Canada Post to deliver on recommendation?

Canada Post to deliver on recommendation?

A House of Commons committee is recommending Canada Post come up with a plan

OTTAWA — A House of Commons committee is recommending Canada Post come up with a plan to reinstate door-to-door delivery in parts of the country that lost the service in the last year and maintain a freeze on the installation of community mailboxes.

The report from the Liberal-dominated committee released Tuesday also says there is no need to reduce the number of days a week that mail is delivered, suggesting reduced service standards could accelerate the decline the corporation has seen in the number of letters handled.

The committee says that based on its hearings, Canadians are open to mail being delivered fewer than five days a week, but that “does not fit the business models of either Canada Post or its paying customers.”

Instead, the committee recommends increases in postal rates, muses about expanding Canada Post’s mandate to provide cellular services or broadband Internet, including email services or “the basis for a Canadian social network,” and suggests the corporation partner with e-commerce companies to increase revenues.

In a statement, Canada Post said it will study the recommendations in the report as it looks for major changes to keep itself viable.

The statement also points to another issue that appears in the report, namely the “difficulty in finding common ground” on the issues facing Canada Post.

There was also political dissent among committee members on how precisely the agency should change.

Conservatives on the committee said the recommendations do nothing to address Canada Post’s serious financial shortfalls.

Conservative public services critic Alupa Clarke said the majority report makes recommendations that are “either value statements, repetitious, or existing Canada Post practices” and avoids any discussion about the cost to Canada Post and taxpayers.

The NDP’s dissenting report criticized both the Liberals and Conservatives for closing the door on exploring postal banking services, an idea recommended by the postal union.

It was also critical of the recommendation to return door-to-door delivery only to those homes that lost the service after Aug. 3, 2015.

The corporation began reducing door-to-door delivery last year, arguing that it could save up to $450 million annually by moving five million more addresses to community mailboxes.

The committee said Canada Post provided “weak” financial information to support the estimate.

The committee notes that 830,000 addresses have been moved to community mailboxes to date, resulting in an annual saving of $80 million.

The union representing postal workers made the community mailbox issue a campaign issue and kept it in the public spotlight over the summer when Canada Post and the Canadian Union of Postal Workers stared down the threat of a work disruption amid questions about the future of the mail service.

A consultant’s report provided to the federal task force struck to review Canada Post operations, which the committee quoted in its report, predicted that Canada Post wouldn’t viable in the long-term without sweeping changes. The Ernst &Young report forecast annual losses of at least $700 million by 2026.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

A vial of the AstraZeneca COVID-19 vaccine is shown at a facility in Milton, Ont., on Wednesday, March 3, 2021. Alberta says it won’t give out more first doses of the Oxford-AstraZeneca vaccine for the time being.THE CANADIAN PRESS/Carlos Osorio - POOL
Alberta to stop giving first doses of AstraZeneca COVID-19 shot as supply dwindles

OTTAWA — Alberta says it won’t give out more first doses of… Continue reading

A Suncor logo is shown at the company’s annual meeting in Calgary on May 2, 2019. THE CANADIAN PRESS/Jeff McIntosh
Suncor Energy and Atco working together on potential hydrogen project

Atco would construct and operate pipeline and hydrogen storage facilities

Colonial Pipeline joue un rôle de premier plan dans le transport de l’essence, du kérosène, du diésel et d’autres produits pétroliers du Texas vers la côte Est.(AP Photo/Seth Wenig)
Pipeline officials hope most service will be back by weekend

Colonial Pipeline delivers about 45 per cent of the fuel consumed on East Coast

Alberta Premier Jason Kenney. THE CANADIAN PRESS/Jason Franson
Here is a list of latest COVID-19 restrictions in effect in Alberta

New mandatory health restrictions are now in effect in Alberta. Additional restrictions… Continue reading

In this June 8, 2017, file photo, fresh nuts, bolts and fittings are ready to be added to the east leg of the pipeline near St. Ignace, Mich., as Enbridge prepares to test the east and west sides of the Line 5 pipeline under the Straits of Mackinac in Mackinaw City, Mich. THE CANADIAN PRESS/AP-Dale G Young/Detroit News via AP, File
On eve of deadline, Canada makes case in court to keep Line 5 pipeline running

WASHINGTON — The federal government is stepping up its fight with Michigan… Continue reading

Denis Shapovalov, of Canada, tosses the ball for a serve to Ilya Ivashka, of Belarus, during the Miami Open tennis tournament Saturday, March 27, 2021, in Miami Gardens, Fla. THE CANADIAN PRESS/AP/Wilfredo Lee
Canadian Denis Shapovalov books spot in second round of Italian Open

Shapovalov to face world Stefano Travaglia, of Italy

This picture provided and painted by Bob Dylan in 2020 is called “New York Subways”. The largest collection of Bob Dylan’s artwork ever seen will go on display later this year in the U.S. “Retrospectum” spans six decades of Dylan’s art, featuring more than 120 of the artist’s paintings, drawings and sculptures. Building on the original “Retrospectum” exhibition that premiered in Shanghai, China, in 2019, the new version will include new, never-before-seen pieces and additional artworks from a brand-new series called “American Pastoral.” (Bob Dylan via AP)
Bob Dylan artwork to go on display in the U.S. this year

‘Retrospectrum’ spans six decades of Dylan’s art

FILE - Seth Rogen appears at the “Motherless Brooklyn” premiere in Los Angeles on Oct. 28, 2019. Rogen is the latest to jump into the podcast world. He’s making a series for the Stitcher podcast company where he interviews people with unusual stories to tell. (Photo by Willy Sanjuan/Invision/AP, File)
Actor Seth Rogen to tell stories in his own Stitcher podcast

Rogen to invite musicians, actors and comedians

Vancouver Canucks’ Nils Hoglander (36) scores on Winnipeg Jets goaltender Laurent Brossoit (30) during first-period NHL action in Winnipeg on Monday May 10, 2021. THE CANADIAN PRESS/Fred Greenslade
Hoglander scores twice as Vancouver Canucks dump slumping Winnipeg Jets 3-1

Hoglander scores twice as Vancouver Canucks dump slumping Winnipeg Jets 3-1

Edmonton Oilers' Dominik Kahun (21) celebrates with teammate Connor McDavid (97) after scoring the third goal against Montreal Canadiens goaltender Jake Allen (34) during second-period NHL hockey action in Montreal, Monday, May 10, 2021. THE CANADIAN PRESS/Ryan Remiorz
Canadiens clinch playoff spot with single point, fall to McDavid and Oilers in OT

Canadiens clinch playoff spot with single point, fall to McDavid and Oilers in OT

Rory McIlroy tees off on the fourth hole during the fourth round of the Wells Fargo Championship golf tournament at Quail Hollow on Sunday, May 9, 2021, in Charlotte, N.C. (AP Photo/Jacob Kupferman)
McIlroy ends 18 months without winning at Quail Hollow

McIlroy ends 18 months without winning at Quail Hollow

Most Read