Unionized workers at Canada Post have rejected the Crown corporation’s “final” contract proposals, deepening a labour dispute that has dragged on for more than 18 months. In a forced ratification vote overseen by the Canada Industrial Relations Board, 68.5% of urban carriers and 69.4% of their rural and suburban counterparts voted against the package, which covered roughly 55,000 members of the Canadian Union of Postal Workers (CUPW). Canada Post’s offer included wage increases of about 13% over four years and a restructuring plan that would expand the use of part-time staff. The company said it was disappointed by the outcome and is weighing its next steps, while CUPW negotiators signalled they are ready to return to the bargaining table. Labour experts say a national strike is unlikely for now, but an overtime ban imposed by the union in late May remains in place. Canada Post has warned that continued uncertainty is costing the financially troubled postal service millions of dollars in business each day as customers shift to competitors. Labour Minister Patty Hajdu urged both sides to reach a settlement “as soon as possible.” The government previously asked the parties to consider binding arbitration after intervening to prevent a holiday-season walkout last year, and business groups are again calling for back-to-work legislation if negotiations fail. The dispute comes as an Industrial Inquiry Commission has described Canada Post as effectively bankrupt, fuelling speculation that Ottawa may eventually pursue broader reforms to the postal service’s mandate, including reduced door-to-door delivery or expanded community mailboxes.