The Canada Post strike is in its fourth week, with some Canadians saying they are frustrated by the big delivery companies they rely on as alternatives, including FedEx, UPS and Purolator.
“Call Federal Express express It’s kind of a sick joke,” said Neil Roberts, a former civil servant in Ottawa who tried to send the 100-gram letter via FedEx.
My bill was $35.29 and it took over a week to reach my destination.
The Canadian Union of Postal Workers (CUPW) went on strike on November 15th.
A Canada Post spokesperson told CBC that the company wants to use part-time workers to make affordable weekend deliveries, but unions are opposed to this.
The union is also calling for wage increases to, among other things, meet the cost of living.
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Crown corporations and unions remain far apart, so Canadians impatient for the two sides to reach an agreement are turning to private companies.
Some small businesses at the Ottawa Christmas Market in Lansdowne Park told CBC Ottawa they’ve managed to keep their heads above water during the strike, but they’ve been forced to hire couriers who charge higher prices. He said that his profits were reduced by using it.
Iain Carrillo, who works at El Tambache Crafts, said he’s been hurt because he doesn’t want to force his customers to pay higher shipping costs.
“We have not changed our online costs to reflect the higher rates, which may impact the cost of our products in the future. However, we will maintain those prices,” Carrillo said. “We want to make it fair for everyone.”
Meanwhile, Ingrid Bjornsson of Thor’s Trinkets said she has almost completely stopped delivering via couriers because of the “exorbitant costs” of using them.
“In many cases, people are paying more for shipping than for the item itself,” she says.
Some people are frustrated not by the money, but by the waste of time.
Joshua Lantier, who co-owns Yaval Luxury Mongolian Marketplace, said the cost of shipping with Canada Post and UPS is about the same because of discounts available through the store’s platform Shopify. .
Still, he plans to return to Canada Post once the strike is over, as the post office’s longer hours allow for more flexibility.
“Last weekend, we had some orders from Black Friday that we had to deliver,” he said. “By the time I managed to get out of there, UPS [was] It was already closed around 4pm on Saturday. ”
Solder Metals owner John Shaw said while his book hasn’t had a major impact, it’s “frustrating” to spend so much time learning new systems, managing deliveries and figuring things out.
Others are surprised by the fees charged by private couriers for even small and light mail items.
Dennis Dunack, who lives in the rural Ottawa community of Vaals, wanted to mail a Christmas card to his son in Vancouver. UPS told her it would cost $57, and FedEx quoted her $62.
“I couldn’t believe it,” she said. “I was very upset.”
Canada Post stamps cost between 99 cents and $1.40, depending on the weight of the card.
Reasons why delivery fees are high
Ian Lee, a business professor at Carleton University who has studied Canada Post’s revenues, said Canada Post has a “monopoly” written into the law, and that private couriers “can take over the Post Office’s set fees.” He said this meant letters would have to be delivered “four to five times faster.” And practice.
Canada Post is a for-profit company that is not funded by taxpayers, but because it is a Crown corporation, it receives government support that its competitors do not.
For example, Canada Post does not have to contribute to employees’ pensions because the federal government pays for all of Canada Post’s costs.
Lee said to truly compete with private couriers, Canada Post needs to start charging actual delivery fees.
“The price of home delivery is high because it breaks even. It’s sustainable. Canada Post has been in the red for six consecutive years,” he said.
Lee predicts the Canadian government will have to bail out Canada Post in 2025.
He also pointed out that private delivery companies may implement “dynamic pricing,” which increases prices when demand increases.
Prolater told CBC it hasn’t done anything like that since the strike began, but that it adjusts prices every September and introduces additional charges on some items in early November. spoke. This is a “common industry practice” during the holidays “to manage higher-than-normal prices” of increased shipping volumes and fees. ”
A FedEx spokesperson said the company does not use dynamic pricing and has not introduced new fees or charges since the labor disruption began.
UPS did not respond to CBC’s questions by deadline.