{"id":168968,"date":"2025-09-25T19:09:13","date_gmt":"2025-09-25T19:09:13","guid":{"rendered":"https:\/\/www.newsbeep.com\/ca\/168968\/"},"modified":"2025-09-25T19:09:13","modified_gmt":"2025-09-25T19:09:13","slug":"canada-post-can-end-door-to-door-delivery-close-some-offices-ottawa-says-national","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ca\/168968\/","title":{"rendered":"Canada Post can end door-to-door delivery, close some offices, Ottawa says – National"},"content":{"rendered":"

Canada Post<\/a> will be allowed to end door-to-door mail delivery<\/a> to individual addresses and close or convert some post offices in a bid to stabilize its operations and restore its financial footing, the federal government announced Thursday.<\/p>\n

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The government will also allow Canada Post to adjust its delivery standards for non-urgent letter mail, allowing it to be moved by ground instead of air to \u201creflect today\u2019s lower volumes.\u201d<\/p>\n

Jo\u00ebl Lightbound, the minister responsible for Canada Post, said the changes are necessary to ensure the survival of the beleaguered national mail carrier and Crown corporation.<\/p>\n

\u201cThis situation is not sustainable,\u201d he said. \u201cCanada Post is effectively insolvent, and repeated bailouts are not a long-term solution.\u201d<\/p>\n

The government has had a moratorium in place on converting home delivery to community mailboxes since 2015.<\/p>\n

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With that barrier lifted, the remaining one-quarter of Canadians still receiving daily mail delivery \u2014 about four million addresses \u2014 will now be served by community, apartment or rural mailboxes instead.<\/p>\n

Lightbound said those conversions will happen over the next nine years, \u201cthe bulk of which\u201d will be in the next three to four years.<\/p>\n

The government says lifting the community mailbox moratorium alone will save Canada Post $400 million annually, with another $20 million saved by relaxing delivery standards.<\/p>\n

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A government official said Thursday that the two-to-four-day delivery standard for regular mail will be relaxed to between three and seven business days.<\/p>\n

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The official could not immediately say if businesses will see similar delays in their mail or if they could also be served by community mailboxes going forward.<\/p>\n

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They noted that Canada Post has a program in place for people with mobility issues and other needs to register for home delivery in areas served by community mailboxes.<\/p>\n

\t\t\t\tRural mail delivery won’t end, minister says\n\t\t\t\t\t\t<\/p>\n

Lightbound said lifting the rural post office moratorium \u2014 which has been in place since the 1990s \u2014 reflects the fact that many areas once considered rural have grown to become suburban or urban in the decades since. The moratorium had ensured post offices operating as close as 400 metres from each other in those areas were forced to stay open unnecessarily.<\/p>\n

Lightbound insisted the change will not mean rural communities lose access to their mail.<\/p>\n

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\u201cI want to be clear: Canada Post has an obligation to serve all Canadians in every community in Canada, and that will not change,\u201d he said.<\/p>\n

Lightbound said Ottawa will also be reviewing how to \u201cmodernize and shorten\u201d the process for increasing stamp rates, a key revenue line for Canada Post.<\/p>\n

Canada Post will be tasked with delivering an action plan within 45 days on how it plans to put the changes into place, including their impact on workers and customers, as well as a plan on how to protect rural and Indigenous mail service.<\/p>\n

The minister said he\u2019s also asking Canada Post to take \u201cimmediate steps to address its financial challenges\u201d including finding efficiencies, reducing costs and overhead, and reviewing and \u201clightening\u201d its management structure.\u201d<\/p>\n

\u201cCanada Post is facing an existential crisis. It\u2019s an institution that is worth saving and we\u2019re beginning the work today,\u201d he said.<\/p>\n

The moves announced Thursday were among the government recommendations included in a report by the Industrial Inquiry Commission released in May<\/a>, which found Canada Post is essentially \u201cbankrupt\u201d and needed sweeping reforms to its business to stay afloat.<\/p>\n

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The company posted its worst-ever quarterly results last month<\/a> with a $407-million loss in the second quarter of 2025, and says it has lost over $5 billion since 2018.<\/p>\n

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Ottawa provided a $1-billion financial lifeline<\/a> in January to keep the company operational.<\/p>\n

Over the past 20 years, Canada Post has gone from delivering 5.5 billion letters annually to two billion, the company says, despite a growing population and number of households.<\/p>\n

Parcel deliveries have also declined thanks to what Lightbound said was customers turning to \u201cfaster and more efficient\u201d private competitors like UPS and Amazon. As a result, Canada Post\u2019s market share of those deliveries is now below 24 per cent, compared to 62 per cent in 2019.<\/p>\n

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The Canadian Union of Postal Workers, which has been seeking a new contract for over a year in an increasingly bitter labour dispute, began warning about the potential impact of cuts to the postal service last week, when news of a potential review of the government\u2019s Canada Post mandate began circulating.<\/p>\n

The company has frequently cited its dire financial situation for why it cannot meet many of the union\u2019s demands, particularly on wage increases and stopping contract work.<\/p>\n

Pressure has been building on the government for years<\/a>, and particularly after postal workers went on strike for over a month last winter, to step in and allow Canada Post to make necessary changes to its operations.<\/p>\n

In a statement, the Canadian Federation of Independent Businesses called the government moves \u201clong overdue\u201d but \u201ca positive step towards making necessary changes that have been recommended for more than a decade.\u201d<\/p>\n

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However, it warned the ongoing labour uncertainty makes another strike possible, and an ongoing ban by the union on delivering flyers is hurting small businesses.<\/a><\/p>\n

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\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\tCanada Post lost nearly $750M last year, future now uncertain\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/p>\n

Canada Post said last week it plans to present new global offers to the union that will \u201callow the parties to return to the table next week\u201d for negotiations.<\/p>\n

\u201cThe timing of the announcement coupled with new global offers could reveal a lot about Canada Post\u2019s plans for bargaining, our jobs and the future of the public post office,\u201d CUPW national president Jan Simpson said in a statement Thursday ahead of Lightbound\u2019s announcement.<\/p>\n

The union met with Lightbound last week but a follow-up meeting scheduled for this week was postponed.<\/p>\n

Lightbound said last week\u2019s meeting was \u201cproductive\u201d and that it informed his request to the company to take a \u201ccold hard look\u201d at its management structure, as well as modernizing the stamp rate process.<\/p>\n

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\u201c(CUPW workers) play an essential role in Canada Post\u2019s future and I know that \u2014 just as much as I do, just as much as Canadians do \u2014 they care very much about the future of Canada Post and its financial viability.\u201d<\/p>\n

\n\t\t&copy 2025 Global News, a division of Corus Entertainment Inc.\t<\/p>\n","protected":false},"excerpt":{"rendered":"Canada Post will be allowed to end door-to-door mail delivery to individual addresses and close or convert some…\n","protected":false},"author":2,"featured_media":89105,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[45,49,48,1848,6348,1849,87053,714],"class_list":{"0":"post-168968","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business","8":"tag-business","9":"tag-ca","10":"tag-canada","11":"tag-canada-post","12":"tag-canada-post-strike","13":"tag-consumer","14":"tag-mail-delivery","15":"tag-politics"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/168968","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=168968"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/168968\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/89105"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=168968"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=168968"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=168968"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}