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FedEx Canada Tries to Strip Union Rights from Immigrant Workers, say Teamsters

1. FedEx Canada denies union rights to immigrant workers. 2. Teamsters challenge FedEx's claims on temporary workers' union membership. 3. FedEx employees earn $3 less per hour than at UPS and Purolator. 4. Working conditions at FedEx are harsher compared to UPS and Purolator. 5. Teamsters aim to secure better rights and pay for FedEx workers.

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FAQ

Why Bearish?

Ongoing labor disputes could lead to increased operational costs and reduced productivity, affecting stock performance. Historical examples show that companies facing labor strikes often see a decline in stock prices due to lost revenue and damage to reputation.

How important is it?

The article addresses significant labor rights issues affecting FedEx's workforce, which could influence investor perceptions and lead to stock volatility. Labor relations impact profitability and operational stability, making this highly relevant.

Why Short Term?

The immediate implications of labor disputes typically manifest quickly, potentially affecting quarterly earnings and investor sentiment. Past labor issues in companies like UPS have resulted in swift market reactions.

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Teamsters slam move as racist and morally indefensible July 31, 2025 09:00 ET  | Source: Teamsters Canada CALGARY, Alberta, July 31, 2025 (GLOBE NEWSWIRE) -- FedEx Canada is attempting to deny basic union rights to immigrant workers. In response to a union organizing drive by Teamsters Local Union 362 at the FedEx facility in Fort McMurray, the company has filed arguments before the Canada Industrial Relations Board claiming that “temporary workers,” like international students and temporary foreign workers, are not entitled to join a union alongside their Canadian colleagues. The Teamsters are vigorously challenging this position before the Board. “The idea that immigrant workers with temporary status should be denied union representation is racist and morally indefensible. Regardless of how someone came to work at FedEx, they deserve to be treated like any other worker in this country. That means fairness, dignity, and the right to join a union,” said François Laporte, President, Teamsters Canada. Temporary workers often face greater vulnerability in the workplace, often due to language barriers and limited awareness of their labour rights. Some may hold closed permits tied to a single employer, meaning their right to stay in Canada can depend on keeping their job. That precarity increases the risk of abuse and the need for union representation. Across Canada, labour boards routinely recognize foreign students and other temporary residents as union members. At FedEx in Fort McMurray, 31 of the 52 workers are either temporary foreign workers or international students. The Teamsters have been fighting for years to bring union representation to FedEx workers. Employees at the company earn approximately $3 less per hour than their counterparts at UPS and Purolator. They are also required to contribute 3% of their wages to their pensions, unlike workers at UPS and Purolator whose pensions are fully employer-funded. Conditions can also be harsher at FedEx. Workers are frequently expected to lift and move packages over 100 pounds alone - something that would require another worker’s assistance under at UPS and Purolator. In Fort McMurray, FedEx workers do not have a living out allowance, an allowance commonly given to workers in the area meant to offset the high cost of living. Although UPS does not operate locally, full-time unionized Purolator employees in Fort McMurray can receive up to $1,500 per month. “Our message to FedEx workers is simple. It doesn’t matter where you were born. You give your all on the job and deserve the same wages, protections, and respect as any other unionized courier service employee. Our organizers are mobilized across the country to help you win the future you deserve. Count on the Teamsters to fight for you,” added Laporte. Teamsters Canada represents close to 135,000 workers in Canada in all industries from coast to coast. Media requests: Christopher MonetteDirector of Public AffairsTeamsters CanadaCell: 514-226-6002cmonette@teamsters.ca

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