Strike at Canada Post: losses of more than $1 billion suffered by retailers

Strike at Canada Post: losses of more than $1 billion suffered by retailers
Strike at Canada Post: losses of more than $1 billion suffered by retailers

The prolonged strike at Canada Post risks causing significant losses, even bankruptcies, to Quebec retailers who are urging Ottawa to intervene to put an end to the labor dispute which has lasted for almost three weeks.

The Retail Council of Canada (RCC) said the Canada Post employee strike would already have “disastrous effects” on retailers who are struggling to meet their customers’ Christmas shopping needs.

“The distribution sector knows that the best working agreement is negotiated between the two parties, but that is not the case here, and it is time to end this strike,” lamented Diane J. Brisebois, president. -general director of the CCCD, in a press release Tuesday.

For the CCCD, the prolonged walkout at Canada Post compromises its role, erodes public confidence and increases costs for retailers and consumers on the eve of the holiday season.

“The strike is putting jobs in Canada at risk, and businesses of all sizes are suffering the consequences,” observed the CEO of the Council, adding that this weighs on the cash flow of small retail businesses, whose survival is threatened.

Combined with the strike movement at Canada Post, the temporary GST holiday decided by the Liberal government is causing businesses to lose sales during the most important time of the year for retailers.

“The government hopes to make Christmas shopping more affordable thanks to a GST-HST holiday, while the strike of its state corporation makes electronic commerce impossible,” mentioned Ms. Brisebois who estimates the losses suffered by the sector to more than $1 billion.

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