After a month of negotiations with no resolution in sight, Canada Post and the union both submitted a final proposal to an appointed arbitrator.

Canada Post was successful in their final offer to Arbitrator Michel G. Picher, who accepted the collective agreement with the Canadian Postmasters and Assistants Association (CPAA).

In a media release, Deepak Chopra, Canada Post President and CEO said he was happy to finally have a resolution.

"Canada Post is appreciative that the arbitration process efficiently expedited the resolution of difficult bargaining issues between us and the CPAA."

The new collective agreement offers a defined contribution pension plan for new employees represented by the CPAA, but does not include new employees represented by the Canadian Union of Postal Workers (CUPW-Urban and CUPW-RSMC).

Changes have been made to entry level wages which are in line with previous negotiations, and post retirement benefits will be changed from 25 per cent employer contribution to a 50/50 cost-sharing program.

With the new agreement in place, the over 5000 postmasters and assistants in rural post offices across Canada can return to work knowing that a strike is no longer a concern.