Canada Post Receives $1B Bridge Loan Amid Crisis

The Canadian government has announced a $1.034 billion bridge loan to Canada Post to prevent insolvency and ensure continuity of service as the Crown corporation faces significant financial challenges. Since 2018, Canada Post has incurred losses of over $3 billion, attributed to declining letter mail volumes and increased competition in the parcel delivery market. The funding is intended as a temporary measure while the government and Canada Post develop a long-term sustainability plan, as it will not address the structural issues that have plagued the company. This financial aid follows a month-long strike that ended with government intervention, highlighting ongoing labor disputes. Canada Post has proposed changes such as expanding weekend delivery to increase revenue, but these have faced resistance from the union over concerns about job security. The government has also appointed an industrial inquiry commission to provide recommendations by May 15 to address the corporation's operational challenges.