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Canada Post workers take part in a picket line as they start their strike action in Toronto on Nov. 15.Chris Young/The Canadian Press

Thousands of Canada Post customers are bracing for significant delays in receiving and sending packages ahead of the holidays after a strike action by the postal service’s unionized workers.

The Canadian Union of Postal Workers, representing more than 55,000 Canada Post employees, was not able to reach a deal with the national postal service before the strike deadline on Friday.

Here’s what you need to know.

What is the status of the strike?

The CUPW and Canada Post are currently at an impasse. The clash has been going on for some time, with key points of contention including wage increases, work conditions, benefits and protection against technological change.

Earlier this week, CUPW called negotiations with the national postal service “challenging and intricate.”

“Our goal has always been to reach negotiated collective agreements that support the long-term success of our public post office, while addressing the real issues our members face daily,” said CUPW national president Jan Simpson in a statement. “Canada Post has the ability to make that happen without any job action, but it needs to come to the bargaining table and resolve both new and longstanding issues.”

What services are affected?

According to Canada Post, mail and parcels will not be processed or delivered for the duration of the national strike, and some post offices will be closed. Services affected include banking and e-commerce deliveries.

Delivery time guarantees will also be impacted for items already in the postal network, meaning any delivery dates advertised by sellers during checkout could be much longer. Anyone trying to send new packages through Canada Post will not be able to do so until the national disruption is over, the postal service said.

Canadians expecting direct mail from their bank, including bills, cheques and statements, should also brace for delays. An online alert from Bank of Montreal said banking communications will likely not be delivered until after a postal disruption ends. Meanwhile, CIBC advised customers to stay on top of their statements and invoices through e-banking.

According to Canada Post, Canadians expecting to receive government benefit cheques like the Canada Child Benefit and the Canada Pension Plan during the strike need not be worried—Canada Post and CUPW agreed to continue delivering these cheques.

How long will delays last?

Based on a previous Canada Post strike in 2018, delays could last for some time after the strike is over due to backlogs, and the postal service has admitted as much.

“Shutting down facilities across the country will affect Canada Post’s entire national network,” said the statement from Canada Post. “Processing and delivery may take some time to fully return to normal — a national strike of any length will impact service to Canadians well after the strike activity ends.”

What is the impact on small business sellers and buyers?

Small businesses will be disproportionately impacted by the strike, said Corinne Pohlmann, executive vice-president of advocacy at the Canadian Federation of Independent Business (CFIB), a non-profit organization representing small businesses. Their survey released this week showed that 79 per cent of small business in Canada rely on Canada Post services to do business, with wholesale and manufacturing businesses expected to be especially affected.

“A lot of small businesses are worried about consumer demand falling off,” said Ms. Pohlmann. “They have to figure out alternative ways to deliver—that does generally cost more; and small businesses are not as keen to necessarily pass on those costs to their customers, especially when they’re trying to compete with large online retailers.”

Notably, Ms. Pohlman said that many small businesses still often pay each other through cheques. “They write cheques to each other because it’s still the most inexpensive way—you’d be surprised how much that still happens,” she said. “So there is concern that prolonged strike that could have an impact on the cash flow.”

Online marketplace platforms like Etsy and Ebay have been fielding questions about the strike from worried sellers on their online forums. A community message from Ebay’s seller team recommended extending handling times and adding alternative shipping options to seller listings, with UPS and FedEx services still available on eBay Labels.

Ms. Pohlman said that Canada Post risks losing many small businesses as customers. “But we would encourage Canadians to still try and work with small businesses—they are going to try to get alternatives…they’ll find other ways to get it to you.”

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