CUPW Workers to Come for Work despite Lockout Threat

This article was last updated on April 16, 2022

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The Canadian Union of Postal Workers has claimed that it is still unsure why Canada Post workers will be locked out on Friday morning. According to the president of the Canadian Union of Postal Workers Local 612, Al McMahon, “we have full intention to come into work Friday morning.” The president of the union representing around 250 Canada Post employees in Greater Sudbury and the surrounding region mentioned that “if the doors are locked, we walk. If they’re not we’ll be in there working and servicing the public.”

Along with the local’s second vice-president, Phil Marsh, McMahon addressed the media on Wednesday and explained that Canada Post did not budge from its original first offer to the union. However, Canada Post revealed in a press release earlier in the month that it tabled an offer on June 25 that included “modest and manageable” wage increases for all employees.

Quite noticeably, one of the major sticking points is pension plans for Canada Post employees. Current employees are on a defined benefit plan, where payouts are guaranteed at a fixed rate despite how well investments perform. However, Canada Post now wants to switch new hires to a defined contribution plan that will be more closely tied to the market and does not include guaranteed payouts after retirement. According to the Crown Corporation, it is maintaining the current pension regime for new hires would cost around $1 billion. But McMahon mentioned that “that $1 billion they’re claiming it will cost if they took our offer is erroneous.”