Canada Post Flips and Flops on Parcel Project!

 fishThe 2003 collective agreement contains a number of changes that have had an impact on both Letter Carriers and Mail Service Couriers, for better and for worse. One of the positive changes to the new collective agreement has addressed a longstanding dispute that was created when Canada Post chose to hire contractors to deliver expedited Canada Post parcels to the same customers being serviced by members of the CUPW bargaining unit. Under Appendix S of the collective agreement, Canada Post is obligated to return the expedited parcel delivery work that was previously contracted out to Combined Urban Services (see “Dolphin Delivery”) to the CUPW bargaining unit no later than the fall of 2005.

The return of expedited parcels into the CUPW bargaining unit was intended to provide more work for CUPW members and help to ensure our future job security. However, the manner in which expedited parcels will be reintegrated into our bargaining unit will reorganize the nature of Vancouver’s parcel delivery operations. Appendix S of the collective agreement sets out a process for setting up the new “model”, and is based primarily on a pilot project that was implemented in Winnipeg several years ago. In accordance with Appendix S, the parties are required to “work together” to “facilitate” the conversion of our present delivery operations. To that end, there are a number of joint committees involved with the conversion to the new “model”.

In preparation for the new “model”, CUPW members working in conjunction with the local parcel committee have been involved in the labour-intensive process of creating an accurate database of Vancouver’s parcel deliveries. A considerable amount of time and expense has also gone into assessing the delivery rates to be applied to the new delivery format. During the course of those preparations, the Union attempted to “work together” with management to ensure that the project was a success. Unfortunately, the nebulous nature of management’s restructuring plans led to confusion, delays, and indecision.

On May 3, 2005, Canada Post disclosed its “official” plan. Unsurprisingly, that plan departed from what was previously represented to the Union. This bulletin is meant to help ensure that CUPW members are made aware of some of the issues concerning the implementation of this project. 

MSC Parcel Hubs?

Under the process set out in Appendix S, parcel operations are to be based out of a centralized delivery facility known as a parcel “hub”. The “hub” will be designed to handle current parcel products as well as the additional volume of expedited parcels that will be returned to CUPW upon the implementation of the project. MSCs will report to the “hub” rather than decentralized postal facilities to obtain their vehicles and prepare for delivery. MSCs will be assigned to deliver parcels in “loops”, which is Appendix S nomenclature for an MSC schedule. “Loops” will be put up for bid by seniority in the same manner as current MSC schedules are posted for bid.  

Initially, Canada Post indicated that there would be two parcel  “hubs” within Greater Vancouver. One “hub” was to be located at the Vancouver Mail Processing Plant (VMPP), and the other was to be located at the Vancouver Parcel Distribution Center (VPDC). All parcels in Greater Vancouver were to be delivered by the MSCs working out of those two “hubs”, with the exception of certain Letter Carrier units where Motorized Letter Carriers (MLC) and Motorized Mail Couriers (MMC) would deliver parcels for their own routes.  On May 3, 2005, Canada Post announced that it had abandoned that strategy. Instead, Canada Post announced that a corporate cost-benefit analysis had established that it is cheaper to have a single “hub” located at the VMPP operate in conjunction with certain Letter Carrier facilities to provide parcel delivery throughout Vancouver.

According to management, decentralized MSCs working at Stations D, F, G, K, Depot 32 and the Mountainview Delivery Center will be assigned to the VMPP “hub”. Those MSCs will be assigned to deliver parcels within the geographical areas that correspond with those facilities, with the addition of the downtown core that is within the Depot 74 delivery area.

Expedited parcels that are destined for delivery within the boundaries of Station S, SVDC, RDC, North Burnaby, South Burnaby and the North Shore will be delivered by the MLCS and MMCs that work within those facilities.

How Will the Parcel Project Impact on Letter Carriers?

All Letter Carrier facilities will be affected by the implementation of the Parcel Project, in one way or another. 

While MMC stations such as Station S, SVDC, and RDC already deliver expedited parcels, Canada Post’s new direction will still have ramifications on those facilities. For example, a costly restructuring exercise was recently undertaken at the SVDC in anticipation of the new parcel “model”. In restructuring SVDC, Canada Post removed the time values for much of its parcel delivery as that work was to be transferred to MSCs working out of the “hubs”. With Canada Post’s change in direction, the results of the restructuring exercise have been thrown in the can. SVDC routes will now remain status quo and continue to deliver expedited parcels! Similarly, RDC was in the midst of a full-blown restructure at the time of Canada Post’s May 3rd revelation. That restructure has also been cancelled, although route measurement officers will be staying behind to address some of the problem routes.

Station S is also in the midst of a restructure, but that restructuring exercise will continue with parcel delivery included in route assessments. North Burnaby will be restructured to include the delivery of expedited parcels on MLC routes, and South Burnaby, which is currently under restructure, will also be assessed to include the delivery of expedited parcels. The North Shore will be treated in the same manner, with Canada Post revisiting its approach to the CDC restructure to include the delivery of expedited parcels within all the FSAs contained within that facility.  

Many Issues!

CUPW has many concerns with the parcel project. The Union’s goal has always been to create full-time MSC jobs. From the beginning, Canada Post has claimed that 40% of its total parcel volume must be delivered on Mondays. CPC has also indicated that weekend work may be required to address the parcel volumes that accumulate at the end of each week. Those factors have raised the spectre of part-time work, rather than full-time MSC work.

Canada Post has indicated that it will overlay expedited parcel volumes on motorized routes at the North Burnaby Delivery Center, Capilano Delivery Center, and South Burnaby. In response, the Union has demanded appropriate time values, and has repeatedly raised its concern that Canada Post will overburden Letter Carriers by creating over-assessed routes without the benefit of a proper restructure. 

There are also many concerns regarding health and safety. Chief among these concerns is the issue of vehicles. CUPW has demanded that proper vehicles be provided with which to handle the increased parcel volumes.  These are but a few of the many unresolved issues on the table.

Canada Post initially set August 15th, 2005 as the target date for the implementation of the parcel project. Several weeks ago, Canada Post “officially” advised the Union in writing that the project would be implemented on July 18th.  On May 3rd, Canada Post “officially” announced that the implementation date would be September 15, 2005.  As of today's date, the target date has been changed to Sept. 19, 2005.

Canada Post has flipped and flopped throughout the course of this project, and additional changes are hardly out of the question. I hope that this bulletin has been informative in terms of outlining some of the issues surrounding this project. Additional information will be provided as soon as possible.

In Solidarity,

Ken Mooney
President

BACK