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Construction / Development

Purolator announces C$1bn investment to deliver the future

Hazel KingBy Hazel KingJuly 2, 20193 Mins Read
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Courier company Purolator, part of the Canada Post Corporation, has announced plans to invest more than C$1bn (US$763m) through a five-year ‘delivering the future growth and innovation’ strategy.

Purolator’s investment plan is focused on four key areas: transforming its network and fleet; accelerating the digital experience for its customers; creating the safest and best place to work; and driving growth for businesses of all sizes throughout North America and globally.

“[This] announcement is one of the most ambitious in our company’s history and will future-proof our business,” said John Ferguson, president and CEO, Purolator. “Purolator has experienced record growth over the past three years. We picked up and delivered over one-quarter of a billion packages in 2018 and we expect our growth trajectory to continue.

“We have consistently evolved over our 60 years to stay one step ahead of change and this investment will solidify our position to deliver the future for generations to come, creating opportunities at home, across North America and around the world for businesses, consumers and employees.”

The company will invest C$330m (US$251m) in a new 430,000ft2 (40,000m2) national super hub set on 60 acres in Toronto, which is due to open in 2021. The facility will triple capacity and include world-class automation to help more customers get even more packages to their destinations quickly, safely and reliably. The new national super hub will provide flexibility for growth and will be scalable to optimize customer delivery during peak periods. It will be built to leading environmental standards, following the Toronto Green Standards program.

The company’s investment plans will also see the creation of more jobs; 2,500 new jobs have been created over the past three years, an increase in its workforce of 20%. The company is making investments in employee training, learning and development, and diversity and inclusion.

In 2019 and 2020, more than 1,000 new vehicles with advanced technology will be introduced across Canada to improve delivery performance and safety. Purolator will continue to advance sustainability throughout its operations, including maintaining its position as the express courier company with the largest green fleet in Canada. It plans to roll out its first wave of fully electric vehicles in 2020 to complement its hybrid electric fleet.

The company is also adding more consumer access points across Canada and enhancing its retail network. This includes upgrading high-traffic stores in large urban centers, expanding its Mobile Quick Stop service – which acts as retail outlets on wheels – and piloting new last-mile pickup and delivery options for consumers offering more flexibility and choice.

According to Purolator, the Greater Toronto Area (GTA) is projected to be the province’s fastest-growing region, with 50% of Ontario’s population by 2026. Purolator operates the most extensive courier network in the region and the company’s investments will build on its leading capabilities to provide businesses and consumers with even more delivery and pickup options. They include a C$8.5m (US$6.5m), 110,000ft2 (1,000m2) state-of-the-art GTA terminal in North York, set to open in September 2019, which will add up to 135 delivery routes and 200 jobs, and the expansion of its Mobile Quick Stop service, more than doubling the number of trucks in the region.

Purolator is also piloting electric cargo bikes and urban self-serve parcel lockers in Toronto’s downtown core, making package delivery and pickup more efficient and convenient.

Additional regional expansions will be announced across Canada over the next 12 months.

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