Canada Post recorded a loss before tax of $841 million in 2024 – the seventh consecutive annual loss for the Corporation.
The significant challenges Canada Post has confronted in recent years continued to mount in 2024 and were escalated by a 32-day national strike, said the organization in a news release.
With another possible labour disruption, Canada Post released key highlights from 2024:
- Canada Post’s operating loss for the year was nearly $1.3 billion. The loss from operations excludes non-recurring gains and dividend income from the Corporation’s divestitures of SCI Group Inc. and Innovapost Inc. in the first half of the year.
- Without the divestitures, Canada Post’s $841-million loss before tax for 2024 would have been significantly larger.
- Since 2018, Canada Post has lost more than $3.8 billion before taxes.
- Letter mail continued to decline and the company’s Parcels business remained under threat in a competitive delivery market.
- Outdated operating, regulatory and policy constraints continued to severely limit the company’s ability to adapt to the changing needs of the country.
- The company’s 2024 loss before tax widened by $93 million, or 12.4 per cent¹, compared to a $748-million loss before tax in 2023.
- Revenue for the year declined by $800 million, or 12.2 per cent, compared to 2023, falling across the Parcels, Transaction Mail and Direct Marketing lines of business.
Impact of 2024 national strike
- The national strike by the Canadian Union of Postal Workers (CUPW) in the fourth quarter had a significant impact on the lines of business in 2024, with the largest impact on the Parcels business.
- The Corporation estimates that the labour disruption contributed a net negative impact of $208 million toward Canada Post’s $841-million loss before tax. Revenue fell much more than costs during the strike period.
- Labour and benefits represented approximately 65 per cent of total operating costs in 2024.
Doug Ettinger
“Canada Post is Canada’s delivery infrastructure. We have the network, the people and the trusted experience to support all Canadians and Canadian retailers. We must be prepared to do what’s necessary to help deliver for Canada as it navigates a challenging future. Our current structure was built for a bygone era of letter mail – the status quo has led us to the verge of financial insolvency and is not an option. The need to change, respond to our challenges and secure this important infrastructure for the future is more urgent than ever before,” said Doug Ettinger, President and CEO of Canada Post
The national strike by CUPW in the fourth quarter of 2024 had a significant impact on the company, Canadian businesses, charities and the millions of Canadians who rely on the postal service. To reach agreements, Canada Post put forward proposals for a more flexible delivery model that would sustain the business, while increasing wages, enhancing leave entitlements, and protecting the defined benefit pension and job security provisions for current employees, said Canada Post.
On November 15, 2024, CUPW launched a national strike during the peak holiday season that had a net negative impact of $208 million on the company’s financial results – with broader consequences felt across the country. The prolonged uncertainty from the strike continues to affect the company. Many customers who turned to other carriers for their shipments have not yet returned to Canada Post – and that’s expected to have a financial impact well into 2025 and beyond, it said.
“The Corporation’s long-standing mandate is to deliver to all Canadians – living in urban, rural and remote areas – and to stand on its own financially, based on revenue generated from products and services, not taxpayer dollars. It’s a user-pay model meant to keep the postal service attuned to the evolving expectations of Canadians. To do so, Canada Post must be able to change as the needs of the country change. However, the Corporation is rapidly falling behind,” said Canada Post.
Photo by Tim Gouw
“At this critical moment in Canada Post’s history, broader change is urgently needed to preserve and modernize the postal system. The Corporation needs flexibility in its delivery model, collective agreements, and regulatory and policy framework to better serve Canadians and compete in today’s parcel delivery market. Without significant changes to modernize and preserve this critical national infrastructure, Canada Post projects larger, unsustainable losses in future years. The future of the national postal system is at risk.
“To ensure the company could remain solvent and continue operating, the Government of Canada announced in early 2025 it would make available to Canada Post up to $1.034 billion of repayable funding during the government’s fiscal year ending March 31, 2026.
“While the repayable funding will ensure the continuity of postal services and stability for the workers who depend on their pay and benefits, it will not solve Canada Post’s structural issues. The funding provides a much-needed financial bridge in the short term as the company works with the federal government on the urgent changes required to ensure the long-term viability of the postal system.”
Mario Toneguzzi
Mario Toneguzzi is Managing Editor of Canada’s Entrepreneur. He has more than 40 years of experience as a daily newspaper writer, columnist, and editor. He was named in 2021 and 2024 as one of the top business journalists in the world by PR News. He was also named by RETHINK to its global list of Top Retail Experts 2024 and 2025.
About Us
Canada’s Entrepreneur is the number one community media platform in Canada for entrepreneurs and business owners. Established in 2016, our podcast team has interviewed over 800 Canadian entrepreneurs from coast-to-coast. With hosts in each province, entrepreneurs have a local and national format to tell their stories, talk about their journey and provide inspiration for anyone starting their entrepreneurial journey and well- established founders.
The commitment to a grass roots approach has built a loyal audience on all our social channels and YouTube – 500,000+ lifetime YouTube views, 250,000 + audio downloads, 50,000 + average monthly social impressions, 15,000 + engaged social followers and 120,000 newsletter subscribers. Canada’s Entrepreneur is proud to provide a local, national and international presence for Canadian entrepreneurs to build their brand and tell their story
