Get your banking done…at Canada Post
The federal government’s recent decision to dramatically overhaul Canada Post, including ending home delivery to millions more Canadians, represents a failure of imagination at a critical moment.
While acknowledging that Canada Post’s annual losses – exceeding $840 million last year and growing – demand urgent action, slashing services is a shortsighted solution. Especially when there are proven alternatives used successfully around the world.
The Canadian Union of Postal Workers has consistently argued that Canada Post’s financial woes stem not from providing too many services, but from being legally restricted from offering too few. This perspective deserves serious consideration from policymakers who seem determined to shrink the Crown corporation rather than modernize it.
Postal banking represents the most compelling untapped opportunity for Canada Post. Countries like the United Kingdom, France, Italy, and New Zealand have successfully integrated financial services into their postal systems. Rural bank branches continue closing at an alarming rate – including here in Kawartha Lakes. Why should the citizens of Woodville, Coboconk, or Kirkfield go without a bank when they have a postal service? Canada Post’s 6,000 outlets could fill this critical gap across the country.
Consider the economic logic: rather than maintaining expensive infrastructure solely for declining letter volumes, postal banking would maximize the use of existing post offices, delivery networks, and workforce. Rural Canada would benefit enormously from accessible banking, bill payment, and basic financial services offered through their local post office.
Beyond banking, Canada Post could expand into government service delivery, digital identity verification, secure document storage, and enhanced parcel services that compete meaningfully with private carriers. These innovations would transform Canada Post from a declining letter-delivery service into a modern, multi-service public utility.
Critics rightfully point to Canada Post’s mounting deficits. The status quo is unsustainable. However, the current approach of cutting services while maintaining essentially the same business model risks creating a death spiral. Reduced services drive away more customers, necessitating further cuts.
The government should implement a moratorium on service reductions while conducting a comprehensive review of postal banking and expanded services. This isn’t about preserving an outdated system; it’s about reimagining Canada Post’s role in the 21st century.
Other nations have proven that postal services can adapt and thrive by embracing innovation. Canada Post’s extensive infrastructure and trusted brand represent valuable national assets. So why abandon rural Canada when there are more creative solutions?
