By MorinvilleNews.com Staff
The Canada Post strike, now entering its second week, has cost Canadian small- and medium-sized businesses an estimated $765 million in losses, according to the Canadian Federation of Independent Business (CFIB). At a rate of $76.6 million in daily losses, the CFIB warns the strike could result in a total cost of over $1 billion by Wednesday if a resolution is not reached.
“It’s not Grinch who is about to steal Christmas. It’s Ottawa sitting idly on the sidelines while small businesses are losing crucial revenue and sales due to circumstances outside of their control. The Labour Minister recently said mediation talks have been suspended because the two parties remain too far apart to reach a deal and that a long labour conflict is a possibility, but he is the one who has the power to put an end to this mess,” said Corinne Pohlmann, Executive Vice-President of Advocacy at CFIB.
The strike has affected three-quarters of small businesses, with 41 percent reporting financial impacts averaging $2,000. These losses stem from late payments, reduced orders, higher delivery costs, and disrupted marketing efforts. Businesses across the country have shared their struggles, including a bookkeeping service in Alberta unable to access receivables stuck in the mail, an Ontario consulting firm forced to absorb higher shipping costs, and a Prince Edward Island seed supplier incurring storage fees for undelivered catalogues.
CFIB is calling on the federal government to implement back-to-work legislation or binding arbitration to bring the strike to an end. Nearly 70 percent of small business owners support such measures, citing the urgency of salvaging the holiday shopping season.
“Small firms have already missed the most important sales weekend of the year, with Black Friday, Small Business Saturday, and Cyber Monday,” Pohlmann added. “If the strike isn’t settled this week, Canada Post will not be a player for the entire holiday season given the backlog it will have to sort through before taking on new business.”
CFIB continues to advocate for government action, emphasizing the critical role small businesses play in Canada’s economy and the significant challenges they face during the ongoing dispute.
