Thank you for this opportunity to address the committee.
The issues we are addressing are, by the admission of the president of Canada Post, a lifeline to rural Canada. While we understand the constraints imposed by the business of the House, we will have some difficulty doing justice, in the five minutes that remain, to the needs of rural Canada. We will attempt to do so, but will be happy to address any questions you will certainly have once there are fewer time pressures. Our full submissions have been filed with the committee.
The Canadian Postmasters and Assistants Association has been the voice of rural post office employees since 1902. It is the second-largest bargaining unit at Canada Post, representing members in post offices in towns and villages throughout rural Canada. About 95% of our members are women. We are in touch with over six million rural customers.
We were quite taken aback when one of the options the task force presented was converting 800 of our highest-volume post offices into privatized franchises. This option would be disrespectful of the current government's directives. It's very worrisome for several reasons.
First, the committee's mandate from the Canadian electorate is clear: privatization was not to be considered during the review.
Second, what public company would sell off its largest money-making centres to its competitors? Canada Post has made profits for 19 out of the past 21 years. Just last year it netted almost $100 million in profits. Why would we risk losing this?
Third, our study, “Rural Post Offices and the Communities that rely on them are being abandoned”, conducted by Anderson Consulting, found that there was an over 55% chance a franchise would disappear if that post office were replaced. All that was left for those residents was a collection of boxes at the side of the road. That's hardly vibrant Canadian infrastructure.
Fourth, according to the task force report, Canadians and businesses of all sizes have a positive perception of Canada Post and its services. The vast majority believe mail is highly important, and that Canada will always need postal services owned and operated as a public service.
The current government obtained its mandate while promising opportunities for women in this country. Our membership is 95% women. If Canada Post is weakened in rural Canada, there will be very few meaningful jobs to which women can turn.
In 1994 the Liberal government announced a moratorium on post office closures. Despite the fact that the moratorium is still in place, we have seen over 350 rural post offices close.
If the corporation really wants to keep a post office open, it has the ability to appoint someone by other means, meaning it can choose whoever it wants if there's no available candidate after a competition. The latest example would be in Red Bay, Newfoundland and Labrador. Seven people, including the mayor of the community, failed the interview the corporation had set. The corporation then closed the corporate post office, saying it had completed the staffing process, and couldn't find anyone qualified to work in a post office. It then opened a privatized franchise, and gave it to one of the candidates who failed the interview.
Canada Post wants to give its operations away, and it doesn't care anymore if people realize how inconsistently it is behaving.