Harper secretly reviewing postal service - privatization around the corner?

7 posts / 0 new
Last post
Harper secretly reviewing postal service - privatization around the corner?



[url=http://www.rabble.ca/in_his_own_words.shtml?sh_itm=f9394c62aa61b34dd40f4... Conservative voters better think twice about Harper if they want to keep their mail service.[/url]


Over the next few months, our Conservative federal government is conducting a review that will determine the future of universal, public postal service in our country. This review is pretty much a secret review, and it could be bad news for good people.

The government’s review will look at three very basic and important questions: What postal services should people receive? Who should provide them? And should Canada Post continue to have an exclusive privilege to handle addressed letters, or should the letter market be open to competition?

Anyone who thinks that a little competition never hurt anyone might want to take a closer look at how our postal system actually works. Canada Post has an exclusive privilege to handle letters so that it is able to generate enough money to provide affordable postal service to everyone, no matter where they live.

While the exclusive privilege isn’t often discussed, most people seem to like what it does. In fact, 91 per cent of respondents to an Angus Reid poll said universal postal service at a uniform rate is one of the really great things about Canada Post.

Unfortunately, our popular and egalitarian one-price-goes-anywhere service could disappear. If the government decides to eliminate our post office’s exclusive privilege as a result of its review, Canada Post would almost certainly face a downward spiral.

laine lowe laine lowe's picture

A very good post from Alison at Creekside:

[url=http://creekside1.blogspot.com/2008/07/going-postal.html]Going postal[/url]


I recall living in Inuvik, and the family of a friend sent something to him a large item by private carrier thinking it would be faster. They got it as far as Yellowknife, and let him know that at that point it was his problem. That was as far as they could make a buck out of it. It was mailed to him at the same rate as if it were sent from Toronto in the first place.

With Canada Post, Canadians (or not) can have the same communication with one another no matter where they live. Canada Post, despite any flaws, is one of the unifying forces in this huge sprawling country.

Boom Boom Boom Boom's picture

From 2007: [url=http://www.cupw.ca/index.cfm/ci_id/8943/la_id/1.htm]The fight to privatize or deregulate Canada Post[/url]


Canada Post’s competition has been working overtime on undermining our public post office since the Tories were elected. For the last year, international mailers have been campaigning to reduce Canada Post’s exclusive privilege. Now, the conservative think tank, the CD Howe Institute, is arguing for full privatization and deregulation.


The union is deeply concerned that only the NDP has raised concerns about this issue. We will be appearing before a parliamentary committee to raise our concerns in the weeks to come.

Malcolm Malcolm's picture

A google search under "Canada Post Strategic Review" leads to the following:


A rather ill-kept secret.

The home page gives the four principles incorporated in the terms of reference. I direct your attention to the first point.

* Canada Post will not be privatized and will remain a Crown corporation;
* Canada Post must maintain a universal, effective and economically viable postal service;
* Canada Post will continue to act as an instrument of public policy through the provision of postal services to Canadians; and
* Canada Post will continue to operate in a commercial environment and is expected to attain a realistic rate of return on equity.

The home page also provides directions on how to make a submission.

Catchfire Catchfire's picture

Alison's blog post is excellent.

Tony Blair "liberalized" Britain's Royal Mail in 2006 (something that not even Thatcher would do). A recently released report analyzed how the private sector performed in comparison to the old government service.

From [url=http://www.guardian.co.uk/uk/2008/may/07/post]The Guardian[/url]:


The government's strategy of opening up the postal market to private sector competition has provided "no significant benefits" for consumers and smaller businesses, while representing a "substantial threat" to the future of the Royal Mail, an independent report commissioned by ministers warned yesterday.

A major shakeup is needed in the way the industry is regulated if Britain is to benefit from a strong, competitive and cost-effective postal service, said the damning report by former media regulator Richard Hooper for business secretary John Hutton.

Large companies have benefited from the full liberalisation of the postal market since 2006, gaining more choice, lower prices and better quality products, but "there have been no significant benefits for smaller businesses and domestic consumers," said the report.

Customers were largely happy with the value for money now provided by the state-owned Royal Mail but Hooper - a former deputy chairman of the media and telecoms regulator Ofcom - said the current situation endangered the future of a universal service which guarantees one price and next day delivery throughout the country.

"There is now a substantial threat to Royal Mail's financial stability and, therefore, the universal service. We have come to the conclusion, based on evidence submitted so far, that the status quo is not tenable. It will not deliver our shared vision for the postal sector," the report concluded.

Oops. Surely Harper will be able to improve on those lousy redcoats, don't you think?