In a decision handed down October 20th in the Federal Court, Judge Luc Martineau ordered a stay of proceedings relating to the Harper government’s back-to-work legislation (Bill C-6) against thousands of locked-out postal workers in June. The arbitration will now stop until the union’s challenge of the government’s hand-picked arbitrator can be heard in January 2012.

“This decision shows that the union is on the right track. We are questioning the process by which this government has forced its will on postal workers,” said Denis Lemelin, CUPW National President and chief negotiator.

Members of CUPW’s urban unit went on rotating strike in June and were subsequently locked out by Canada Post, then legislated back to work. The union has also launched a separate constitutional challenge against the back-to-work legislation itself, which directs the arbitrator to pick one side only without any possibility of compromise.

The Martineau decision bolsters the union’s objection to Minister of Labour Lisa Raitt’s appointment of Anthony Arthur Coulter Osborne – a unilingual judge without any previous experience in labour relations – to preside over the arbitration. The merits of the union’s case will be argued in January.

Normally, arbitrators are agreed upon by the parties, rather than being imposed by the government. Observers have noted the importance of CUPW’s challenges for the future of labour relations in Canada.

via CUPW – 2011-10-21 – Court Orders Stay of Proceedings in CUPW Challenge to Lisa Raitt’s Arbitrator.

In the Canada Post annual report, which was tabled with the Clerk of the House of Commons today, the company disclosed that earnings before income taxes in the Canada Post segment in 2010 were $233 million, a 27% decrease from 2009. Volume in the company’s flagship domestic Lettermail business decreased by 4.5% from 2009. That marked the fourth consecutive year-over-year decrease in domestic Lettermail volumes and fifth consecutive year of decrease in volumes per address in Canada. Total volumes in the Canada Post segment (comprised of the Transaction Mail, Parcels and Direct Marketing lines of business) decreased by 1.8% from 2009. Revenue from Operations for The Canada Post Group totalled $7.5 billion.

The Canada Post pension plan continued to pose a significant financial burden on the Group in 2010. The plan had a liability of $16 billion and a pension solvency deficit of $3.2 billion at the end of 2010. Canada Post made $746 million in cash contributions to the pension plan in 2010, including $425 million in special payments relating to the solvency deficit. As a result, Canada Post generated negative cash from operating activities in 2010.

Driven by a non-cash income tax entry of $192 million, The Canada Post Group* recorded consolidated net income of $439 million in 2010.

* The Canada Post Group is comprised of the core Canada Post segment, subsidiaries Purolator and SCI Group and Innovapost, a joint venture with CGI Group. The Canada Post segment accounted for almost 80% of the Group’s revenues in 2010.

Canada Post 2010 Annual Report

Canada Post claimed its mail volumes dropped significantly during the Canadian Union of Postal Workers’ rotating strikes. That was the excuse it gave for shutting down delivery and imposing a nationwide lockout. But now piles of backlogged mail are awaiting delivery.

The Canadian Postal Service Charter sets out government expectations for delivery standards. According to those standards, Canada Post must deliver lettermail within specific timelines. However, letter carriers are not being allowed to meet delivery standards for all of the addresses on their routes. Postal workers are also reporting they are being forced to deliver out-of-date flyers rather than bills and cheques, setting themselves up to be blamed by an angry public. Reports are reaching CUPW from all over – large urban centres as well as smaller communities – about Canada Post management’s ongoing disruption of postal service.

The CUPW is concerned that decisions made by Canada Post senior management to first lock out and then delay delivery will be blamed on postal workers. This pattern of behaviour on the part of Canada Post management leads to the question: is Canada Post deliberately creating a crisis?

via CUPW – 2011-07-06 – Is Canada Post creating a crisis?.

OTTAWA—Backroom negotiations aimed at getting Canada Post workers back on the job produced at least two separate deals that came close to ending the political filibuster on Parliament Hill and the labour stoppage, the Star has learned.

But the deals fell through — including an apparent agreement between Canada Post and its workers — and insiders are pointing the finger at the Prime Minister’s Office as the reason.

New Democrats have accused Prime Minister Stephen Harper of taking a hard line in the Canada Post dispute to send a signal to other public sector unions as he girds for federal belt-tightening.

“Obviously the (Prime Minister’s Office) got involved in there. I believe that Stephen Harper wanted to send a message across the country,” said New Democrat MP Yvon Godin.

Full story: Backroom talks came close to ending postal standoff – thestar.com.

The 15-member national executive board of the Canadian Union of Postal Workers has decided to take the federal government to court over last week’s back-to-work legislation.

Kevin Banks, a Law professor at Queen’s University, said, "this is a new area of the law and it’ll be interesting to see how it plays out."

He said the claim will likely be based on a 2007 Supreme Court decision about "B.C. Health Services."

Full story: Montreal Gazette: Union claim could chart ‘new territory’ in Canadian Labour Law: Expert.

Post offices that were closed during the labour dispute will start to reopen Tuesday as well, while mailboxes will be unsealed starting Monday, the Crown corporation said.

via Canada Post promises mail delivery Tuesday – Politics – CBC News.

“The government is clearly willing to side with employers to grind down wages and working conditions,” said CUPW National President Denis Lemelin. “Its decision to use back-to-work legislation in the Canada Post and Air Canada disputes was not neutral. The Conservatives have shown themselves to be very anti-worker after only two months of majority government.”

Lemelin said the government’s assertion that its legislation was necessary to protect the economy is illogical. He said postal workers had offered to return to work. “The government has attacked our right to freely negotiate the conditions we work under,” said Lemelin. “It appears that only markets and employers will have freedoms in this country.”

“The union’s struggle for safe work, decent jobs and pensions will continue in spite of this unjust and punitive bill. Fortunately, the government can’t legislate away our determination to fight for our rights,” said Lemelin.

Lemelin added that postal workers are very grateful for the support they received from people all across the country and opposition Members of Parliament, especially members of the New Democratic Party (NDP) who eloquently defended free collective bargaining for 58 hours straight. He said the NDP’s filibuster was successful in provoking a resumption of negotiations between CUPW and Canada Post over the last few days, but that the negotiations had ultimately failed.

“Canada Post was uncompromising from the moment Harper’s government introduced back-to-work legislation,” said Lemelin.

via CUPW – 2011-06-25 – Workers’ Rights Take a Big Hit Under Harper’s Majority Government.

The Conservative government’s back-to-work bill on the Canada Post labour dispute passed a key hurdle on Saturday, while the Opposition NDP says it will propose changes that could end a three-day impasse in the House of Commons.

The Opposition said it would propose two amendments later Saturday evening for MPs to debate following second reading, which passed in a 158-112 vote. The vote moved the bill to a process known as the committee of the whole, in which amendments can be introduced on the House floor and not at a smaller meeting.

The first would remove clauses in the bill that would force the two sides into a form of binding arbitration known as final offer selection, meaning each side would table its final offer and the arbitrator would pick one or the other. The second would remove the salary provision off the bill, which the NDP said proposes a wage increase lower than what Canada Post had wanted to offer the union.

Full story: Canada Post back-to-work bill passes key vote – Politics – CBC News.

Live CBC coverage of the Commons debate.

Thanks to the stamina of the opposition MPs, led by Jack Layton and the NDP caucus, CUPW resumed bargaining with Canada Post Corporation (CPC).

Last night, we held extensive discussions involving representatives of the Federal Mediation and Conciliation Service and Labour Minister Lisa Raitt. This morning, we met twice with CPC in direct negotiations. Even though we modified our position, the negotiations were unsuccessful. CPC remained as intransigent as it has been since the introduction of the back-to-work legislation by the Harper government.

Given these circumstances, we have requested the NDP to introduce amendments which would remove the most oppressive aspects of this legislation.

“We are grateful for the remarkable support from the opposition MPs, especially the NDP caucus,” said Denis Lemelin, National President of CUPW. “Their efforts provoked a resumption of negotiations. These talks failed, but the responsibility for that lies squarely on Canada Post management and the Harper government.”

We also thank the tens of thousands of people, including students, women’s groups, anti-poverty activists, other unionists, seniors, and local community activists who have been walking on our picket lines, sending messages of support, and participating in rallies and other activities.

Canadian Union of Postal Workers President Denis Lemelin sent the following letter to NDP leader Jack Layton earlier today:

Mr. Layton:

Subject: Bill C-6

On behalf of the Canadian Union of Postal Workers, I wish to congratulate you, your NDP colleagues, and the other opposition members of Parliament who have continued to oppose Bill C-6.

Your efforts were successful in provoking a resumption of negotiations between CUPW and the Canada Post Corporation. During the evening of June 24, we held extensive discussions involving representatives of the Federal Mediation and Conciliation Service and Labour Minister Lisa Raitt. This morning, June 25, we met twice with CPC in direct negotiations.

Despite your efforts and the support and solidarity activities of tens of thousands of people across the country, the negotiations were unsuccessful.

CPC once again refused to amend their position. They remain as intransigent as they have been since the introduction of the back-to-work legislation by the Harper government.

Given these circumstances, we believe it would be appropriate for you to introduce amendments which would at least remove the most offensive aspects of this legislation.

Once again, we offer you and your colleagues our deepest thanks for your efforts to oppose this unjust law. We especially appreciate the fact that you were prepared to continue the debate during the national holiday of Quebec.

Your actions, which were successful in provoking a resumption of negotiations, demonstrate the importance of a strong progressive opposition. We remain committed to continue to work with you and the members of your caucus in the broader struggle for decent jobs for ourselves and for future generations of workers.

Denis Lemelin

Président national / National President

Négociateur en chef, unité de l’exploitation postale urbaine /

Chief Negotiator, Urban Postal Operations Unit

via CUPW – 2011-06-25 – Letter to Jack Layton, Leader of the Official Opposition regarding Bill C-6.

There was some talk Saturday afternoon about ending the impasse that has kept MPs in the House talking nonstop for more than 40 hours, but the Conservative government and Opposition NDP had not agreed on anything definitive.

Read more at CTV Edmonton – Back-to-work debate still raging on day three – CTV News.