DHL Express Canada and striking workers have reached a tentative agreement on a new contract, according to the Unifor union, raising stakeholder hopes the national courier will soon be able to resume operations.
Unifor, which represents more than 2,100 DHL Express truck and van drivers, warehouse pickers and clerical workers in Canada, said details of the deal will not be disclosed until it is finalized. A ratification meeting for members will take place in the next few days, it said.
Unifor will maintain picket lines until the deal is ratified, said spokeswoman Jenny Yu. DHL Express confirmed in an email that a preliminary settlement has been reached.
DHL Express Canada locked out workers on June 8 and the union immediately reciprocated with a strike action. DHL Express was able to operate for about 10 days by using replacement workers, but was forced to suspend operations on June 20 when new legislation banning the use of strikebreakers took effect. The company was unsuccessful in getting the Canadian government to issue an exemption for the continued use of replacement workers.
Unifor was seeking a 22% hourly wage increase and a 42% cost-of-living increase for owner-operator drivers over three years.
DHL Express said it offered a 15% wage increase over five years, premiums for certain job classifications and increased pension benefits. It also sought to revise the compensation formula for independent drivers so that it is based on market conditions.
DHL Express is not one of the top five couriers in Canada, but is an important shipping option for many businesses, especially for international deliveries. A resumption in operations will also improve parcel capacity at a time when Canada Post, the largest delivery company, is locked in protracted bargaining with mail carriers who refuse to work overtime.
Click here for more FreightWaves/American Shipper stories by Eric Kulisch.
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