DHL Express Canada Locks Out Workers Nationwide Amid Sector Strain

The strike and lockout that began on Sunday at DHL Canada Express will scarcely slow down its parcel delivery service, according to the corporation, as the union accuses it of deploying replacement workers.

The carrier stated that it had implemented a "contingency plan" that will allow it to continue serving its 50,000-plus customers, which include retailers Lululemon and e-commerce giants Shein and Temu.

"With the implementation of these proactive measures, we are pleased to confirm that we can sustain our operations throughout our Canadian network, and we do not anticipate significant disruptions to our service," DHL spokeswoman Pamela Duque Rai said in an email Sunday.

Unifor, which represents over 2,000 DHL truck drivers, couriers, warehouse, and call centre personnel, has condemned any attempt to replace unionized workers with temporary ones.

According to union president Lana Payne, the move is still theoretically permissible because legislation prohibiting replacement workers does not go into effect until June 20.

"DHL sees this as a bit of a loophole, and now is the time for them to put maximum pressure on our membership to concede," she stated over the phone.

Payne also warned of a frost at the bargaining table.

"The relationship also worsens when you have an employer that thinks they can use replacement workers."

The company bused would-be temporary workers to a sorting facility in Hamilton, Ont., for a tour last week and intimated in recent days that it might hire them if a work stoppage occurred, she said.

The corporation did not immediately reply to inquiries about replacement hires.

The work stoppage adds to the labour unrest in the package market, as Canada Post remains at odds with 55,000 employees despite an overtime ban enforced by the Canadian Union of Postal Workers.

Unifor stated that its bargaining goals continue to be salaries, working conditions, workplace surveillance, and automation.

It also cited DHL's proposals to change the driver pay system, which it said could result in some workers travelling up to 100 kilometres for pickups without compensation, as well as rerouted pickups and reduced pay for "owner-operators" - independent contractors represented by Unifor alongside full-time employees.

DHL was "disappointed" that it was unable to negotiate an agreement, according to Duque Rai. According to DHL, the proposal includes a 15% wage increase over five years, as well as increased surcharges for dangerous cargo delivery.

"The proposed terms relating to the review of our routes and a revised compensation model for owner-operators are designed to address changes to the economic viability and operational structure of the Canadian market and would continue to ensure that drivers operating for DHL Express receive highly competitive compensation," she told reporters.

The firm dismissed the union's warning that the work stoppage will hamper next weekend's Formula One Canadian Grand Prix in Montreal, where DHL is responsible for shipping the turbocharged race cars.