Bloc advocates for uniform mail rates for small businesses in light of 🇨🇦 post

Yves-François Blanchet, the leader of the Bloc Québécois, has called for small businesses to receive the same discounted postage rates as large corporations when using Canada Post.

According to Blacklock's Reporter, this proposal has emerged just ahead of anticipated financial statements due in May, which are expected to show worsening losses for the postal service. Blanchet emphasized the importance of supporting local businesses, stating, "Whether or not there's a trade war, we need to encourage enterprises with storefronts in our neighborhoods. They create local jobs." Currently, Canada Post offers significant mailing discounts to large commercial clients, including banks and utilities, allowing them to send invoices and statements for as little as 55 cents through postage meters, compared to a retail stamp rate of $1.24. He is advocating for regulatory changes that would ensure small and medium-sized enterprises benefit from the same rates. "These straightforward measures will help our small businesses compete against American multinationals," he asserted. "Economic resistance to Donald Trump begins right in our neighborhoods." The Bloc did not provide any cost estimates for this proposal. Nonetheless, small businesses are among the most regular users of Canada Post services.

A 2022 report from the Department of Public Works, titled "Canadian Businesses' Views On Canada Post Services," revealed that nearly all businesses utilize Canada Post for sending and receiving mail, and most support federal aid to maintain current postal service levels. Next month, Canada Post is expected to deliver an updated Annual Report to Parliament amid ongoing financial challenges.

In January, the cabinet approved a $1.03 billion line of credit to sustain the Crown corporation's operations. "This funding will serve as a critical financial bridge, allowing Canada Post to continue serving Canadians while collaborating with the government on necessary changes for the long-term viability of Canada's postal system," the government explained. "It's evident that the corporation needs to find a path to financial sustainability." Canada Post has not seen a profit since 2017, with increasing annual pre-tax losses, including $276 million in 2018, $153 million in 2019, $779 million in 2020, $490 million in 2021, $548 million in 2022, and $746 million in 2023. Operational challenges have also impacted the service, such as a 28-day work stoppage during the critical 2023 Christmas season. A similar strike in 2018 resulted in losses of $110 million.

In its most recent Annual Report, Canada Post noted a decline in letter volumes for 17 consecutive years and a drop in its share of the parcel market from 62% to 29% since 2019. "Canada Post needs to adjust to the significant changes in how Canadians live and work today in order to remain relevant and sustainable," the report concluded.
Edited by BBN
By Western Standard News Services