DHL Express Canada workers began striking Sunday after the logistics company initiated a lockout amid ongoing contract negotiations, according to a spokesperson for Unifor, the union representing the carrier’s employees.
Unifor has over 2,100 members with DHL Express Canada in British Columbia, Quebec, Manitoba, Saskatchewan, Nova Scotia, Ontario and Alberta. Union members include couriers, truck drivers, warehouse employees and clerical workers.
The dispute could disrupt logistics flows for DHL Express shippers within the country, which include Temu, Shein, Lululemon and Siemens Canada, Unifor warned in a news release. The time-definite delivery provider also has integrated contracts with other freight companies like UPS and Loomis, per the union.
"The labour dispute could also potentially cause major disruptions to the Canadian Grand Prix in Montreal, June 13 to 15, due to DHL’s responsibility for transporting Formula One vehicles," Unifor said.
DHL aims to continue providing reliable service to customers after activating contingency plans, the company said in emailed remarks to Supply Chain Dive. Specifics on the contingency measures weren’t provided.
“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 said.
Unifor and DHL have been in contract negotiations since last year, with their most recent agreement expiring on Dec. 31.
Unifor is looking to secure better wages and working conditions while fighting against changes it says reduce pay for owner-operators. DHL is pursuing an agreement that’s fair for employees “but also realistically reflects the current economic landscape,” the company said, adding that it wants owner-operators to continue receiving competitive compensation.
Employees voted 97% in favor of a strike in May as negotiations dragged on. In the middle of a negotiating round last week, DHL Express Canada issued an employee lockout notice while Unifor filed a 72-hour strike notice the following day, according to the union.
The labor action adds to existing risks for Canada's parcel delivery sector. Canada Post workers seeking a new labor contract are in the midst of an overtime ban, which has led the carrier's customers to rely more on other delivery providers.
