada Post needs to remodel itself into a functional organization rather than a more limited one.

  • sc
    December 11, 2013 - 16:07

    So, does anyone need further proof that this country is a basket-case? I wonder what provisions will be made for the elderly and those who cannot get out to pick up their mail. If Cda Post is going to use 'group mailboxes', who is going to get stuck with one of them on their front lawn? What happens if no one accepts them? Who will compensate home owners whose homes will inherently lose some value because of this loss of service? Nice of Cda Post to make this announcement just a couple weeks before Christmas. It says something about what the management thinks of its employees. It figures also that Ms. anti-everything but profit for executives Raitt thinks this is a good idea.

  • Mark
    December 11, 2013 - 15:36

    This isn't just a good idea, it is the best that the Harper Government ever had. I would say that nine-tenths of my mail is either flyers, junk mail, or hard copies of information that I can get on-line (and may already be out-of-date, such as my bank statement from 5 days earlier). Besides, Canada Post, like most federal agencies, over-compensated employees. Older employees were probably getting $25 or $30 an hour, plus great pension and benefits, to do essentially what my paperboy does. No one should wonder why this corporation is now in the red. Finally, here is an opportunity for some real cost savings.

  • Gekko
    December 11, 2013 - 15:22

    Canada Post should not be allowed to turn into a make-work project. If it's losing money then it's time to start firing posties. Privatization would be the best option, get the government out of it and if Canada Post can survive as a private courier well that's great. Honestly there is no need for door-to-door mail service in this day and age anyway.

  • M
    December 11, 2013 - 15:10

    Should farm out the home delivery service to The Telegram. Their newspaper carriers can drop off the mail as they drop papers. They will do it for minimum wage with no indexed pensions, weeks off, etc. No or intellect or training required.

  • dontgetmestarted
    December 11, 2013 - 14:57

    I was just today thinking of how my mother used to pass out a $5 bill to the postman, milkman, garbage collector & paperboy for Christmas. Times change.

  • fogNL
    December 11, 2013 - 14:41

    Seems like its already phased out. Several times this week, I've been expecting packages that were "Out for delivery", only for them to not even attempt delivery and leave a pickup notice in my community mailbox. What makes it worse is that I'm one house away from the mailbox.

  • Peter Bailey
    December 11, 2013 - 13:57

    Time to phase out The Harper Government....for good.

    • david
      December 11, 2013 - 16:31

      Yes. It's Harper's fault that people cannot continue to be paid $65,000 a year and a pension to walk around for 3 hours a day with a bag containing nothing but junk flyers.

    • JimRebelo
      December 11, 2013 - 17:22

      What does this have to do with anything?

  • dan
    December 11, 2013 - 13:41

    from the graphic above the rural folks better watch out, you are next!!! I am sure some CON business buddies are waiting in the wings to take over CP. This will be an impact on the economy for sure. Best of luck to all affected I wish you the best

  • Marshall Art
    December 11, 2013 - 13:35

    Canada Post has been stumbling and bumbling along since, what seems like forever. Their brainstorming sessions to deal with cost reduction targets always results in the same ol' same ol', ie., increase the cost of postage stamps. The sooner Canada Post is put out of its misery, the better, because it wouldn't run a bullseye shop.

  • newfie away
    December 11, 2013 - 12:33

    it was just a matter of time before this was going to happen. just like the closure of the former Abitibi-bowater mill in my home town of grandfalls-windsor. the demand for paper was no longer there and people don't use postal service as much since the computer age. I can't wait to hear from your liberal/ndp MP'S on this one. they will blame harper and the conservative for this, but honestly folks cuts at Canada-post begun back in the 80's when they brought in the super mail boxes under the liberals.

  • Another Businessman
    December 11, 2013 - 12:11

    It was bound to happen. We cannot afford giving people golden service at the taxpayer's expense especially those outside of the urban areas. It's time we privitized the service, got rid of the unions and let business take over. There are enough people sitting around who could be doing this job for minimum wage and without all the taxpayer-funded benefits.

    • Politically Incorrect
      December 11, 2013 - 12:42

      ...because Canada needs fewer jobs that pay a living wage and more McJobs for people to scratch by. I'm actually old enough to remember when the role of government was to play a positive roll forthe benefit of all citizens. Now "citizens" have become "taxpayers" and government's only role is to ensure that the wealthy stay wealthy and the working class fight amongst itself -- david being a perfect example of this - assuming he is not of the ruling class himself. (and if he isn't, by his logic, it's his fault that he isn't)

    • bbinottawa
      December 12, 2013 - 07:46

      @another businessman. You really aren't that much of a businessman if you think that Canada Post is funded by taxpayers. I would urge you to do your homework before making a statement like that! Canada Post has been funding the coffers in the last few decades, except for the decline which started with fiscal losses as of last year. Of, and by the way, how many business emails have you reveived in the last year? And how many e-invoices? How many was that again? Maybe YOU are part of the reason why the postal service is becoming obsolete.

  • david
    December 11, 2013 - 11:50

    They'll lower the service by 80%, reduce the labour force by 20% with golden severance packages, and promote everyone that's left to newly created "lower management" positions with 10 -20% raises. Comemorative stamp, anyone? Stamp collecting is fun! Collect all 5,000 today.

  • John
    December 11, 2013 - 11:08

    These changes are anti-consumer, anti-small business, anti-union, anti-rural, but they are pro big business. Enough said.

    • Chris
      December 11, 2013 - 14:46

      Please in your supreme wisdom explain your ideology.