Canada Post outlines plan to reduce workforce through attrition as financial losses deepen

Canada Post says it expects as many as 30,000 employees to retire or leave voluntarily by 2035 as the corporation moves to reduce its workforce and modernize its operations. The projection was shared at the Crown corporation’s annual meeting, where leaders described a decade of significant restructuring driven by declining mail volumes and growing financial pressures.

President and CEO Doug Ettinger told attendees that the postal service will rely on attrition to downsize from the roughly 62,000 employees on staff at the end of last year. He said the approach is intended to manage change gradually, without resorting to large scale layoffs.

The corporation’s financial outlook remains challenging. Chief financial officer Rindala El-Hage reported that Canada Post recorded more than $1 billion in losses during the first nine months of the year, surpassing results from the same period in 2024. The business has depended on close to a billion dollars in federal loans to continue operating, a situation amplified by falling letter mail volumes and disruptions linked to an ongoing labour dispute.

Ettinger noted that relying on federal support is not sustainable. He said recent changes to Canada Post’s mandate, approved in September, give the corporation the flexibility needed to adjust services to current delivery trends. A formal plan was submitted to the federal government earlier this month, although details remain under review in Ottawa.

The discussion has implications for communities across Canada, including B.C. and Alberta, where residents and businesses continue to depend on parcel and mail services. Any long term adjustments could affect delivery models, post office operations, and staffing in urban centres such as Surrey, Edmonton and Calgary.