Canada Post and the Canadian Union of Postal Workers are still at an impasse, after continued intensive negotiations. Canada Post had proposed binding arbitration on July 8, which the CUPW rejected the same day.
However, as bargaining continues for the CUPW and Canada Post, another collective agreement was reached. Arbitrator Michel G. Picher has accepted Canada Post’s proposal in the final offer selection process to reach a new collective agreement with the Canadian Postmasters and Assistants Association.
“Canada Post is appreciative that the arbitration process efficiently expedited the resolution of difficult bargaining issues between us and the CPAA,” says Canada Post President and CEO Deepak Chopra.
Key changes under the new collective agreement include a defined contribution pension plan for new employees represented by the CPAA. Except for employees represented by the Canadian Union of Postal Workers (CUPW-Urban and CUPW-RSMC), every employee group at Canada Post has a defined contribution pension plan for newer employees.
It exists for management and exempt employees hired after January 2010. It was negotiated with the Public Service Alliance of Canada/Union of Postal Communications Employees (PSAC/UPCE) for administrative and technical employees hired after May 2014.
A defined contribution plan was also negotiated with the Association of Postal Officials of Canada (APOC) for supervisors and employees in supervisory support groups hired after February 2015.
The new collective agreement with the CPAA also includes changes to entry-level wages which are in line with changes previously negotiated with other bargaining units.
There is also an increase in employee contributions for post-retirement benefits, from 25 per cent to 50/50 cost-sharing with the employer. The wages and benefits package includes modest wage increases and remains competitive while reducing future costs through changes for new employees. Reducing future costs is necessary to respond to the changing needs of Canadians for postal service while respecting Canada Post’s mandate to be financially self-sustainable.