What to do with Canada Post?

Posts Canada ended the year 2024 with a deficit of $ 841 million. Therefore, No, it’s not a small deficit. Moreover, Nor the first. Moreover, This is the seventh consecutive deficit year. For example, Since 2018, Posts Canada has accumulated a deficit of more than $ 3.8 billion before tax. Similarly,

There is something that does not work and trends do not show favorable signs for the state -owned company. For example, Do you have to rethink Canada Post? Consequently, Yes, without a doubt. Furthermore, Is privatization the only avenue or the best scenario? Consequently, There, should be seriously debating it. Moreover, Expand the discussion.

One of the problems in the current debate is that we have business people. For example, politicians and economists who always push the privatization of state societies, such as what do canada post? new the Montreal Economic Institute (IEDM). In addition, The only ones that seem to be against the idea are the NDP. However, the Canada Post Workers’ Syndicate that tries to protect jobs. However, Difficult to blame them for, that’s the mandate of a union.

Except that a labor conflict does not create much space to really discuss the issues, context and our collective needs. Additionally, However,

The package delivery industry and messaging is booming. For example, According to Statistics Canada, industry turnover doubled between 2013 and 2023, from 9 billion to $ 17.6 billion. For example, We could exceed 18 billion in 2025. Furthermore, For example,

It is not a declining sector, on the contrary. Meanwhile, And it’s not surprising. However, Online shopping also experiences continuous growth. Meanwhile, You can have the dress purchased online as its grocery store, its drugs, its lunch and so on. For example, In my accommodation building, there are always packages in the entrance hall. In addition,

Some say that Post Canada has not been able to adapt to market development. Nevertheless, Probably the directions of the Crown Company have missed turns. Meanwhile, But did the political community really allow post Canada to evolve? Therefore, The law supervising Post Canada has not changed much either. In addition,

In a way. Furthermore, Post Canada has suffered the same bad turn what do canada post? new as other industries governed by laws designed at another time. Similarly, And when new technologies have allowed new opportunities. instead of updating laws and regulations, we let new players seize the opportunities and companies that were already active in old regulations. We saw it in the world of taxis, media, culture. La Poste has gone through the same dynamic.

Purolator is one of the companies that take advantage of the explosion of the package and messaging deliveries service. In 2023, his income amounted to $ 2.7 billion. Purolator Canada belongs 91 % to Canada Post. Except that Posts Canada cannot use Purolator profits, these are two independent entities. It’s stupid.

It is a very strange paradox. Post Canada has not completely missed its evolution. She acquired Purolator long before online shopping was a concept. Purolator has made its place in this market. But it is as if Posts Canada had created its own competition. had developed expertise in this market, but outside the institution itself.

If Purolator was integrated into Canada Post, the situation would be completely different. Post Canada has already privatized part of its services, the paid part, while having to assume the deficit part. The usual scenario of the privatization of public services.

What do canada post? new

A step back

It seems absurd to talk about the situation of Canada posts without looking at the entire delivery. messaging industry.

There is an issue that often what do canada post? new comes back when we mention the privatization of the Crown Company. it is the delivery of the letters in the distant regions. At the moment. the law guarantees that everyone in the country, from the bottom of the North Shore in downtown Toronto, has a postal service. When we see how distant regions are poorly served by telecommunications services, we can fear if La Poste became private. Companies do not find it profitable enough.

Except that one cannot sweep the concept of occupation of the territory. citizen equity and essential services from the back of the hand. We see it with the far north, to protect it, it must be occupied. To exploit a territory, it is also necessary to be able to occupy it, with services to citizens.

In an open letter. an IEDM researcher invited people to modernize, to abandon letters to turn to 100 % electronic communications. In theory, it’s very beautiful. I prefer electronic invoices myself. But there is a digital illiteracy and badly served territories by internet and cellular networks. There are also still legal processes that must go through post. It affects a minority of situations, but you have to take it anyway.

Package delivery has exploded. This new way of obtaining goods and services upsets many other sectors, such as transport. Customer service. The environment.

According to the Quebec Institute of Statistics, the number of light delivery trucks increased by more what do canada post? new than 61,000 between 2013 and 2021. It is nearly 400,000 vehicles which are added to road congestion and which emit greenhouse gases. In a flesh Newsan expert explains that in 1995, the transport of goods represented 20 % to 25 % of carbon dioxide emissions. If the trend is maintained, it will be 50 % in 2050.

It is not without speaking that large companies. such as Purolator, Fedex or Intelcom, are built huge buildings to sort all these packages and messaging. Large sorting centers what do canada post? new like four football fields.

Is this multiplication of infrastructure for delivery really a profit, collectively? Isn’t there a waste of resources and energy?

I come back to my building about 60 dwellings. Every day, the postman passes. Then a delivery man from Purolator, then another from Intelcom, then from DHL, then Fedex. Each and each depositing one or two packages, a few letters. That makes a lot of people. a lot of trucks, a lot of warehouses, a lot of pollution, for a few packages and a few letters. Many half -empty trucks cross to visit the same places. Wouldn’t centralized service be more effective? Cheaper? Maximized?

What is all for? Do we really need to have your purchase in 24 hours, including the weekend? That the emergency option can exist with additional costs, it was one thing. It has now become what do canada post? new the basic service, or almost. Collectively, there is an important issue there. The climate crisis is there and it is stimulated with express deliveries.

In a 2014 analysis. IRIS noted that the privatization of postal services in the United Kingdom, Germany and Sweden had not brought real profits to the population. However. there was a wage decrease among workers in addition to job losses, the need to subsidize service in distant regions and the decrease in the number of service points.

Privatization may not be the solution, but part of the problem. Instead of dismantling Canada Post, perhaps we should put the state-owned company at the heart of the equation. Collectively, we would perhaps benefit from pooling services than multiplying them.

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