More than 2,000 DHL Express Canada employees are ready to strike as soon as Sunday, introducing more labor turmoil to the country's parcel delivery sector.
Contract negotiations between DHL and private sector union Unifor, which represents the employees, have been ongoing since last year. Their most recent labor agreement expired on Dec. 31.
The current round of negotiations between DHL and Unifor is scheduled to run through Sunday, the day in which a legal strike or company-imposed lockout could begin. Union members voted 97% in favor of a strike last month.
After months of bargaining, the union and the company remain far apart on almost all issues, Unifor said in a May 12 news release, adding that “the employer has refused to engage in monetary discussions at the table."
DHL employees represented by Unifor include warehouse workers, drivers, truck owner-operators and clerical employees. They are spread across British Columbia, Quebec, Manitoba, Saskatchewan, Nova Scotia, Ontario and Alberta.
Unifor said its bargaining priorities for a new contract include securing better wages and working conditions. The union also said DHL has been shifting hourly workers from full-time to part-time in locations across Canada and made changes that will reduce pay for some owner-operators.
“Owner-operators want to be able to focus on getting packages from point A to B without the stress of worrying about their routes getting cut and being able to meet the rising cost of living," Unifor National President Lana Payne said in October.
DHL is focused on landing "a fair, sustainable deal, and reasonable terms for our employees," a spokesperson said in an email to Supply Chain Dive.
"We remain committed to maintaining a safe, secure working environment for all our employees," the spokesperson added. "In the event of a strike, DHL Express is fully prepared and has contingency plans in place."
A potential DHL labor disruption would add to the challenges businesses shipping to and within Canada are facing. Canada Post employees are adhering to an overtime ban launched by the Canadian Union of Postal Workers on May 23, pushing shippers to divert their packages to alternative carriers.
The DHL spokesperson said its Express operations aren’t seeing an increase in volume tied to Canada Post disruptions, but the company is prepared to address any potential impacts as they arise.
Editor's note: This story was first published in our Logistics Weekly newsletter. Sign up here.
