Our progress to date

Canada Post’s
Five-point Action Plan
Our progress to date
March 2015
Five-point Action Plan:
By the numbers
Delivery methods across Canada
Flexibility
• 15.7
• Knocked on more than
million addresses
•32% door to door
•68% building lobby box, community
mailbox (CMB), postal box and
rural mailbox
68%
No change
32%
Being
converted
to CMB
36,000 doors
• Followed up on all customer calls
• Moved or adjusted approximately
25% of sites nationwide
• Notified every customer of their
site with a personalized letter
Siting and installation
• Canada Post responsible for
all costs related to:
> site selection
> site preparation
>installation
> ongoing maintenance
Conversion in progress
Snow clearance
• Close to one million households
converted or in process of
being converted
> Almost 100,000 in 2014
> Close to 900,000 in 2015
• Remaining households to be
converted by 2019
• Over 1,500 contractors across
the country
• Clear snow around box, apply
salt and/or sand
•Ensure area is safe for
customers and employees
• $25 million national budget
Listening to Canadians
Accommodations
• Working in 90 communities
• Dedicated team to help those
who call
• Options developed to tailor
•Over 260,000 surveys
completed by Canadian
households
• Over 90% of respondents prefer
smaller sites closer to home
Page b
to individual needs
• Free of charge, permanent or
temporary/seasonal
Canada Post’s Five-point Action Plan: Our progress to date
In 2014, Canada Post delivered
1.4 billion fewer pieces of mail than in 2006
Fort McMurray
Fort St. John
Bois-des-Filion
Charlemagne
Lorraine
Repentigny
Rosemère
St. Albert
Campbell River
Williams Lake
Sherwood Park
Prince Albert
Edmonton
Delta
Calgary
Mission
Chilliwack
Abbotsford
Calgary
Medicine Hat
St. John's
Mount Pearl
Saguenay (boroughs of La Baie,
Chicoutimi, Jonquière)
Yorkton
Bathurst
Moose Jaw
Victoria
Langford
Colwood
Saanich
Esquimalt
View Royal
Songhees First Nation
Sidney
North Saanich
Selkirk
Coaticook
Cowansville
Farnham
Estevan
Ottawa
Rouyn-Noranda
Winnipeg
Keswick / Georgina
Map of conversions to
community mailboxes
2014 conversions
2015 conversions
Oakville
Port Hope
Richmond Hill
Stratford
Hamilton
Ingersoll
London
Aylmer
St. Thomas
Central Elgin
Southwold
Simcoe
Delhi
Tillsonburg
Norwich
Norfolk
Halifax
Joliette
Notre-Dame-des-Prairies
Saint-Charles-Borromée
Saint-Paul
Ottawa
Newmarket
Aurora
Winnipeg
Charlottetown
Stratford
Halton Hills (Georgetown)
Markham (Unionville, Thornhill)
Whitby
Milton
Halton Hills (Acton)
Windsor
Tecumseh
Lakeshore
Pierrefonds
Île-Bizard
Dollard-des-Ormeaux
Pointe-Claire
Terrebonne
Mascouche
Lachine
Dorval
Brossard
Greenfield Park
Saint-Lambert
Sainte-Thérèse
Blainville
Boisbriand
Laval
Pricing
Streamlining operations
• Tiered pricing structure
introduced on March 31, 2014
• 85 cents per stamp for a booklet
• $1 for purchase of a
single stamp
• Lower rates for businesses
and charities
• More than
Retail
Labour
• 73
• Two
new franchise
postal outlets
opened across the country
Canada Post’s Five-point Action Plan: Our progress to date
Halifax
Dartmouth
2 million worked
hours saved in 2014
compared to 2013
new collective
agreements signed
• Lower costs and a defined
contribution pension for
new employees
Page c
Executive summary
The simple reality of Canadians
sending less mail every year
continues to drive the need to
transform our national postal
service. As the market leader
in consumer parcel delivery,
we must also respond to
the growing demands of
online shopping.
Implementation of the
multi-year plan began in early
2014. Our goal is to create a
sustainable Canada Post that
is able to respond to the
changing needs of Canadians.
This report provides an update
on our progress.
Community mailboxes
•
As 2015 began, roughly one million households
were either converted from door-to-door delivery to
community mailboxes or were informed and in the
process of being converted in 2015.
•
We reach out to every household for feedback months
before conversion and keep them informed throughout the
process. We also keep municipal officials informed and invite
them to work with us.
•
We ensure all customers will have continued access to
their mail and parcels. Our accommodation program
follows best practices found in other programs. A trained and
dedicated team works with individuals to tailor solutions for
their unique needs.
A new approach to pricing
•
On March 31, 2014, a tiered stamp pricing structure for letters
mailed within Canada was introduced.
•
With mail volumes declining at their typical pace,
this strategic increase in prices improved LettermailTM
revenues in 2014.
Franchise post offices
•
We opened 73 franchise postal outlets in 2014 across
Canada. They offer the same pricing and services as corporate
post offices, but typically provide greater convenience, are
open longer hours and cost less to operate.
Streamlining operations
•
We continued to leverage investments in automation to
improve processing efficiency and reduce costs, while
meeting service standards.
Addressing labour costs
•
Positions are being reduced at all levels of the
organization, largely through attrition, while respecting
collective agreements and job security provisions.
Lettermail is a trademark of Canada Post Corporation.
Canada Post’s Five-point Action Plan: Our progress to date
Page 1
Community mailboxes
The plan
The community mailbox initiative is a five-year project to convert the
one third of Canadian households that still receive their mail at the
door to community mailbox delivery.
There will be no change in delivery for people living in rural areas,
or for those living in apartment buildings, seniors’ buildings and
condominiums who already have mail delivered to centralized boxes
in the building lobby.
Progress to date
As of early 2015, about one million households had either been
converted to a community mailbox or had been informed that they
would be converting in 2015.
•Approximately 100,000 households were converted
from door-to-door delivery to community mailbox delivery
in 2014.
•Approximately 900,000 households have been informed
that they will be converting to community mailbox delivery
in 2015.
• The process is under way at various stages in more than
90 communities across Canada.
• Canada Post has begun the conversion in every province.
Page 2
Canada Post’s Five-point Action Plan: Our progress to date
Municipal engagement
As every community is different and unique, we recognize that a
one-size-fits-all approach will not work. Canada Post has worked
with municipalities across Canada for more than 30 years as we
have installed thousands of community mailboxes. We have always
favoured cooperation in fulfilling our mandate. We have found that
collaboration with local officials benefits all stakeholders and, most
importantly, improves the outcome for residents.
• Before we begin the process in a community, we reach out
to the mayor to provide an overview of the conversion and
community-specific details, and to answer his/her questions.
• We engage regularly with mayors and councillors
throughout the process to keep them apprised of our progress.
• Following our consultation with affected residents, we
share community feedback with mayors, councillors and
city planners.
We have found
that collaboration
with local officials
benefits all
stakeholders and,
most importantly,
improves the
outcome for
residents.
• We meet with municipal planning departments to
exchange information on potential locations for new
community mailboxes. Locations are determined based
on factors such as safety, accessibility and proximity to the
addresses they serve.
• We provide preliminary siting maps to planning
departments early in the process to serve as a basis for
discussion on potential locations. These maps also include our
suggested “business corridors,” or commercial areas where
we will continue to deliver to addresses door to door.
We work with municipal officials to find the safest, most convenient
locations for each neighbourhood, leveraging existing street lighting
and sidewalks where feasible. We build our plans based on customer
surveys and established guidelines. This process helps to ensure
municipal resources can be used most efficiently and keeps to a minimum
the time requirement from city staff.
We meet with municipal
planning departments to
exchange information on
potential locations for
new community
mailboxes.
To help offset any potential costs related to their involvement in
converting door-to-door neighbourhoods, we offer $50 per site to
the municipality early in the process.
Canada Post’s Five-point Action Plan: Our progress to date
Page 3
Community consultation and customer support
Canada Post has developed a robust process to ease the transition
for customers affected by this change. We consult with residents
early in the process to determine their preferences and attempt to
address their questions and concerns regarding the conversion. We
also communicate regularly with customers throughout the process,
which takes about 10 months to complete, to keep them informed
and answer their questions.
We consult with
residents early in
the process to
determine their
preferences and
attempt to address
their questions and
concerns regarding
the conversion.
• We request feedback from affected residents through a
survey that is mailed to every transitioning household
immediately following the announcement that their
neighbourhood will convert to community mailbox delivery.
The survey, which can also be completed online, helps us
understand the preferences of each community as to the
location and the grouping of the units, as well as the issues
that matter most to affected customers.
• If residents wish to provide more detailed feedback, they are
invited to participate in a more in-depth conversation through
the online Community Mailbox Guidebook.
1
We want to hear from you
2
We heard you: the
results of feedback in
your neighbourhood
your community
3 Where
mailbox will be
Questions you may have
Why are you changing the way
I get my mail?
With Canadians mailing less and less each year, we have to
make difficult decisions to secure the postal service for
everyone. We know people don’t want us to become a burden
on taxpayers. This change protects your mail delivery but reduces
the cost of providing it. Delivering your mail to a community
mailbox will cost half as much as delivering it to your door.
Your views will help the transition
to community mailboxes.
Changing the way
Canada Post delivers
mail across the country
will help secure the
postal service for
all Canadians.
What if I have a disability that means
I can’t get to my community mailbox?
M5582L
Please fill out this survey and return it
within four weeks.
We understand that some seniors and some people with disabilities
Mark each answer that best
reflects
may
not beyour
able to get to their community mailbox. If you need
opinion with an X, and return
the
survey in
special
accommodation
because you have significant mobility
the enclosed postage-paidissues
envelope.
and lack alternatives to access a community mailbox,
MAIL RECIPIENT
1234 YOUR ST
CITY PROVINCE A1B 2C3
please call us directly at 1-844-454-3009.
Canada Post is proud to serve you, and
is committed to making your transition
to community mailboxes as smooth and
convenient as possible. You are part of
this change and understanding your
preferences will help us implement
this initiative.
Or, if it is more convenient, visit
canadapost.ca, enter your access code
How do I get my mail
and fill out this survey online.
and parcels?
You’ll be assigned a locked individual compartment for mail
The access code is used so that only those who
and smaller parcels. Larger parcels are delivered and locked into
are affected by a change in service delivery fill
one of the parcel compartments. A clearly marked parcel key will
out the survey.
be placed in your compartment, allowing only you to retrieve
Your access code is: your parcel. Community mailboxes have been in use for 30 years,
and millions of Canadian households already rely on them.
canadapost.ca
What’s going to happen ... and when?
Converting to a community mailbox
2
3
3
5
1
2
3
4
SAME
5
UP
While community mailboxes have served millions of Canadians
for three decades, we understand this represents a significant
When it comes to CMBs, which of the following do you think is most important to you?
change for affected customers and your community. Over the
Please choose only one answer.
coming months, Canada Post will work to ease this transition.
PERSONAL
SECURITY OF
LOCATION
ACCESSIBILITY
DESIGN AND MAINTENANCE
SAFETY
YOUR MAIL We will begin by working with your municipality to find
locations for the community mailboxes that will best serve
your 2
neighbourhood.
Proceed to page
>
Page 1 of 2
As we prepare to transition mail delivery in your neighbourhood
to community mailboxes, we would greatly appreciate
hearing directly from you. Please take the time to let us know
what you think. The information we receive from you and your
neighbours will factor into our planning of the transition in
your community.
Thank you in advance for your understanding and your input.
Canada Post remains proud to serve you, and we are committed
to making this transition as smooth and convenient for
you as possible.
Sincerely,
Mary Traversy
Senior Vice-President, Business Transformation
Canada Post
Page 4
Dear Canada Post Customer,
As you know, your neighbourhood will be converting to community
mailbox delivery. The location of the community mailbox serving your
household has been determined.
(over)
We want to
hear from you
1 Please fill out the short
survey in this package.
It will help us with implementation. This survey is
also online.
000019
Recently, Canada Post sent a letter informing you that we will be
changing the way we deliver mail and parcels in your community.
Beginning in the second half of 2015, Canada Post will deliver
mail and parcels to new locked community mailboxes in your
neighbourhood.
As a result, in most cases, community mailboxes will be carefully
placed in groups of three or four units, close to the homes they
serve. They will be set back a safe distance from the road and/
or intersection. If there are existing sidewalks and if it is possible,
these mailboxes will be placed with sidewalk access. They will also
be placed as close as possible to any lighting that may already be
present in the area.
Domestic6 Lettermail in 2014
than they did in 2006. The changes we are making are necessary to
7
secure the future of postal
GO service in Canada and avoid becoming a burden on taxpayers.
19
Dear Canada Post customer
Your neighbourhood expressed a strong preference for small
groupings of community mailboxes closer to home, rather than
large groups farther away.
Ask,
read, or share
a question in our Q&A Forum on canadapost.ca
6
7
There will be no change in delivery for people living in apartment buildings, seniors’ buildings
GONE
and condominiums whoUPalready have mail delivered to boxes in the building lobby.
Making the decision to end mail delivery to the door has been difficult. Digital alternatives are
Thinking ahead over the next year, do you think the amount of online
shopping
you do
will
replacing
traditional
mail
and that trend will accelerate. As a result, people are using Canada Post
go up or down?
differently than they have in past years. Canadians mailed almost 1.4 billion fewer pieces of
GO
DOWN
4
4
SAME
CORLP
MAIL RECIPIENT
123 ANYSTREET
ANYTOWN PRO A1B 2C3
Location
YES
NO
Canada Post will be making changes to delivery in your community next year. Most customers
in your neighbourhood will start to receive their mail and parcels in new locked community
mailboxes.
looking forabout
your input
now, early in the
process, to help us understand your
HaveWe
a are
question
community
mailboxes?
Over the past three years, has the volume of mail you send gone up or down?
priorities and preferences.
1
M5582L
000019
Based on the feedback, we understand that the following issues
are important in your neighbourhood. To read a full report on the
feedback from your community, visit canadapost.ca.
It will be several months before your community mailbox is
Canada Post has been serving Canadians through community mailboxes (CMBs)
foryou
three
decades,
ready for
to use.
We will provide regular updates between
installing them in new developments as they have been built all across now
Canada.
Did you
knowinformation about the location of your
and then—
including
that 10 million Canadian homes already receive their mail through some
form of mailbox,
centralized
community
how and when you will receive your keys,
delivery such as a community mailbox, boxes in apartment or condo lobbies,
or date
at post
offices?
and the
delivery
will begin.
GONE
DOWN
19
Here is the location of your community mailbox:
Max of 55 characters here (shown), describing location
To view the location of your community mailbox
on a map on canadapost.ca, use this access code:
Changing the way
Canada Post delivers
mail across the country
will help secure the
postal service for
all Canadians.
123 456 789
Community mailbox locations are determined through careful planning. We considered safety,
street lighting and sidewalk access, as well as survey feedback from your neighbourhood,
in choosing this site.
What happens next: We will begin installing community mailboxes in your neighbourhood.
After the boxes are installed, we will provide you with keys to your new mailbox.
Delivery to your community mailbox will begin on Abcdefday, Abcember 00, 2015.
Your door-to-door service will continue until this date.
We are committed to ensuring that everyone can access the postal service. If you need special
accommodation because you have significant mobility issues and lack alternatives to access
your community mailbox, please call us directly at 1-844-454-3009.
Canada Post is proud to serve you and we are committed to making this mail delivery change
as smooth and convenient as possible. If you have further questions, please visit canadapost.ca
or call 1-844-454-3009.
Sincerely,
Mary Traversy
Senior Vice-President, Business Transformation, Canada Post
1-1
2
CORLP
MAIL RECIPIENT
123 ANYSTREET
ANYTOWN PRO A1B 2C3
The letter we sent included a survey asking for your feedback to
help in our planning of the transition to community mailboxes.
We heard from many in your community about priorities and
preferences. We also heard some concerns, which we hope to
address in this letter. Thank you for taking the time to share
your thoughts.
123 456 789
Your participation in this survey is completely voluntary. All responses you provide will be treated in accordance with Canadian privacy laws, will
remain confidential and will only be used for purposes related to this program. The reporting of the data we collect will be in aggregate, meaning
we will group many responses together and report on findings from groups of respondents.
1
canadapost.ca
canadapost.ca
Please respond
to the survey within
four weeks.
2 If you have more time,
please participate in a more
in-depth conversation
through the Community
Mailbox Guidebook.
To use these tools, or for
more information about
the conversion of mail
delivery where you live,
visit canadapost.ca
or call 1-844-454-3009.
Canada Post’s Five-point Action Plan: Our progress to date
• We later share the results of our local consultation with
affected residents by mail, and analyze their feedback to
determine the most suitable ways to serve them.
• Before the final locations of the community mailboxes are
communicated to all residents, we meet with customers
who live adjacent to a community mailbox site. We knock on
their doors to speak with residents in person and answer their
questions. If a customer raises a concern about a location
we have selected, we re-evaluate the site, look for alternative
locations in the neighbourhood that meet our criteria, and
adjust the location if possible.
• Closer to the conversion date, all affected addresses
receive, along with their keys, a Community Mailbox
User Guide which answers common questions about their
community mailbox.
4 Receiving your keys
5
The keys to your
community mailbox
canadapost.ca
canadapost.ca
M5582L
CORLP
19
000019
MAIL RECIPIENT
123 ANYSTREET
ANYTOWN PRO A1B 2C3
Delivery of mailbox
keys will begin
the week of
<Month 00, 2015>.
Dear Canada Post Customer,
Your mail will soon be delivered to a community mailbox located
in your neighbourhood. Community mailboxes provide individual
mail compartments that are locked, so you will need a key to
retrieve your household mail.
Your keys will be delivered to your home.
You don’t need to do anything to request them.
Some customers ask to pick up their keys in person at a post office. If that is your preference, simply
visit canadapost.ca before <Abcdefday, Abcember 00, 2015> and use the access code <### ### ###>
to select a post office for delivery.
At home or at a post office, your keys will arrive between <Abcdefday, Abcember 00, 2015 and
Abcdefday, Abcember 00, 2015>.
We understand that some seniors and Canadians with disabilities may not be able to get to their
community mailbox. We are committed to ensuring that everyone can access the postal service.
If you need special accommodation because you have significant mobility issues and lack alternatives
to access your community mailbox, please call us directly at 1-844-454-3009.
Community mailboxes are an important part of securing the future of postal service for all Canadians.
Canada Post is proud to serve you and we are committed to making this mail delivery change as
smooth and convenient as possible. If you have further questions, please visit canadapost.ca
or call 1-844-454-3009.
6
onfirming you are
C
ready to use your
community mailbox
canadapost.ca
The keys to your community mailbox are enclosed.
M5582L
Dear Canada Post Customer,
We have enclosed an envelope containing three keys to your new household mailbox.
Please give your keys a try as soon as possible. If you have any issues accessing your new box with
them, call 1-844-454-3009 so that we can quickly respond. Please keep your keys in a safe place.
Delivery to your community mailbox will begin on <Abcdefday, Abcember 00, 2015>.
Location:
<MAX OF 55 CHARACTERS HERE (SHOWN), DESCRIBING LOCATION>
Compartment number: <##>
In addition to your keys, this package also
includes a Community Mailbox User
Guide. We’ve included a spot on the cover
of your guide where you can note the
above location details. Inside the guide
you’ll find answers to many questions you
may have about your community mailbox,
both now and as you use it over time.
Your module
number
Your
compartment
number
Canada Post is proud to serve you and
we are committed to making this mail
delivery change as smooth and convenient
as possible. If you have further questions,
please visit canadapost.ca or call
1-844-454-3009.
Sincerely,
Sincerely,
Mary Traversy
Senior Vice-President,
Business Transformation, Canada Post
Mary Traversy
Senior Vice-President,
Business Transformation, Canada Post
Please try your
keys as soon
as possible.
19
000019
Delivery to your new
community mailbox
will begin on <Day,
Month 00, 2015>.
Dear Canada Post Customer,
You should now have everything you will need to start picking
up your mail and parcels at your new community mailbox.
Your keys were scheduled to be delivered to your home or,
if you requested, to a post office of your choice.
Here are the details of your new mailbox:
Module number: <##>
CORLP
MAIL RECIPIENT
123 ANYSTREET
ANYTOWN PRO A1B 2C3
IMPORTANT: If you haven’t received your keys by
<Month 00, 2015>, please follow these instructions
as soon as possible:
1
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
Canada Post
Community Mailbox
User Guide
My community mailbox location:
Complete a request form online at canadapost.ca or call
1-844-454-3009. To complete your request, you will need the
following access code: <### ### ###>.
Once you make this request, we will change the lock on your
community mailbox compartment and send you a new set of
keys to ensure the security of your mail. Your new keys will arrive
before delivery to your community mailbox begins.
If you are waiting to hear about a request regarding delivery
accommodation due to a disability, we will be contacting you soon.
Canada Post is proud to serve you and we are committed to
making this mail delivery change as smooth and convenient as
possible. If you have further questions, please visit canadapost.ca
or call 1-844-454-3009.
Sincerely,
Mary Traversy
Senior Vice-President, Business Transformation, Canada Post
If you haven’t
already done so,
we would ask
that you give your
new keys a try as
soon as possible.
If you experience any
issues accessing your
new box with the
keys provided, please
call 1-844-454-3009
immediately so that we
can quickly respond
and ensure you have
easy access to your
community mailbox.
My module #:
My compartment #:
Canada Post’s Five-point Action Plan: Our progress to date
Page 5
Canada Post has
also created a
dedicated toll-free
customer service
line specifically for
this project.
• At any time, customers can visit canadapost.ca and enter
their postal code to access the most current information
regarding the transition in their community. Throughout the
conversion process, they will be able to complete the online
survey, view the location of their community mailbox on a
map, and request that their keys be delivered to a nearby post
office of their choice, among other things.
• Residents can also visit our online Community Mailbox
Question & Answer forum to ask questions about the
transition to community mailboxes and read previously posted
answers. Thousands of customers have asked questions and
received answers regarding specific aspects of the community
mailbox conversion.
• Canada Post has also created a dedicated toll-free customer
service line specifically for this project. Customers can call
1-844-454-3009 to speak with specially trained agents about
the delivery changes in their community.
Residents are invited to
participate in an in-depth
conversation through the
online Community Mailbox
Guidebook.
Residents can visit our
online Community Mailbox
Question & Answer forum
to ask questions about the
transition to community
mailboxes and read previously posted answers.
Page 6
Canada Post’s Five-point Action Plan: Our progress to date
Delivery accommodation
Canada Post is committed to ensuring all customers have access to
the postal system, understanding that some Canadians with disabilities
or mobility issues have concerns about the change in their delivery
service. Every person’s situation is unique, and we must tailor our
solutions to individual circumstances on a case-by-case basis.
Through consultation with various organizations, we have created a
comprehensive and confidential accommodation process to ensure
customers with disabilities can continue to access their mail and
parcels. Canada Post can also provide delivery accommodation
solutions to existing community mailbox users.
• Customers who have concerns about their ability to access
a community mailbox are invited to call 1-844-454-3009.
Canada Post will then send an information package and a
questionnaire to the customer to better understand his/her
concerns, while respecting privacy.
• After receiving a customer’s completed questionnaire, a
member of our dedicated and specially trained delivery
accommodation team will contact the customer to discuss
his/her unique needs and the solutions we can offer.
• Delivery accommodation solutions could include:
Examples of modifications
Canada Post can make
1. A compartment could be
equipped with a sliding tray.
The tray makes it easier for a
customer to reach the mail
by reducing bending and
stretching.
2. Customers could be assigned
a compartment at the height
or part of the mailbox that they
identify as the most appropriate
to their needs.
> Providing customers with a compartment at the height
or part of the mailbox they identify as most appropriate
> Equipping a customer’s compartment with a sliding tray
to make it easier to see and reach the mail without
bending or stretching
> Providing a key-turning aid for a customer with arthritis
or dexterity issues
> Redirecting customers’ mail to a post office or to a
trusted person they designate
3. If arthritis or dexterity are
important considerations,
Canada Post can provide a key
turner. It assists the customer
in inserting, turning and pulling
out the key.
> Collecting customers’ mail from their assigned community
mailbox compartment and delivering it to their door
one day per week
These accommodations are provided to customers free of charge and
can be offered permanently or temporarily, such as for the winter.
4.The tags for keys to the parcel
compartments contain braille
and raised lettering to help
customers with impaired vision
locate the compartment with
their parcel.
Canada Post’s Five-point Action Plan: Our progress to date
Page 7
Installation and ongoing maintenance
Canada Post is responsible for all installation and maintenance costs
related to the community mailboxes and has been since they were
introduced 30 years ago. That includes siting, site preparation such as
curb cuts to ensure access, installation and ongoing maintenance.
Canada Post takes its responsibility to keep community mailbox sites
clear and accessible during the winter very seriously. We have dedicated
local teams in each community with precise instructions on how to
clear snow and ensure the area around the box is safe for customers
and our employees who have to access the box. This commitment is
in place for the boxes that have been serving Canadians for decades
as well as any new boxes we install.
While it has not been a common problem, any ongoing issues regarding
litter or graffiti at community mailbox sites should be brought to
our attention. That way we can clean the site and look at any other
potential actions that may be necessary. As most municipalities have
excellent residential paper recycling programs, we encourage all
customers to bring their mail home and deposit any unwanted items
into the proper recycling receptacle. To encourage that behaviour,
Canada Post does not install recycling or garbage receptacles at
mailbox sites.
If any customer feels there is an issue that requires attention, he/she can
contact customer service at 1-844-454-3009.
Canada Post takes its
responsibility to keep
community mailbox
sites clear and accessible
during the winter very
seriously.
Page 8
Canada Post’s Five-point Action Plan: Our progress to date
A new approach to pricing
The plan
On March 31, 2014, Canada Post increased the basic postage rate
and introduced a tiered stamp pricing structure for letters mailed
within Canada. As part of this strategic increase in prices, stamps
sold in booklets, coils and panes rose from $0.63 to $0.85 for letters
0-30 g mailed within Canada and single stamps rose to $1.
There was no increase for the basic stamp price in 2015 to mail a
letter within Canada. We did adjust prices for some of our competitive
products, such as our parcel and direct marketing services, as well as
some of our non-regulated transaction mail services.
Progress to date
In 2014, volumes of transaction mail, which includes mostly letters,
bills and statements, fell by about five per cent compared to the
previous year. This was comparable to the declines we’ve seen in
recent years which was better than anticipated. As a result, the
stamp pricing adjustment contained in the Five-point Action Plan,
introduced at the start of the second quarter, helped to offset the
impact of the decline.
Canada Post’s Five-point Action Plan: Our progress to date
On March 31,
2014, Canada Post
increased the
basic postage rate
and introduced a
tiered stamp pricing
structure for
letters mailed
within Canada.
Page 9
Measures to support small businesses
and non-profits
Canada Post understands that the price adjustment represents an
additional cost to Canadians, including small businesses and nonprofits. To help manage the transition and minimize the immediate
impact of the price increase, we introduced some temporary and
permanent measures to support small businesses and charities.
From March 31 to December 31, 2014, we offered:
• A 5% discount to small businesses that were part of our
VentureOne program and that purchased a minimum of
300 PermanentTM stamps in coils of 100 or more, in a single
transaction.
• For customers who use postage meters, a 5% rebate
on their Lettermail postage purchases up to a maximum
rebate of $250.
To help small businesses and charities use direct mail to support their
operations in the long term, Canada Post also permanently lowered
the minimum volume requirement on a number of key products.
This gives them access to lower postage rates for the distribution of
their advertising and other materials.
To help manage the transition and minimize the immediate
impact of the price increase, we introduced some temporary and
permanent measures to support small businesses and charities.
Page 10
Canada Post’s Five-point Action Plan: Our progress to date
Franchise post offices
The plan
Canada Post is emphasizing customer convenience as it strengthens
its retail network by opening more postal franchises.
Franchise post offices:
• are open extended hours
• offer more parking
• provide additional and more convenient locations for parcel
pickup and returns
• allow busy Canadians to do more of their shopping in one
place, because franchise post offices are located in stores,
plazas and malls
• benefit the host businesses as post offices generate
increased customer traffic
Franchise
operations offer
the same products,
services and prices
as corporate post
offices, and they
cost less to operate.
Franchise operations offer the same products, services and prices as
corporate post offices, and they cost less to operate.
Canada Post has also been streamlining its network of traditional
corporate post offices. Most often, this involves adjusting the hours of
operation to realign them where customer traffic patterns warrant.
Canada Post’s Five-point Action Plan: Our progress to date
Page 11
Progress to date
Canada Post opened 73 franchise postal outlets in 2014 across
the country.
The Canadian Postal
Service Charter and
the moratorium on
closing rural post
offices have been
respected.
Canada Post is strengthening its competitive advantage and is making
post offices an even more integral aspect of the online shopping
experience. The initiative is achieving the target benefits and is on
track to realize projected savings.
In addition, a number of corporate post offices were streamlined in
response to customer usage. Hours of operation were adjusted after
local municipal officials were contacted and after informing the
community. In some instances, the proposed hours were readjusted
in response to local input. The Canadian Postal Service Charter and
the moratorium on closing rural post offices have been respected.
Canada Post is strengthening
its competitive advantage
and is making post offices
an even more integral aspect
of the online shopping
experience.
Page 12
Canada Post’s Five-point Action Plan: Our progress to date
Streamlining operations
The plan
Canada Post is changing internal operations to improve the flow of
mail and parcels to customers. This is achieved primarily by leveraging
the investment in automation. Consolidating the sorting of mail and
parcels into major plants with the highest concentration of costeffective high-speed automated sorting equipment reduces the cost
of operations.
Progress to date
In 2014, Canada Post streamlined its network to consolidate volumes
and work in larger centres, to take advantage of automated sorting
equipment.
• The processing of some mail and parcels moved from
plants in Ottawa, Hamilton, London and Saint John to major
plants in Montréal, Toronto and Halifax.
• Some work was transferred from 10 other smaller locations
to larger facilities, which reduced manual processing.
Consolidating
the sorting of
mail and parcels
into major plants
with the highest
concentration
of cost-effective
high-speed
automated sorting
equipment
reduces the cost
of operations.
• We restructured over 110 delivery depots to achieve
greater efficiencies.
• We consolidated remote address coding work from
several cities to two facilities in Richmond, B.C. and Toronto.
Canada Post’s Five-point Action Plan: Our progress to date
Page 13
In early September 2014, Canada Post officially opened the stateof-the-art Pacific Processing Centre in Richmond, B.C. The high-speed
automated sorting equipment for Lettermail, parcels and packets
allows the Corporation to implement motorized delivery and other
measures that have produced significant savings. Canada Post has
also invested in new automated parcel sorting at the processing plant
in Montréal. This, too, achieved productivity gains.
Our streamlining efforts are designed to ensure we maintain service
standards and therefore minimize any impact on customers. Service
standards for delivery of Lettermail are being respected, while service
performance for parcels continues to be strong. Operational costs are
decreasing and we are on our way to realizing the savings we
projected once these changes are fully implemented. Canada Post
will continue to explore how it can realize further financial benefits
from streamlining operations.
In early September 2014, Canada Post
officially opened the state-of-the-art
Pacific Processing Centre in Richmond, B.C.
Page 14
Canada Post’s Five-point Action Plan: Our progress to date
Addressing labour costs
The plan
Canada Post intends to address its labour costs through the collective
bargaining process and to reduce its workforce, largely through
attrition, by implementing the initiatives within this plan.
Canada Post has also committed to addressing the costs associated
with non-unionized and management employees in line with the
changes to its operations and unionized workforce.
Progress to date
Canada Post and two bargaining agents successfully negotiated two
new collective agreements in 2014. Both agreements minimize the
impact of change on existing employees, and help to address labour
costs. They do so by offering new employees a lower starting wage
and eligibility in a defined contribution pension plan rather than a
defined benefit plan. Since 2010, new management and non-unionized
employees have been eligible for a defined contribution pension plan.
Canada Post and
two bargaining
agents successfully
negotiated two new
collective agreements
in 2014.
The first successful outcome in 2014 was with the Public Service
Alliance of Canada/Union of Postal Communications Employees. It
represents employees in administrative or technical roles. They ratified
Canada Post’s final offer in a vote that concluded in April 2014.
Later in 2014, employees represented by the Association of Postal
Officials of Canada also reached a new collective agreement. This
association represents supervisors as well as trainers, route measurement officers and some sales employees.
Canada Post’s Five-point Action Plan: Our progress to date
Page 15
The initiatives that make up the Five-point Action Plan, including the
conversion to community mailbox delivery and the streamlining of
operations, are helping to address labour costs. In 2014, we saved
2,076,000 worked hours compared with the previous year, which
represents a reduction of 3.2%. These efficiencies mean that we will
be able to reduce our workforce gradually and in accordance with
our collective agreements. This workforce reduction will be achieved
largely through attrition, as 15,000 employees are expected to retire
or leave the company over the next five years.
Page 16
Canada Post’s Five-point Action Plan: Our progress to date