Canada Post strike; Payment delivery

I’m not convinced that Canada Post’s huge year over year losses are mostly due to inefficiency…some of it is. Not so long ago they were turning a profit or at least breaking even.. did they suddenly become so inefficient over the last decade? I don’t think so. The world has changed.. They need more money to keep going, and that money can come from government subsidies or it can come from an increase in revenue through higher prices and more service and market share. My vote is for maintaining current services and improved service levels…supported by higher prices that consumers would be willing to pay for. I agree though.. higher prices for fewer and poorer services is untenable… hopefully they don’t go that route.
 
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Freight Broker said:
I’m not convinced that Canada Post’s huge year over year losses are mostly due to inefficiency…some of it is. Not so long ago they were turning a profit or at least breaking even.. did they suddenly become so inefficient over the last decade? I don’t think so. The world has changed.. They need more money to keep going, and that money can come from government subsidies or it can come from an increase in revenue through higher prices and more service and market share. My vote is for maintaining current services and improved service levels…supported by higher prices that consumers would be willing to pay for. I agree though.. higher prices for fewer and poorer services is untenable… hopefully they don’t go that route.
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One of the main issues is the increase in e-com parcels and poly packs destinated for rural routes. Unfortunately, canada post runs more rural routes as a lost leader, subsidizing the cost of delivery to make it happen daily.

Yes certain specific operations are definitely cash flow positive imo, however there are many operations and linehauls that canada post performs/manages/runs that are surely not profitable for them. After seeing some of the ground transportation contracts they have in place for linehaul within Ontario alone, its an ugly bloated operation.... staffing bloat is a whole other topic.
 
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EricG said:
One of the main issues is the increase in e-com parcels and poly packs destinated for rural routes. Unfortunately, canada post runs more rural routes as a lost leader, subsidizing the cost of delivery to make it happen daily.

Yes certain specific operations are definitely cash flow positive imo, however there are many operations and linehauls that canada post performs/manages/runs that are surely not profitable for them. After seeing some of the ground transportation contracts they have in place for linehaul within Ontario alone, its an ugly bloated operation.... staffing bloat is a whole other topic.
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Semantics but they are legally required to do it daily.

That was part of the founding rules. Every citizen gets daily mail.

The gov't recently ruling it is no longer required caused the latest strike.

You are 100% correct though that the rural routes are the issue.
 
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Finally seeing some mail coming in, now wishing the slow pay brokers would send the checks they promised they sent. LOL
 
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Ruler said:
Finally seeing some mail coming in, now wishing the slow pay brokers would send the checks they promised they sent. LOL
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Canada Post strikes are the best motivation to switch all of your payables and receivables to E-transfer.
 
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loaders said:
Canada Post strikes are the best motivation to switch all of your payables and receivables to E-transfer.
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Companies seem to have issues with E-transfer amounts. Sometimes takes days to get full payment.
 
Ruler said:
Companies seem to have issues with E-transfer amounts. Sometimes takes days to get full payment.
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We stopped issuing paper cheques a few years ago and pay all of our suppliers by e-transfer, directly through our bank. There has never been a problem with a delay in completing full payment. We also have approx 90% of our customers remitting payments via e-transfer. You might want to consider using another bank or financial institution if you are experiencing problems with electronic transfers.
 
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