UPS sues Canada post office....you've got to be kiddin

[Guest guest]

CANADIAN UNION OF POSTAL WORKERS

 

Attention News Editors:

 

The future of Canadian Postal Services goes on trial in Washington D.C.

 

OTTAWA, Dec. 12 /CNW Telbec/ - The future of Canada's public

post office will be decided by a private trade tribunal operating

from the World Bank headquarters in Washington D.C. The hearings

over our post office will run from December 12-17th.

 

The Canadian Union of Postal Workers (CUPW) and the Council

of Canadians (the Council) are concerned that the tribunal, which

is looking at a complaint filed by United Parcel Service (UPS),

could issue a decision that has disastrous implications for

postal and other public services.

 

UPS is using Chapter 11 of the North American Free Trade

Agreement (NAFTA) to demand financial compensation of $185

million CDN from Canada's federal government. This amount will

double if UPS wins damages to date.

 

UPS claims its investments are being limited by Canada's

publicly funded network of mailboxes and post offices. It

believes this network gives Canada Post an unfair advantage when

delivering parcel, express and courier services that are in

competition with private courier services.

 

" If UPS wins, Canada Post may opt to get out of the courier

business which would spell disaster for the longer term

financially viability of Canada Post. The corporation needs the

profits it gets from the courier business to provide universal

service, " says CUPW National President Deborah Bourque.

 

Ottawa-based trade lawyer Steven Shrybman, who represents the

groups, says that the UPS case also spells trouble for other

public services because most compete at least to some extent with

the private sector. " If UPS succeeds, the case is likely to open

floodgates to claim by other US companies seeking to break into

the health care or water service markets in Canada, " says

Shrybman.

 

Jean-Yves Lefort, trade campaigner for the Council of

Canadians, argues Canada must rescind these investment rules

adding " it is outrageous that NAFTA allows the future of Canadian

public services to be determined by a private arbitral tribunal

operating behind closed doors in Washington D.C. "

 

 

For further information: please contact Joseph Zebrowski,

Communications Specialist, Canadian Union of Postal Workers

(CUPW), (613) 222-3952 (cell)

 

© 2005 CNW Group Ltd.

 

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