Canada Post will resume operations at 8 a.m. tomorrow, after the Canada Industrial Relations Board (CIRB) ordered striking workers back to their jobs.
Labour Minister Steven MacKinnon directed the CIRB to intervene if no deal was reached before the end of the year.
After two days of hearings, the board ruled negotiations between Canada Post and the Canadian Union of Postal Workers were at an impasse.
To allow more time for bargaining, the CIRB extended the current union contracts through May.
In the meantime, Canada Post says it has agreed with the union to implement a five per cent wage increase, retroactive to the day after the contracts expired.
