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Canada Post paid $30.8M in bonuses to executives in 2025 despite record losses
🇨🇦 Canada /Economy & Trade

Canada Post paid $30.8M in bonuses to executives in 2025 despite record losses

From Global News · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

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  • Canada Post paid $30.8 million in performance bonuses to executives and managers in 2025.
  • This occurred despite the company reporting record losses of $1.57 billion and receiving government aid.
  • Canada Post stated the bonuses are part of an existing compensation program for about 7,000 employees, crucial for its ongoing transformation.

Canada Post disbursed $30.8 million in performance-based bonuses to its executives and managers in 2025, a move that has drawn scrutiny given the company's dire financial situation. The postal service reported a record-breaking pre-tax loss of $1.57 billion for the year, exacerbated by labor uncertainty. Compounding these losses, Canada Post received up to $673 million in government funding in May 2026 to sustain its operations through March 2027.

We are undergoing the biggest transformation in our history. It’s a major, multi-year job that requires us to retain the talented and experienced people needed to lead and deliver these changes for Canadians.

— Canada Post spokespersonExplaining the rationale behind retaining employees and the necessity of performance programs.

The company further reported a $205 million pre-tax loss in the first quarter of 2026. Despite these financial headwinds, Canada Post defended the bonus payments, characterizing them as part of an established "at-risk performance program" that includes approximately 7,000 employees across various roles. A spokesperson emphasized the necessity of retaining experienced personnel to navigate the company's "biggest transformation in history."

After careful consideration, the board approved payments within the at-risk performance program, which involves roughly 7,000 employees. Two-thirds of these employees have it established in their collective agreements for years. The program includes a wide range of employees from postal clerks, front-line supervisors and accommodation experts to management who are all vital to our transformation.

— Canada Post spokespersonDetailing the scope and history of the performance bonus program.

Canada Post acknowledged the optics of the situation, stating, "We understand the optics and the concerns this decision will raise." The corporation clarified that these bonuses are funded from its own revenues, not the government's repayable bridge funding. The objective, it stated, is to re-establish a sustainable postal service capable of repaying loans quickly. The Canadian Taxpayers Federation brought attention to these bonus payments, which were detailed in documents submitted to a House of Commons committee.

With our financial situation, we understand the optics and the concerns this decision will raise.

— Canada Post spokespersonAcknowledging public perception of the bonus payments amid financial difficulties.
DistantNews Editorial

Originally published by Global News in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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