Unifor has reported that DHL Express Canada shut out workers shortly last week due to the failure of the two parties to reach a contract agreement.

This development has resulted in additional labor unrest in the parcel delivery markets of Canada.

The union, which represents 2,100 truck drivers, couriers, and warehouse workers in seven provinces, declares that they initiated a strike at 11 a.m. in response. E.T.

DHL Employees during strike

Unifor maintains that the German-owned carrier is contemplating modifications to its driver compensation system and intends to employ substitute employees prior to the implementation of legislation prohibiting them on June 20.

According to DHL Express, the suspension notice was served on Thursday, and Unifor informed them of a strike the following day.

The company stated in a statement issued by spokesperson Pamela Duque Rai that the new payment system is “engineered to adapt to the economic viability and operational structure of the Canadian market.”

It stated that it had suggested a 15% salary increase over a five-year period, with a 5% increase in the first year of a new contract.

The statement stated, “Regrettably, there was insufficient progress to generate a new collective agreement.”

The work cessation, which impacts package delivery nationwide, is the result of ongoing negotiations between Canada Post and its 55,000 employees.

The union, which imposed an overtime prohibition last month, has since implemented a reduction in parcel services.

Unifor has indicated that a work suspension could potentially disrupt the Formula One Canadian Grand Prix in Montreal next weekend. DHL is responsible for the transportation of the turbocharged race cars.

Unifor maintains that its bargaining priorities are wages, working conditions, and automation and surveillance in the workplace.