News and Events

(Volume 41, Number 3, August 2013) People like the idea of Canada Post making money through financial services according to a poll commissioned by CUPW. Close to two out of every three respondents (63%) to a Stratcom poll supported Canada Post expanding revenue-generating services, including financial services like bill payments, insurance and banking.

Media reports indicate that the federal government has agreed to give Europeans more market access to our postal services as a result of negotiations over the Canada-EU Comprehensive Economic and Trade Agreement (CETA). The term "market access" is used in trade agreements to refer to conditions relating to market entry, such as tariffs or customs regulations and procedures. However, it traditionally means providing greater entrance to a market. As you may recall, the government increased access to our postal market in 2010 when it deregulated international letters. It is possible that the government has locked in its deregulation of outbound international mail through CETA, which would prevent a future government from being able to reverse this move. CUPW has written to Steve Verheul, Canada's Chief negotiator for CETA, asking for more information. We are also attempting to arrange a meeting with Verheul.

A financial assessment of postal banking and financial services at various postal administrations By Katherine Steinhoff and Geoff Bickerton Canadian Union of Postal Workers Prepared for the 21st Conference on Postal and Delivery Economics May 29th to June 1st, 2013, County Dublin, Ireland

Currently employees pay contributions that equal 40% of the cost of the Canada Post Pension Plan and the employer’s contributions amount to 60% of the cost. This 40-60 ratio was established in law when the Canada Post Pension Plan was created and Canada Post employees ceased to be part of the Federal Superannuation Plan. On May 29, 2013 Canada Post Corporation sent a letter to all employees stating that, effective July 1, 2013, the employee contribution rate for the Canada Post Pension Plan will rise by 0.7 per cent of pensionable earnings. It stated that further increases would occur in 2014 until the rate of contributions for employees would be 50%, the same as that for the Corporation.