The Canadian Federal government is planning to cut postal services, including the elimination of door-to-door delivery. In response, Canada Post union workers went on strike immediately. Both developments have an impact on online sellers inside and outside of Canada.
Canadians citizens expressed anger about the lack of notice, leaving important packages such as medications frozen in the postal system. The union said the government had also blindsided its leadership who had met with the Minister responsible for Canada Post just a week prior to the government’s announcement.
eBay advised Canadian sellers it was taking steps to minimize the impact of the Canada Post work stoppage. “We have extended estimated delivery dates for buyers and implemented enhanced protections in the event of Item Not Received claims. Please note that in order to benefit from these enhanced protections you must upload a valid tracking number to your shipments. In addition, we are taking steps to automatically protect your account from defects.
eBay also notified US sellers with a post on the Seller Announcement Board.
The government announced the cuts to Canada Post services on September 25, 2025, saying that 20 years ago, Canada Post delivered 5.5 billion letters annually compared to 2 billion currently. And, it said, private competitors have taken market share away from parcels. “In 2019, Canada Post delivered 62% of parcels in Canada; today, its market share has dropped below 24%.”
But the Canadian Union of Postal Workers (CUPW) characterized it as an attack on the post office and said the following changes the government plans to make will undermine public service:
- Converting 4 million addresses to Community Mailboxes.
- Gutting the rural moratorium on post office closures.
- Giving Canada Post more “flexibility” in its delivery standards, including by cutting the requirement to deliver 5 days a week.
- Giving Canada Post the ability to raise stamp rates more frequently.
CUPW called the plans a “slapdash approach without full public consultation.”
In the meantime, buyers and sellers are yet again facing mail disruption in Canada, and Canadians face long-term impacts to delivery, especially those in rural areas who face the prospect of post office closures.
The CBC published the following video on YouTube about the challenges Canada Post, workers, consumers, and the government face: