Insolvent Canada Post gets another $673 million bailout
Canada Post reported a staggering $1.57 billion loss before tax in 2025.
The federal government is handing Canada Post up to another $673 million in taxpayer money after the Crown corporation admitted it cannot pay its bills — even as provinces and municipalities have spent months building contingency plans around repeated postal disruptions.
An April 30 order-in-council authorized Ottawa to provide Canada Post with whatever funds are necessary, up to $673 million, because the Crown corporation determined its revenues would not be enough to cover operating costs between April 2026 and March 2027.
The bailout comes on the heels of Canada Post reporting a catastrophic $1.57 billion loss before tax in 2025, the largest annual loss in the corporation’s history.
By late 2025, even Canada Post’s own leadership was openly acknowledging the corporation’s financial collapse. The Crown corporation was described as “effectively insolvent” after posting a staggering $541 million loss in just the third quarter of 2025.
The Office of the Information and Privacy Commissioner of Alberta stopped sending documents through Canada Post during strike threats, shifting instead to encrypted email, courier services and hand delivery.
Student Aid Alberta warned students to expect delays and advised them to avoid paper mail whenever possible.
Municipalities including Parkland County, Vulcan County, Red Deer and Calgary also rolled out continuity plans, online billing systems and alternate payment arrangements to mitigate disruptions caused by Canada Post labour action.
Meanwhile, Canada Post is now openly discussing drastic restructuring measures, including ending door-to-door delivery for millions more Canadians and converting neighbourhoods to community mailboxes in an effort to stem financial losses.
Despite the mounting losses, collapsing parcel volumes, repeated labour disputes and declining public confidence, Ottawa’s answer once again is to send taxpayers the bill.
The bailout approval, PC Number 2026-0407, was issued April 30 on the recommendation of the finance minister under Section 31 of the Canada Post Corporation Act.
Sheila Gunn Reid
Chief Reporter
Sheila Gunn Reid is the Editor-in-Chief, Alberta Bureau Chief, member of the board of directors, and host of The Gunn Show at Rebel News. Sheila also serves as President of the Independent Press Gallery of Canada. A mother of three and longtime conservative activist, Sheila is the author of bestselling books, including her most recent release, Independence Blueprint: What Alberta Can Learn From Quebec.
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COMMENTS
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Bernhard Jatzeck commented 2026-05-08 23:08:03 -0400The reason Canada Post became a Crown corporation was that it had become unmanageable when it was a federal government department. It doesn’t look like things have improved since that happened. -
Bruce Atchison commented 2026-05-08 21:07:26 -0400Abolish the union! They are the ones holding Canadians for ransom. And if they strike, replace them with the millions of unemployed youth and adult workers who would love the perks unionized workers enjoy now. They’d even work for less, saving the corporations millions.
