I have no issue with some form of Canada post existing. The current dumpster fire of every address, every day is insane and completely unsupported by volume and pricing. It only exists in its current form to appease unions and entitled boomers.
Canada Post - Huge losses
- Thread starter raginduck
- Start date
Glenn/RZ500
Well-known member
This week I got two days of mail, fast food, Crappy tire, the local paper that somehow is still going, and my private healthcare and car insurance renewals. Car went up 11 bucks, the Manulife is a topic for another thread.
Reasonable rate? You realize that for all intents and purposes your taxes are subsidizing that rate.
justride
Well-known member
Subsidized mail delivery for all Canadain to use. As a public service we deliver to ever address in the country. No big deal if you live in the city but it matters if you live out in the middle of nowhere.
You can opt out of getting "junk mail" no problem
Volume of mail is reflected in the Canada Post restructuring plans. Positions are being elimanated, part timers hours are being cut, community mailbox are being implementated more. lower wages for new employees.
There are no appeasement for the Unions or the workers. The managements has full support of the governmnet and Canada Post workers have very little support from the public. Have no idea about the baby boomers
If Canada Post goes private, you would probably would not see any more money in your pocket but would have to pay even more for delivery. Right now it's a $1.45 for letter mail to be delivered nationally in about 4 business day.
Why is Purolator Profitable While Canada Post is Not?
Unlike its parent company, Purolator is not bound by the "universal service obligation" to deliver mail to every single Canadian household five days a week. Instead, Purolator operates on a purely commercial business model. It can adjust prices dynamically, target high-volume business routes, and scale its independent courier fleet according to market demand without heavy regulatory constraints.
You can opt out of getting "junk mail" no problem
Volume of mail is reflected in the Canada Post restructuring plans. Positions are being elimanated, part timers hours are being cut, community mailbox are being implementated more. lower wages for new employees.
There are no appeasement for the Unions or the workers. The managements has full support of the governmnet and Canada Post workers have very little support from the public. Have no idea about the baby boomers
If Canada Post goes private, you would probably would not see any more money in your pocket but would have to pay even more for delivery. Right now it's a $1.45 for letter mail to be delivered nationally in about 4 business day.
Why is Purolator Profitable While Canada Post is Not?
Unlike its parent company, Purolator is not bound by the "universal service obligation" to deliver mail to every single Canadian household five days a week. Instead, Purolator operates on a purely commercial business model. It can adjust prices dynamically, target high-volume business routes, and scale its independent courier fleet according to market demand without heavy regulatory constraints.
We're talking about the same company that paid almost $31 million in management bonuses last year right?
justride
Well-known member
Yes. Thats the latest I heard. Guess the restructing plan starts a the bottom and maybe, maybe not go to the top. Supervisors at work get a bonus every year. They won't tell me how much. There are supervisor, super intendents, managers, directors and a bunch more to the CEO.
sburns
Well-known member
They could remove 2 layers and it wouldn't change the productivity, and improve the bottom line.
But that is gov bureaucracy for you
Oh im aware, i worked there for almost 3 years.
Mad Mike
Well-known member
First, it is just another crown corporation. It’s also one where the ‘inmates run the prison’, labour considers themselves gov employees, not a workforce that has to compete in an open market.
Murdochville has a highway thru it, stuff would still get there. I can get stuff from Amazon delivered to a remote settlement on Hudson Bay in 2-3 business days, the same price as CPC who take 5-8 business days.
Mad Mike
Well-known member
I don’t usually go point by point… but this post does require some serious corrections.
Amazon delivers directly to more addresses than CPC today.
About 4 biz days (average 7 days) to cross country urban destinations, remote deliveries up to 14 days.
Amazon is 2 days and 5 days.
You have to understand the unions have stifled productivity advancement for decades at every possible corner. Automation, route planning, preservation of home deliveries… this systemic pressure has collapsed CPC competitiveness.
No. CPC is a self-sustaining commercial Crown, it is required and expected to pay their own way.
Not 100% true. CPC gets mail close to most Canadians, and directly to a lot. I have houses in 2 Ontario cities, one supermailbox is 50m, the other is 1.3km.
Amazon delivers directly to more addresses than CPC today.
The unions is the workforce with control over productivity. If they’re less productive today than 10 years ago, and only 50% as productive as their competition … what concessions are the workforce due?
$1.45 is the price of a stamp, then add another $0.50 in taxpayer money to each letter. So it really cost the taxpayer about $2.
About 4 biz days (average 7 days) to cross country urban destinations, remote deliveries up to 14 days.
Amazon is 2 days and 5 days.
Nope again. Purolator is nearly twice as productive as CPC. If CPC workforce was as productive, they would be profitable.
You have to understand the unions have stifled productivity advancement for decades at every possible corner. Automation, route planning, preservation of home deliveries… this systemic pressure has collapsed CPC competitiveness.
We need people in remote settlements or the orange man will claim them as abandoned territories. Does every village need a railway, highway, airport, post office and hospital?
Communication can be done by satellites and radio. Parcels not so much.
I'm sure a small airport will be cheaper than a long highway or rail line. Medivac flights have to be cheaper than staffed hospitals.
What would entice you to live in polar bear country?
Communication can be done by satellites and radio. Parcels not so much.
I'm sure a small airport will be cheaper than a long highway or rail line. Medivac flights have to be cheaper than staffed hospitals.
What would entice you to live in polar bear country?
Mad Mike
Well-known member
Do you know who’s doing the deliveries for Amazon in the Hudson Bay Area? I take it it’s not thru CP anymore.
Mad Mike
Well-known member
I spend a good part of the year in isolated polar bear communities - no permanent roads or rail lines. Access by sea, air on a gravel strip, or 8 weeks of ice roads in the winter.
People go for 2 reasons: 99% because of pay, 1% go because they feel they can change things for the better.
Getting mail and parcels to those places is simpler than you may think.
justride
Well-known member
Yes. It is self-sustaining Crown Corporation that is public service. Lot of people think it's taxes are paying for it most likely due to the loan/bail out. Hopefully we be will back in the black in the near future.
We are mandated to deliver to every postal code, but not directly to the house. You might have to drive further if they close down your local Post Office . It will be up to the community to fight to keep or get rid of their local Post Office.
There are concession being made as I stated, also, pension from to Define to Contribution, position being eliminated, health benefit have been the same for years. With all the huffing and puffing the Union is not as strong as they used to be. The union CUPW can only be strong with support from the public, the membership.
About the price of stamp. I guess Canada Post can increase the price of stamp to $2.00. but Regulated Rates: Canada Post's basic letter mail rates are strictly regulated by the federal government under the Canada Post Corporation Act.
Good news the .50 cent taxpayer are paying extra re being used by the taxpayer.
Amazon delivers to more addresses I agree but (google AI) In very isolated regions where Amazon's private network or primary couriers do not operate, fulfillment often depends entirely on Canada Post or specialized bush/air freight networks, which can limit package sizes and types.
Purlator Canada Post productivity (profit ?)
Commerical Enterprise vs Public Service
Purlator only going deliver if they make a profit vs Canada Post will "deliver" even if they are unprofitable (remote/isolated communities).
Mad Mike
Well-known member
If it goes to Moosonee or Churchill, rail. Up the coast to fly in communities like Fort Albany, Peawanuk it goes by road to Timmins or Kapuskasing then by regional cargo air (Creebec, Thunder) to the remote communities. Same as mail. There are 4-8 regular flights a day in and out of the remote communities, cargo goes on those flights when space is available. There are also regular cargo only runs every week, that’s for big stuff and pallets of Amazon and CPC packages.
It’s not free for most items, amazon charges about the same as CPC for delivery to remote places —even if you have Prime.
They’re loans… with a condition that CP only has to pay them back if/when it can. Taxpayers know CP won’t be able to pay them back. The first billion included about 500m for bond payments CP had coming up at the time. CP can’t even pay its bills. Never mind paying back the loans… it’s going to need another next year.
Calling them loans was an embarrassment and an indictment on our politicians. They care entirely about optics and not at all about reality. They will spend infinite money on that quest.
Mad Mike
Well-known member
Taxpayers are pumping in over a billion a year in loans with an extreme risk of default.
Earliest back to black is 4-5 years out and comes with massive structural changes and risks.
The private sector has that figured out too.
Public support is low, that has to be earned back.
Less on Canada post these days. The logistics networks weaned off CPC last mile over the last few years. Dragonfly reaches 96% of all Canadian postal codes today. They built that capability while CPC was snoozing. The remaining 4% is mostly remote Nunavut - that gap can be closed too albeit expensively.
CP used to own intelcomm(dragonfly) when it started up.. politics made it have to give up its stake.
Melanie Joly’s brother is the ceo.
It took intelcomm two weeks to get a weekend schedule up and running in 2020 when it was asked to do so.
no weekends was a big factor in CP losing the package business… it should have been a no-brainer and easy to implement… and CP is still talking/arguing about it years later.
Melanie Joly’s brother is the ceo.
It took intelcomm two weeks to get a weekend schedule up and running in 2020 when it was asked to do so.
no weekends was a big factor in CP losing the package business… it should have been a no-brainer and easy to implement… and CP is still talking/arguing about it years later.
