Canada Post cuts 50 managers as part of ‘critical financial situation’

What’s going on at Canada Post?

Canada Post is cutting nearly 50 non-unionized management positions this week in an effort to curb severe financial losses, CBC News reports. This follows the termination of three senior executives last month, including the Chief Financial Officer, and the elimination of two vacant roles. In total, senior management has been reduced by 20%.

• The layoffs impact corporate offices across the country, with nearly half of the affected positions located in Ottawa, along with staff in Toronto, Montreal, and other regions.
• These job cuts focus on internal management roles and will not affect daily operations, according to Canada Post.
• More layoffs remain a possibility this year.
• No unionized jobs have been impacted in this round of layoffs.

Official statements and context

“This is a corporate-wide restructuring,” said Canada Post spokesperson Jon Hamilton. “It’s an unfortunate reality based on the financial challenges we face, but it’s also something that needs to be done.”

• Hamilton emphasized that the restructuring aims to streamline decision-making and prepare for financial challenges ahead. However, he did not disclose the exact savings expected from the cuts.
• Canada Post has maintained a hiring freeze on management positions since last summer and is avoiding filling non-union vacancies.
• The company has also cut discretionary spending, including travel expenses.

Chief Financial Officer Rindala El-Hage said in an email to CTV News that “Canada Post continues to take steps to minimize the impact on employees, with a management hiring freeze in place since last year and reviewing vacant positions when employees retire or leave the company voluntarily.”

Canada Post’s financial struggles

The Crown corporation, which does not receive direct taxpayer funding, has been running annual losses since 2018—totaling over $3 billion.

Key financial challenges:

• A nationwide strike in December halted operations during the busiest season, worsening the financial strain.
• The federal government lent Canada Post $1 billion last month to keep the corporation afloat for the 2025-26 fiscal year.

“This is ‘keep the lights on’ money,” Hamilton said. “It’s a short-term fix. It provides a financial bridge to get us to the types of changes that we need.”

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Next steps for non-unionized Canada Post employees

If you’re fired or let go at Canada Post, understanding your legal rights is crucial.

Non-unionized employees in are entitled to severance pay. The amount you’re owed is based on a variety of factors, including your role, tenure, age, and ability to find similar work.

WATCH: Employment lawyer Lior Samfiru delves into severance pay on an episode of the Employment Law Show.

Here’s what you need to know:

• Compensation: Severance packages, which can be as much as 24 months’ pay, may include salary, bonuses, commissions, and other forms of compensation. Use our firm’s free Severance Pay Calculator to better understand your entitlements.
• Deadlines: You generally have up to two years from the date of your termination to review and negotiate severance offers.
• Action steps: Consult an employment lawyer at Samfiru Tumarkin LLP to ensure your severance package is fair and aligns with Canadian employment laws.

New year, more job cuts

Canada Post isn’t the only major employer scaling back their staffing levels in 2025.

Big names, including ADM, Estée Lauder, Amazon, Shopify, Stripe, BP, Microsoft, Meta, Hudson’s Bay, and Wayfair, have also pulled out the axe.

SEE ALSO
• Canada’s immigration department slashing workforce by 25%
• Where are layoffs happening in Canada?
• Pocket Employment Lawyer: Real-time insights on your rights

Lost your job? Contact us

If you’re fired or let go from Canada Post for any reason, the experienced employment law team at Samfiru Tumarkin LLP can help.

Our lawyers in Ontario, Alberta, and British Columbia have helped tens of thousands of non-unionized individuals resolve their workplace issues.

Call us today at 1-855-821-5900 or request a consultation online.

Disclaimer: The materials above are provided as general information about the rights of non-unionized employees in Canada. It is not specific to any one company and SHOULD NOT be read as suggesting any improper conduct on the part of any specific employer, or a relationship between Samfiru Tumarkin LLP and a specific employer.