DHL EXPRESS SERVICE SUSPENSION TAKES EFFECT
A stalemate in collective-bargaining negotiations between DHL Express Canada and Unifor, which represents 12,000 truck drivers, couriers, warehouse, and clerical workers across Canada, prompted the carrier to suspend all shipping operations in Canada effective June 20, 2025 until further notice.
The suspension follows weeks of challenging labor talks and the enforcement of Bill C-58, which prohibits employers from using replacement workers during a legal strike or lockout and imposes fines of up to $100,000 CAD per day, forcing shippers to adjust cross-border delivery plans and explore alternative routing options. At issue are concerns about driver safety, compensation, and job stability.
CROSS-BORDER IMPACT
Shippers relying on DHL Express for time-sensitive parcels face lead-time extensions and potential volume surcharges as alternative carriers absorb diverted traffic. Key impacts include
-
Parcel handover delays at major Canadian gateways in Toronto, Vancouver and Montreal
-
Increased pressure on U.S. 3PLs to manage inbound consolidation in Buffalo, Detroit and Pacific Northwest hubs
-
Potential inventory shortages for e-commerce and critical spare parts in North American markets
SUPPLY-NETWORK MITIGATION STRATEGIES
Logistics planners should partner with their trusted freight forwarder and shipping vendors to discuss the following mitigation strategies:
-
Engage secondary carriers (UPS, FedEx) with capacity in cross-border corridors
-
Establish interim transload operations at U.S. bridge ports to maintain last-mile service levels
-
Communicate revised transit timelines and contingency plans with stakeholders
Stay up-to-date on freight news with Green’s Weekly Freight Market Update by following us on LinkedIn. For continuous updates, make sure to check out our website at greenworldwide.com.
