Canada Post and the Canadian Union of Postal Workers (CUPW) reached a tentative agreement Tuesday after four days of intense mediation.
Neither party got exactly what it wanted, but the two-year collective agreement – half the duration of a typical contract – avoided a planned postal disruption.
On Thursday, with its mandate about to expire, the CUPW issued a 72-hour strike notice to its employer. It planned to implement a rotating overtime ban, beginning in Alberta and the Northwest Territories.
The union successfully defended defined benefit pension plans for its new employees and continues to fight for pay equity for its mostly female, rural carriers.
CUPW is the only remaining employee group within Canada Post that has a defined benefit plan for new employees.
The new collective agreements will last just two years, meaning both parties will be back at the bargaining table next year, exploring many of the same unresolved issues.
In a bulletin to members, CUPW said it expects Canada Post to come after pensions in the next round.
The agreement in principle also establishes a pay equity committee. The independent body will issue a final decision in 19 months.
This wait is a source of frustration among members said CUPW Edmonton local president Larry Dionne.
“Because of the huge amount of mistrust with Canada Post the RSMCs (rural and suburban mail carriers) feel very let down that they have to wait for 19 months,” said Dionne. “On a personal level, I’m confident that the process will follow through and that we will have made gains for pay equity not just within our union but across the country.”
Previous pay equity complaints against Canada Post have ended in lengthy court battles. The Public Service Alliance of Canada, which represents government employees, filed a complaint in 1983 that took 30 years to resolve. The Canadian Postmasters and Assistants Association is still locked in a court battle that began in 1993.
Both parties signed a memorandum of understanding Thursday, outlining the process.
The joint committee will consist of three representatives from the union and three from the Crown corporation. Each party will appoint an independent pay equity consultant and agree on the appointment of an experienced arbitrator who will hear differences arising from the process.
Any disagreements that remain unresolved during the process will be forwarded to the arbitrator for binding resolution.
CUPW stated it was confident this report would show that rural postal workers make 30 per cent less than their urban counterparts and that it will finally resolve the RSMC pay equity issue.
“Canada Post will not be able to play games with the results; if they do we will strike,” reads a statement issued Wednesday.
If a wage gap is identified by the report, payments will be retroactive to Jan. 1, 2016.
The tentative collective agreement must be ratified by a majority vote of members from each bargaining group – for rural and urban employees respectively. No details have been released on when this vote will take place.
Dionne expects that the results will be in favour of the agreements, but doesn’t expect a resounding yes vote.
“On the urban side a lot of the issues aren’t addressed, like with the letter carrier methods, the ratio for part-time and temporary staff and pay increases,” said Dionne.
Both parties had been working with a federally appointed mediator since Friday. Talks were extended twice since the weekend to avoid the disruption to postal service planned for Monday.
