A Canada Post office in Prince Rupert. (Alex Kurial / The Northern View)

Canada Post has unfair advantage in distributing flyers: news group

Crown corporation argues newspapers, private operators deliver majority of flyers in Canada

An association representing news organizations in Canada is calling on federal party leaders to restrict Canada Post’s plans to expand its flyer distribution.

News Media Canada, of which Black Press Media is a member, released a statement on Friday saying the Crown corporation is using an unfair advantage provided to it by the government.

President and CEO John Hinds said Canada Post has plans to begin distributing packaged commercial flyers in direct competition with local newspapers, using its ability to access lock boxes in apartments and condos as part of its marketing.

READ MORE: Canada Post proposes raising stamp prices by two cents next year

“It’s essentially public money that’s going into this,” Hinds said, adding that Ottawa provides tax credits to Canada Post.

“Yet at the same time, the Crown corporation is out there taking a run at one of the core sources of revenue for the newspaper business.”

In a statement, Canada Post denied that it is competing unfairly.

“With a mandate to serve all Canadians while remaining financially self-sufficient, Canada Post competes fairly in the marketplace to provide products and services of value to Canadian businesses and consumers,” it said.

“With greater flexibility and lower prices, newspapers and other private operators deliver the vast majority of flyers in Canada. While Canada Post has exclusive access to mailboxes, we don’t deliver everything Canadians receive at their door.”

READ MORE: B.C. woman’s ‘Red Dress’ for murdered Indigenous woman interrupts mail delivery

Hinds said Canadians should be concerned about the postal service undercutting one of newspapers’ foundational revenue pillars.

“Canadians have said that local news is really important,” he said. “At the end of the day, local advertising creates local news.”

Black Press Media has also reached out to the Canadian Union of Postal Workers and the office of Carla Qualtrough, the minister responsible for Canada Post, for comment.

READ MORE: Canada Post union issues strike notice



karissa.gall@blackpress.ca

Like us on Facebook and follow us on Twitter

Just Posted

Federal election: Meet the North Island candidates

We begin this series on the federal election by asking about their motivation for running.

Port McNeill Lions Club on the verge of shutting down, needs members

Stewart and Hinton hope volunteers will step forward to help them through this difficult time.

Bradshaw’s Photo Highlight: Sunset at Rupert Arm

The photo in this week’s highlight is from an amazing sunset at Rupert Arm.

First Nations given max compensation for Ottawa’s child-welfare discrimination

2016 ruling said feds didn’t give same funding for on-reserve kids as was given to off-reserve kids

Port McNeill awarded ‘Level Three’ recognition by the Green Communities Committee

The next Town Council meeting is scheduled for Sept. 16 at 7:00 p.m. and is open to the public.

VIDEO: Vancouver Island mayor details emergency response after fatal bus crash

Sharie Minions says she is ‘appalled’ by condition of road where bus crashed

UVic president offers condolences after two students killed in bus crash

‘We also grieve with those closest to these members of our campus community,’ Cassels says

Coming Home: B.C. fire chief and disaster dog return from hurricane-ravaged Bahamas

The pair spent roughly one week on Great Abaco Island assisting in relief efforts

Newcomer Ferland lines up with sniper Pettersson as Vancouver Canucks camp opens

Ferland provides more depth and a scoring threat up front, Pettersson says

Intelligence official charged seemed to be ‘exemplar of discretion’: UBC professor

Professor Paul Evans says he served on Cameron Ortis’s doctoral dissertation committee

B.C. police watchdog to investigate man’s head injury during RCMP arrest

Suspect fled on a bicycle and fell off when an officer attempted to stop him

Nanaimo company gets licence to test psychedelic drugs for therapy treatment

Salvation Botanicals interested in manufacturing, testing and research and development

‘A real shame’: B.C. MLA says factors behind Tolko mill closing should have been caught

Kelowna-Mission MLA Steve Thomson said the industry is in bad shape across the province

VIDEO: Seniors at B.C. assisted living facility shocked by Oct. 1 eviction notice

Building owners terminate lease for McGuire Lake Congregate Living in Salmon Arm

Most Read