Free Trade and Canada Post

Well, the Tories promised us in 1988 that Free Trade would be great for Canada. Today, Conservatives and Liberals of all types rave about the wonders of Free Trade, despite the rusting factories and thousands of lost jobs in Canada's manufacturing sector. Today, this press release came across my desk from the Canadian Union of Postal Workers (CUPW). Tell me that it isn't scary that private corporations are tackling some of the most cherished and long standing public services in Canada!

I wonder if this issue will have legs in the election campaign?

------------------
CANADIAN UNION OF POSTAL WORKERS

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."