While the excitement surrounding holiday shopping is already being felt and discounts surrounding Black Friday are multiplying, consumers who do their Christmas shopping online could have to pay more if Canada Post mail carriers or their employers put their plan in execution on Friday.
Published at 5:00 a.m.
What you need to know
- The Postal Workers Union filed a 72-hour strike notice on Tuesday morning. The employer responded with a lockout notice.
- Retailers who do business with Canada Post will need to find other transportation options to deliver their online orders. These could be more expensive for merchants, who will pass on part of the bill to customers.
- The work stoppage could cost consumers more, many of whom have already started doing their Christmas shopping online.
Retailers who use the Crown corporation’s services to deliver their packages risk finding themselves with a scheduling headache…and additional costs to absorb.
“This is not good news at all,” says Michel Rochette, president for Quebec of the Canadian Retail Council (CCCD).
For Jessika Roussy, co-owner of Mode Choc, which has 11 clothing stores, the possible conflict could not come at a worse time. “It is certain that a Canada Post strike during the Black Friday period is the moment that hurts merchants the most, especially [pour les acteurs] Quebecers who now consider November to be the busiest month of the year for online sales. »
According to NETendances, “in 2023, 74% of Quebec adults have personally made at least one online purchase.” And nearly 87% of consumers prefer home delivery rather than in-store pickup, the Quebec Retail Council (CQCD) recently reported.
Thus, after the lockout of the two main railways in August and the recent conflicts at the ports of Montreal and British Columbia, where a return to work was announced on Tuesday, now the threats of strike and lockouts weighing on Canada Post are giving little respite to retailers who are entering their most lucrative period of the year, underlines Mr. Rochette. After a year of negotiations, the Postal Workers Union filed a 72-hour strike notice on Tuesday morning. Eight hours later, the employer sent its own lockout notices.
PHOTO ROBERT SKINNER, LA PRESSE ARCHIVES
Michel Rochette, President for Quebec of the Retail Council of Canada
If the labor dispute breaks out, retailers and consumers could have to pay the price, fears Michel Rochette. This is because the merchant who does business with the Crown corporation to deliver a games console, a headset or even Christmas pajamas, for example, will have to turn to other transport options which could be more expensive and less well organized.
“Unfortunately, this is a huge problem in a context where Black Friday is approaching,” recalls Mr. Rochette. There are a lot of people who will buy online, we need real-time delivery. When we have less capacity, we will look for solutions which are necessarily always more expensive. There is a part that retailers will have to absorb and a part will have to be borne by customers. »
“Our team is analyzing the impacts and implementing alternative transportation solutions so that customers have as little impact as possible,” says Jessika Roussy. To remain competitive, we will have to absorb costs; as is often the case, I expect most Quebec retailers to absorb the bill. »
Online orders [pour le temps des Fêtes] have already started. During this period, that represents hundreds and hundreds of orders.
Paul-André Goulet, owner of 10 Sports Experts stores
Mr. Goulet, however, is not likely to be affected if the conflict arises, since he does not use Canada Post for his deliveries.
Faced with threats of disruption, the Renaud-Bray group (Renaud-Bray bookstores, DeSerres, Archambault stores, Griffon stores) has reviewed its way of working by finding other transport solutions in order to be able to deliver on time and at no additional cost orders for books, art materials or board games, which are increasing sharply from the month of November, confirms the communications director of the company, Floriane Claveau.
Dissuading consumers
Furthermore, such disruptions risk creating insecurity among consumers who may decide not to shop on their computer or phone. “The risk exists,” recognizes Michel Rochette. If the cost is impacted and there are delays, for people, that can make the difference. The cost of delivery is part of the equation and the delivery time is also part of it. »
To this, Paul-André Goulet replies that physical stores will always be there. Often, a week before Christmas, he observes that consumers order much less online and go directly to the store to be sure of having a gift to place under the tree. “Whatever the customer wants online, I have it in store. And it will be faster. »
Hope for an agreement
In Ottawa, federal Labor Minister Steven MacKinnon said that, at a time when many consumers had begun their holiday shopping, “the challenges of negotiations with Canada Post [étaient] important”.
If he held a press conference Tuesday to announce that he was seeking binding arbitration to allow a return to work at the ports of British Columbia and that of Montreal, Mr. MacKinnon maintained that he wants to give a negotiation luck in the case of Canada Post.
“We hope to reach an agreement at the negotiating table,” he said. I know the parties are negotiating [mardi]and we will make every effort to keep them at the table and continue talking. »
In 2018, Ottawa passed special legislation to put an end to the rotating strikes that had been initiated by Canada Post union members. This time, “we hope to reach a negotiated agreement,” reiterated the minister.
Salary increases, the pension plan, the expansion of services offered by Canada Post and occupational health and safety issues are among the main points on which the parties do not agree.
