With Canada Post strike underway, small business owners scramble to make other arrangements
Jenna Benchetrit | CBC News | Posted: November 15, 2024 5:37 PM | Last Updated: November 18
'I'm so used to Canada Post. That's all I've ever worked with,' says owner of online shop
With Canada Post workers on strike as of Friday morning, small business owners across Canada who rely on the service — especially during the busy holiday season — say they're scrambling to make alternative arrangements.
Sterling Slingerland, a small business owner in Oshawa, Ont., runs an online gift shop that makes and sells suncatchers, hats and stickers, and commissions artwork from other artists.
Slingerland said Sterling's Suncatchers has ended online shipping and that, for the time being, local customers will have to pick up their purchases.
But the majority of the shop's clientele is in the U.S., Slingerland said.
"I'm so used to Canada Post. That's all I've ever worked with. And they're right around the corner. I know the people at the mail office. I know the guy that comes to the door," added the small business owner.
"I love our postal workers and I don't blame them for going on strike at all because I know the cost of living is going up, and they have families, too."
Slingerland isn't used to working with courier services like UPS or FedEx, instead using Canada Post because they offer small business discounts — and because they do direct pick-up, which is helpful because Slingerland has a disability.
Slingerland will make an arrangement with UPS or FedEx if the Canada Post strike is long-term, but the prospect of that is nerve-wracking. "I know that UPS is $3 or $4 more, which it sounds like a small amount, but it adds up quickly."
The Canadian Federation of Independent Business (CFIB), which represents independent businesses across the country, called on the federal government Thursday to use all its powers — including binding arbitration or back-to-work legislation — to end the disruption.
Labour Minister Steven MacKinnon said on Friday that the government is currently only looking to resolve the matter through negotiation.
Corinne Pohlmann, executive vice-president of CFIB, told CBC News it's "somewhat disappointing" that the federal government is pushing for negotiation rather than binding arbitration.
"We're hoping that there can be some resolution given to this issue sooner rather than later, because the impacts can be quite tough on a lot of small businesses, especially at this time of year."
The CFIB said in its statement that about 80 per cent of small businesses in Canada rely on Canada Post for shipping goods or for invoicing or receiving payments.
WATCH | Small businesses will take hit from Canada Post strike, says CFIB exec:
No alternative, small business owner says
Other prominent Canadian business leaders called on the federal government to step in and end the Canada Post strike.
"If there was ever a time for the Government to take action, it's now," wrote Shopify president Harvey Finkelstein in a post on X.
"Canada Post going on strike 2 weeks before Black Friday devastates small businesses. As the leading Canadian carrier this has massive consequences — small businesses will unfairly bear the brunt."
Earlier in the week, some small businesses were already bracing themselves for impact.
"Letter mail doesn't have an alternative, and that's what most of our shipping is," Rémi Vienneau LeClair, owner of Comic Hunter in Moncton, N.B., told CBC News.
"It's asking people if they want to pay $20 instead of $2. It's not really an alternative."
Christopher Green was trying to ship a package through Canada Post to help out his partner, who runs a small business called Adora's Boutique in Whitbourne, N.L., but when he got there, the strike was underway already, he said.
"It's hard as a business, especially at this time of year," he said. "We got a lot going on, and you want to be able to get your orders out to your customers. I feel for the post office, but in this economy, we gotta keep things moving.
"We understand there's a lot of interests at stake, but it definitely makes it tough on the small business."
One shop owner in Toronto said that a strike would potentially cost his store $60,000 a month.
"Without being able to ship our product, it pretty well shuts down that part of our sales channel," said Don McCowan, owner of Wheels and Wings Hobbies, a store on Danforth Avenue in Toronto's East End.
McCowan said he'll try to arrange a backup plan with UPS. But he said that courier companies charge more — and with smaller volumes, choosing a new service "would eat into our profits."
"Forty-five per cent of our business goes out through Canada Post. So if all of a sudden we can't ship that 45 per cent, you can't meet your overhead."
Teamsters Canada has said its members at Purolator won't handle any packages postmarked or identified as originating from Canada Post.
Spokesperson Christopher Monette said in an email ahead of the strike announcement that the CUPW has the Teamsters' full support and that they believe good union jobs are essential pillars of Canadian society.