Canada Publish studies $ 1.3B running loss with a decline in each letters and parcel earnings
The Canada Post is reporting a loss of $ 1.3 billion in operational expenditure in its 2024 annual report.
The Crown Corporation sold some undertakings and made for some of the disadvantages that include Logistics business that it was sold in January last year,
Except tax – and accounting for its division – the disadvantage of Canada Post was a total of $ 841 million. It is larger than a loss of $ 748 million reported in 2023, and in 2022 when it was lost $ 548 million.
The last time Canada Post made a profit in 2017. Overall, the Crown Corporation says it has lost $ 3.8 billion since 2018.
The Canada Post said in a news release that both traditional letters and parcel delivery have declined in volume and revenue, and the corporation faces strict competition from a private parcel carrier.
“Our current structure was designed for a past era of the letter mail – the status quo has brought us to the verge of financial insolvency and not an option. There is a need to change, answer our challenges and secure this important infrastructure for the future, more than before,” CEO Dug Itating said in the news.
The report stated that the revenue fell $ 683 million from parcel delivery alone compared to 2023.
Another great strike
The corporation also said that Late last year postal workers strike Contributed to a loss of $ 208 million. This latest annual report comes with another possible strike.
The final strike ended when the federal government ordered the employees to work under their current contracts, which were extended by 22 May to allow the bargaining process to be resumed.
Those contracts have been abolished, and the union is still in disagreement with the corporation on several issues, with the intention of appointing part -time workers for delivery instead of paying overtime for the weekend of weekend, worker salary, profit, pension and Canada post.
The Canadian Union of Postal Workers issued a strike notice last week, but the talks are going on.
CBC The news has asked the Sangh for a statement about annual reports and talks.
Newly appointed public Works Minister Yoel Lightbound Is there no indication that the government will intervene if there is another strike.
A spokesman of a spokes of a spokesman of a spokesman “a spokesman” Lightbound The office said in an email.
‘I don’t think I can rely on Canada post’: Business owner
Canadian post disadvantages do not come as a wonder to scott WingfieldVictoria natives operate a small business shipping art products ranging from local artists to customers across the country.
Wingfield Said that he trusted a lot on the Canada post, but began to move away because the Crown Corporation has become less reliable.
“I have trusted the Canada post for about 98 percent of my business. … When the strike took place last time and it was over, I completed most of my shipping. So I would say that about 60 percent of my shipping no longer goes through the Canada post.” They told CBC news.
“I don’t think I can rely on Canada Post.”
Canada Post has a monopoly on Canadian letter distribution. But financial reports suggest that the Crown Corporation alone lost $ 748 million in 2023 and is expected to get out of money in early 2025. Andrew Chang explains how – even when parcel delivery is at an all -time high – the company cannot hold a brake, and what it means to your mail. Improvement (November 12, 2024): An old version of this detail stated that the Canada Post lost $ 748 million in 2024. This number is a total loss before tax to 2023. According to the most recent financial reports of the Canada Post, it has lost $ 490 million in the first two quarters of 2024 so far.
Marvin Rider, a business professor McMaster The university, said that financial losses could be piled up in 2025 if Canada Post was unable to bring back customers. Wingfield,
“Was uncertainty so long that people said” I can’t trust it? ” “Keep in mind, now we have got a second strike after six months,” he said.
A recent report by a commission made several recommendations on the Crown Corporation’s finance of finance, in which Canada posted after door-to-door mail delivery in homes. The Commission also stated that the corporation should allow part -time workers to distribute on weekends to compete with other companies.
Rider said that doing those changes can be important for the existence of the Canada Post.
“There is no guarantee that Canada post will return to profitability,” he said. “(But) a clock is ticking and you got to make significant changes within 12 months or this company may be in very deep financial conditions.”
