Canada Post will begin resuming operations this weekend as its union shifts from a national shutdown to rotating strikes, a move that keeps the threat of disruption alive for businesses heading into peak shipping season.
The postal operator said “customers should expect delays” as facilities restart and backlogs are cleared, with on-time guarantees suspended and new commercial volumes not accepted until Wednesday, October 15.
The union plans to begin rotating walkouts at 6 a.m. local time on Saturday, October 11, which means service conditions will vary by location as work stoppages move from plant to plant.
The company warned that parcels already in the network cannot be retrieved until affected sites resume processing.
The update underscores how fragile the restart will be after the national stoppage that began September 25 Canada Post corporate update.
The longer the uncertainty lingers, the more parcel share slips away. Canada Post’s own annual report says its parcel market share fell to 24 percent in 2024 from 62 percent in 2019, even before the latest labor turmoil.
The strike in late 2024 alone added an estimated net negative impact of $208 million to that year’s results.
These figures capture a structural loss of momentum in e-commerce delivery that accelerated as customers learned to hedge against stoppages Canada Post 2024 Annual Report.
In a statement announcing a transformation plan on September 25, the government lifted the moratorium on community mailbox conversions and asked Canada Post to modernize its network, including rural outlets, to cut costs.
Minister Joël Lightbound called the current state “unsustainable,” saying the Crown corporation is “effectively insolvent” and losing “approximately $10 million every day.”
Those changes are pitched to stabilize finances but could also reshape how and where Canadians receive parcels for years government statement on transformation.
Many retailers already maintain multi-carrier setups so they can toggle volumes to UPS, FedEx, DHL, Purolator and Amazon-aligned last-mile partners when postal capacity tightens.
Faster pickup windows and later cutoffs help them keep next-day promises, and multi-origin fulfillment spreads the risk across networks. This shift is visible across freight too.
CPKC reported Q2 revenue as growth accelerated into the second half, while Canadian National maps a C$3.4 billion push to expand rail capacity.
Those investments are distant from a shopper’s doorstep, but they reinforce a broader logistics backbone that private couriers can tap as parcel flows flex away from the postal network.
Rural and remote small businesses often have only one or two viable alternatives, and those options can carry remote-area surcharges, longer lead times and fewer pickup days.
When a rotating walkout hits the closest processing hub, shipments can stall for several days. Many SMEs will pass higher costs to customers, trim free-shipping thresholds or delay promotions to preserve margins.
The squeeze lands just as five provinces lift minimum wage on Oct. 1, a payroll headwind that can compound shipping expenses for lean operations.
Public policy is edging toward relief in some corners, but it is piecemeal. Earlier this month, Ottawa unveiled a tariff relief program for B.C. small businesses, aimed at cushioning import costs.
None of that offsets the immediate calculus for a rural seller trying to get an order to a customer two provinces away next week.
The business takeaway is simple: if rotating strikes persist, parcel share is likely to keep migrating to rivals, particularly in urban markets where alternatives are abundant.
Rural SMEs will shoulder more of the cost and reliability risk until negotiations deliver certainty. Canada Post has signaled it wants a deal that supports a more flexible, seven-day-a-week parcel model.
The financial math, the competitive pressure and the daily reality for small firms suggest time is not on anyone’s side.