Canada Post strike to cost small businesses $1 billion as calls for action mount

financialpost.com:

The Canada Post strike, now in its third week, is set to cost Canada’s small- and medium-sized businesses more than $1 billion by Wednesday, according to the Canadian Federation of Independent Business (CFIB). The prolonged labour dispute, which began on Nov. 15, has paralyzed operations at the Crown corporation, disrupting supply chains and dealing a significant blow to small businesses during the critical holiday season.

“It’s not the Grinch who is about to steal Christmas. It’s Ottawa sitting idly on the sidelines while small businesses are losing crucial revenue and sales due to circumstances outside of their control,” said Corinne Pohlmann, CFIB’s executive vice-president of advocacy, in a statement released Monday. CFIB estimates that the strike is costing small businesses $76 million daily, with three-quarters of the sector reporting negative impacts. For 41 per cent of those businesses, costs have surpassed $2,000 due to lost orders, increased delivery expenses, delayed payments, and limited promotional opportunities.

Ben Richmond, managing director, North America at Xero, a global small business platform, highlighted the stakes for entrepreneurs at this time of year. “We know that the holiday shopping season is a crucial time for many small business owners, and even a minor disruption to the ordinary course of business can have a critical impact on small businesses’ cash flow and bottom lines,” Richmond said. He encouraged business owners to prepare by offering pre-orders, clearly communicating delivery delays, and selling gift cards to bolster cash flow.

The impacts are hitting businesses hard across the country. According to CFIB, an Alberta bookkeeping service has funds stuck at the post office because its