Canada Post and the Canadian Union of Postal Workers say they have reached tentative five-year collective agreements covering both urban postal workers and rural and suburban mail carriers.
Canada Post said Dec. 22 the parties have finalized contractual language for new collective agreements after reaching agreements in principle in November. Canada Post said the tentative deals include higher wage increases, enhanced benefits and a weekend parcel delivery model, with both agreements running to Jan. 31, 2029.
According to Canada Post, wages would rise 6.5 per cent in the first year, including a five per cent increase already received, followed by a three per cent increase in the second year. For years three through five, Canada Post said annual wage increases would match the Consumer Price Index. Canada Post also said there would be no changes to employees’ defined benefit pension.
Canada Post said the agreements include an enhanced health benefits plan and improved income replacement for injury-on-duty leave and leave under the short-term disability program. Canada Post also said the deals would lock in six non-carry-over personal days, for a total of 13 personal days.
The union said its national executive has voted to accept the tentative agreements and recommend members vote yes. Lana Smidt, the union’s lead negotiator for the urban operations unit, said the union secured higher wages with inflation protection, improved benefits with no change to premium cost-sharing, and the retention of Article 53 job security language in the urban collective agreement.
Smidt said the tentative package also includes limits on late start times for letter carriers in sequenced sort delivery offices, along with protections for 393 corporate retail counters. François Senneville, lead negotiator for the rural and suburban mail carrier unit, said the tentative agreements do not include load levelling or dynamic routing for either bargaining unit, and he also pointed to the Jan. 31, 2029 expiry date as added stability.
Canada Post said it will maintain current job security provisions for urban employees and enhance job security provisions for rural and suburban mail carriers. Canada Post also said the number of corporate post offices protected under the collective agreement would be adjusted to 393, and rural and suburban mail carriers would move to an hourly rate of pay.
On the short-term disability program and personal days, the union said contractual language on those items has not yet been finalized and is to be completed by Jan. 16, 2026, based on an agreed framework. Smidt said proposed changes to the short-term disability program include keeping Canada Life out of the process for the first 28 days of illness, if Canada Post’s supplemental unemployment benefits plan receives regulatory approval.
Both sides said the union will manage a ratification vote for CUPW-represented employees. Canada Post said the parties have agreed there will be no strike or lockout activity during the ratification process, and the union said the vote will take place once the remaining language is finalized, with details to follow in the new year.
The tentative settlement follows a prolonged round of labour talks that has repeatedly disrupted mail service and created uncertainty for collectors, dealers and auction firms that rely on timely delivery.
A nationwide strike began Nov. 15, 2024, affecting postal operations across the country and prompting calls from within the collecting community for a swift resolution.
Negotiations remained contentious into 2025, with job action continuing to shape concerns about service reliability and delivery timelines.
The dispute returned to the forefront this fall when CUPW began a national strike on Sept. 25, 2025. The union later shifted to rotating strikes starting Oct. 11, with work stoppages moving region to region.
CUPW has provided a detailed breakdown of the tentative agreement on its website.