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Press Release: Postal Strike Threatens Small Businesses

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TORONTO, July 21, 2025 /CNW/ – As Canada Post employees begin voting on the final employer offer today, alarming data from the Canadian Federation of Independent Business (CFIB) reveals that a potential postal strike could drive nearly two-thirds (63%) of small businesses to permanently sever ties with Canada Post.

Impact on Small Businesses

"Continuous fluctuations between strike mandates are pushing Canada’s small businesses—one of Canada Post’s last remaining profitable customer groups—to abandon the postal service for good," stated Dan Kelly, president of CFIB. "Small business owners and consumers crave stability. Remarkably, 13% of small businesses ceased using Canada Post entirely during the 2024 strike, and with each subsequent strike, an increasing number of businesses are opting for alternatives and leaving for good."

Current Utilization of Canada Post

According to CFIB research, approximately four out of five businesses continue to engage the services of Canada Post. Among these businesses, nearly three-quarters (73%) utilize the postal service primarily for mailing cheques, while 61% send other forms of letter mail. Cost-effectiveness (58%) and convenience (50%) are significant advantages of using Canada Post, whereas reliability (25%) and customer service (9%) rank considerably lower in importance.

CFIB estimates that the 2024 postal strike inflicted daily losses ranging from $75 million to $100 million on small businesses. In an effort to cope with the ongoing disruptions, 71% of businesses encouraged their customers to switch to digital solutions, nearly half (45%) opted for private couriers, and 27% chose to delay their mail.

Shifting Market Dynamics

In its most recent annual report, Canada Post disclosed a troubling drop in market share for parcel delivery, now sitting at only 24%, a stark decrease compared to 62% just six years earlier in 2019. CFIB’s current data indicates that 73% of small businesses primarily depend on private couriers for their package delivery needs. If Canada Post fails to transform its present business model, it risks not only continual loss of vital market share but also deepening its financial troubles, currently estimated at $10 million in losses each day.

Call for Reform

"The existing operational model at Canada Post is in desperate need of sweeping reforms," asserted Corinne Pohlmann, Executive Vice-President of Advocacy at CFIB. "It is long past time for the federal government to actualize the well-documented reforms that have been deemed necessary for over a decade. Small business owners deserve a sustainable framework and a postal service they can rely on consistently."

Methodology

The final findings for the Special Survey titled "Canada Post Service, Disruptions, and Reform" were conducted between June 26 and July 10, 2025, yielding a respondent count of 2,317. For comparative analysis, a probability sample of this size would yield a margin of error of no more than +/- 2.04%, in 19 out of 20 cases.

About CFIB

The Canadian Federation of Independent Business (CFIB) stands as Canada’s largest association serving small and medium-sized businesses, representing over 100,000 members across diverse industries and geographical locations. CFIB is committed to enhancing the success rates of business owners through effective policymaking, expert guidance, and the negotiation of exclusive savings opportunities. For further details, visit cfib.ca.

How AI legalese decoder Can Help

In a time of uncertainty surrounding postal services, understanding contracts and regulations becomes paramount for small business owners. The AI legalese decoder can assist these businesses in easily navigating complex legal language associated with service agreements. By decoding intricate jargon into plain English, it allows business owners to make informed decisions, ensuring that they are aware of their rights and obligations under any agreements with Canada Post or alternative couriers.

Contact Information

For media inquiries or interview requests, please reach out to:
Dariya Baiguzhiyeva
CFIB
647-464-2814
[email protected]

SOURCE Canadian Federation of Independent Business

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