Small e-commerce shipping companies that grew in popularity during the pandemic are experiencing a surge in demand for their services during the Canada Post strike, as businesses seek out alternative delivery options.as the Crown corporation and the union representing these workers remain at odds over the terms of a new collective agreement. On Tuesday, the Canadian Union of Postal Workers submitted proposals to Canada Post that it said would bring both parties closer to reaching a deal.
Sendle has more than 500 drop-off locations across Canada and utilizes packaging centres and convenience stores as drop-off points. Mr. Moody said his company has the capacity to handle increased parcel numbers and can service almost all of Canada, including remote and rural regions. Mr. Moody says utilizing third-party companies for deliveries is the most efficient way for him to run his business, and keeps his labour costs low. Canada Post’s labour model is built on thousands of full-time, part-time and temporary employees conducting both parcel and mail deliveries. Labour costs, according to Canada Post’s 2023 annual report, consume about 70 per cent of the company’s yearly revenue.
“We’ve even gotten requests for letter mail from individuals who have looked us up online. They’re asking us if we can deliver cheques. Many are saying they will continue using our services even after the strike ends as the pricing is more competitive and the transit times are much faster,” Ms. Cha said.
Senpex, a California-based courier company that is also increasing in popularity among Canadian retailers, uses independent contractors who own their own vehicles and work flexible hours, as opposed to hiring full-time delivery drivers. Shippie, a Mississauga-based startup, also uses the independent-contractor model for deliveries .
“This is a unique labour dispute because there is an entrenched impasse between both sides over the sectoral conditions that make the viability of the post office’s current model of employment difficult to envision in the long-term,” said Stephanie Ross, associate professor of labour studies at McMaster University.