The Four Major Courier Employers in Canada
If you want a stable delivery driver career in Canada — with benefits, a pension, and predictable pay — the four major couriers are FedEx, Purolator, UPS, and Canada Post. Each has a very different hiring model, pay structure, and career path. This guide breaks down everything you need to know in 2026.
FedEx Ground: The Contractor Model
How It Works
FedEx Ground does not hire delivery drivers directly. Instead, it contracts with Independent Service Providers (ISPs) — incorporated businesses that employ their own drivers. ISPs must be registered corporations and maintain a minimum of 5 routes with 500 daily deliveries. (Source: FedEx BuildAGroundBiz)
Important distinction: FedEx Express drivers are direct FedEx employees with company benefits. FedEx Ground drivers work for third-party ISP contractors. (Source: TheStreet)
Pay
| Metric | Amount |
|---|---|
| Average hourly pay | $22.86/hr (Source: PayScale) |
| Pay range | $16.92 – $31.17/hr (Source: PayScale) |
| Ontario average | $19.76/hr or ~$41,097/yr (Source: ZipRecruiter) |
| Indeed Canada average | ~$22.06/hr (Source: Indeed) |
Requirements
- Valid driver's licence (Class G in Ontario, Class 5 in BC/Alberta, or equivalent)
- No more than 2 speeding tickets or minor violations in the past 3 years (Source: Route Consultant)
- No DUI/DWI convictions
- Must pass drug screening and DOT physical examination
- Clean criminal record — no misdemeanours within the past 10 years (Source: Indeed)
- Ability to lift up to 75 lbs (34 kg)
- Driver approval process takes 7–21 days
How to Apply
You do not apply to FedEx directly. Search for ISP contractor job postings on Indeed, Glassdoor, or local job boards. ISP contractors post positions like "FedEx Ground Delivery Driver" with their company name.
Pros & Cons
- Pros: Faster hiring (no union seniority wait), flexible entry, varied routes
- Cons: No FedEx benefits, pay set by individual contractor, no union protection, job security depends on contractor's contract with FedEx
Purolator: Direct Employee + Union
How It Works
Purolator hires drivers as direct employees. Workers are represented by Teamsters Canada. Purolator is a subsidiary of Canada Post, which owns approximately 91% of the company. (Source: CTV News)
Pay
| Metric | Amount |
|---|---|
| Average hourly pay | $32.55/hr (Source: PayScale) |
| Indeed Canada average | ~$26.74/hr (13% above national avg.) (Source: Indeed) |
| Montreal wage range | $24.96 – $37.52/hr (after 1 year) (Source: MTL Blog) |
| Average annual salary | $63,176 – $71,121/yr (Source: PayScale) |
Requirements
- Valid Class 5 driver's licence (or provincial equivalent) with 3+ years of driving experience
- Clean driving record — no more than 4 demerit points on driver's abstract (Source: MTL Blog)
- Strong organizational skills; familiarity with scanning devices and GPS
- Physical fitness for loading and unloading
Benefits
- Comprehensive health benefits package
- Defined-benefit pension plan (currently increasing from 1.6% to 1.8% of base earnings) (Source: Teamsters Canada)
- Employee Share Ownership Program (ESOP)
- Mental health support for workers and families
- Vacation: 2 weeks after 1 year, 3 weeks after 5, 4 after 10, 5 after 15 years
- 9 paid holidays + 1 floating day
How to Apply
Apply directly at careers.purolator.com.
2026 Update
The current Purolator–Teamsters collective agreement expires December 31, 2026. Teamsters Canada began gathering member proposals in December 2025 for upcoming negotiations. (Source: Teamsters Canada)
UPS: Highest Pay Ceiling + Strong Union
How It Works
UPS drivers in Canada are represented by the Canada Council of Teamsters. UPS is a promote-from-within organization — most full-time drivers started as part-time package handlers or seasonal helpers. A new five-year collective agreement (2025–2030) was ratified on August 29, 2025, covering approximately 12,000 UPS employees across Canada. (Source: UPS Canada)
Pay
| Metric | Amount |
|---|---|
| Average hourly (Glassdoor) | ~$28/hr ($57,968/yr) (Source: Glassdoor) |
| Toronto area | ~$27/hr ($55,547/yr) (Source: Glassdoor) |
| Montreal area | ~$28/hr ($59,061/yr) (Source: Glassdoor) |
| Ontario average (ZipRecruiter) | ~$24.50/hr ($50,952/yr) (Source: ZipRecruiter) |
| Experienced full-time (with overtime) | $100,000+/yr (Source: Narcity) |
Career Progression
- Seasonal Driver (Oct–Dec): Starting at ~$23/hr. After the 2021 peak season, over 30% of seasonal hires were converted to permanent roles. (Source: UPS Jobs)
- Part-Time Package Handler / Driver Helper: Entry-level union position with full health benefits — no premiums, low copays. (Source: UPS Canada)
- Full-Time Package Car Driver: Guaranteed annual raises per union contract. Between 2018–2022, 38,000 part-time employees advanced to full-time across North America. (Source: UPS Canada)
Requirements
- Minimum 21 years old
- High school diploma or GED
- Valid driver's licence with clean driving record
- Ability to lift up to 70 lbs (32 kg) (Source: Blue Collar Brain)
How to Apply
Apply at jobs-ups.com. Start as a seasonal or part-time employee and work toward full-time driver status.
Pros & Cons
- Pros: Highest pay ceiling ($100K+ with seniority and overtime), strongest union contract, comprehensive benefits with no health insurance premiums, guaranteed raises, promote-from-within culture
- Cons: Long wait for full-time status (often years of seniority), physically demanding, strict schedules, seniority-based system
Canada Post: Crown Corporation Stability
How It Works
Canada Post hires letter carriers and parcel delivery drivers as direct employees. Workers are represented by the Canadian Union of Postal Workers (CUPW). As a Crown corporation, Canada Post offers exceptional job stability and pension benefits.
Pay
| Metric | Amount |
|---|---|
| Government Job Bank range | $23.00 – $33.65/hr (Source: Job Bank Canada) |
| Glassdoor average | ~$52,251/yr ($25/hr) (Source: Glassdoor) |
| PayScale average | $22 – $30/hr range (Source: PayScale) |
New Wage Increases (Pending Ratification)
The December 2025 tentative agreement includes 6.5% in Year 1, 3.0% in Year 2, and CPI-linked increases in Years 3–5. The agreement extends to January 31, 2029. Ratification vote expected around May 2026. (Source: Canada Post)
Requirements
- Secondary school diploma (or GED)
- Valid permanent provincial driver's licence with safe driving record
- Must pass a Pre-Placement Functional Assessment (PPFA) — a ~1-hour physical test conducted by a kinesiologist (Source: Indeed)
- Lift up to 22.7 kg (50 lbs), carry mail items up to 15.9 kg (35 lbs) while walking (Source: Canada Post)
- Work in all weather conditions
How to Apply
- Visit jobs.canadapost.ca
- Submit resume online
- Complete the General Aptitude Test (Source: Complete Test Preparation)
- Interview (phone, video, or in-person)
- Background check
- PPFA physical assessment
- Process takes a few weeks to a couple of months (Source: PostageMaster)
2024–2026 Labour Updates
- Nov 2024 – Dec 2024: National CUPW strike. Workers ordered back by CIRB. (Source: Wikipedia)
- Sept – Nov 2025: Second strike (national then rotating) after government announced service cuts. (Source: CUPW)
- Dec 2025: Tentative agreement reached with improved wages, health benefits, and weekend parcel delivery. (Source: CBC News)
Side-by-Side Comparison
| Factor | FedEx Ground | Purolator | UPS | Canada Post |
|---|---|---|---|---|
| Employment model | Contractor (ISP) | Direct employee | Direct employee | Direct employee |
| Union | None | Teamsters | Teamsters | CUPW |
| Average hourly pay | $20–$23 | $25–$37 | $24–$45+ | $23–$34 |
| Top earners (annual) | ~$65K | ~$71K | $100K+ | ~$70K |
| Health insurance | Varies by ISP | Comprehensive | Comprehensive (no premiums) | Comprehensive |
| Pension | None | Defined-benefit | Union pension | Public-service pension |
| Vehicle provided? | By ISP contractor | Yes | Yes | Yes |
| Time to full-time | Immediate | Moderate | Often years | Moderate |
| Physical test | DOT physical | No formal test | No formal test | PPFA required |
Common Requirements Across All Carriers
Driver's Licence by Province
| Province | Required Licence |
|---|---|
| Ontario | Class G (full) (Source: Ontario MTO) |
| British Columbia | Class 5 (full, not Learner's or Novice) |
| Alberta | Class 5 (non-GDL preferred) |
| Quebec | Class 5 (Permis de conduire) |
| Other provinces | Class 5 or equivalent |
For larger vehicles (box trucks over a certain GVW), a Class 3 commercial licence may be required. (Source: FMCSA)
Background & Physical Requirements
- Criminal record check: All carriers require a clean record
- Driver's abstract: Clean driving record (typically max 2–4 demerit points)
- No DUI/DWI convictions
- Lifting: 50–75 lbs depending on carrier (Source: CCOHS)
Industry News: What Changed in 2025–2026
FedEx Network 2.0 Restructuring
FedEx is merging its Express and Ground networks. 130 stations have been optimized in Canada, with Montreal completed as the last major Canadian market in early 2025. Across North America, FedEx plans to close over 475 stations by end of 2027 (~30% of its footprint). This has achieved a 10% reduction in pickup and delivery costs in optimized markets. (Source: Supply Chain Dive)
UPS: New Five-Year Contract
The new UPS–Teamsters contract (2025–2030) was ratified by 60.8% of voting members on August 29, 2025. It includes improvements to pay, pensions, and health/wellness benefits for ~12,000 Canadian employees. (Source: Teamsters Canada)
Canada Post: Back from Two Strikes
After two CUPW strikes in 2024 and 2025, a tentative agreement was reached in December 2025 with 6.5% wage increase in Year 1 and a five-year term. Ratification vote expected May 2026. (Source: Canada Post)
Which One Should You Choose?
- Want the highest pay? → UPS. Full-time drivers with seniority earn $100K+. But be prepared to wait years for a full-time slot.
- Want stability + good benefits now? → Purolator or Canada Post. Both offer direct employment, union protection, pensions, and competitive pay from day one.
- Want to start quickly? → FedEx Ground. ISP contractors hire faster without union seniority requirements, but you trade away benefits and job protection.
- Want a government pension? → Canada Post. As a Crown corporation, it offers public-service pension and exceptional job security.
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