Canada Post, CUPW reach tentative five-year labour deals

Canada Post and the Canadian Union of Postal Workers (CUPW) have reached tentative agreements covering both urban employees and rural and suburban mail carriers.

The deals follow agreements in principle reached in November, with contractual language now finalized for new five-year collective agreements running until Jan. 31, 2029.

The tentative agreements include higher wage increases, enhanced benefits and a new operating model to support weekend parcel delivery. Wage increases include a 6.5 per cent increase in the first year, including five per cent already received, followed by a three per cent increase in year two. In years three through five, wage increases would be tied to the annual inflation rate under the Consumer Price Index.

The agreements maintain the defined benefit pension plan for both bargaining units and include improvements to health benefits, income replacement for injury-on-duty leave and the short-term disability program. Employees would also receive six non-carryover personal days locked into the agreement, bringing the total to 13 personal days.

For urban workers, the agreement maintains existing job security provisions and adjusts the number of protected corporate post offices to 393. For rural and suburban mail carriers, job security provisions would be enhanced and employees would move to an hourly rate of pay.

The union will oversee a ratification vote among its members. During the ratification process, both parties have agreed not to engage in strike or lockout activity.