The union representing Canada Post workers says the retired judge who was to act as an arbitrator to settle a dispute between the union and the post office has resigned.
Coulter Osborne had been appointed by Labour Minister Lisa Raitt.
The union says the resignation creates an opportunity for both sides to return to the bargaining table and negotiate a deal.
The union had launched a court challenge to Mr. Osborne being chosen as the arbitrator.
Federal back-to-work legislation passed in June forced postal workers to accept wages that amounted to less than Canada Post's last offer.
On other issues, the law imposed a form of winner-take-all arbitration in which union and the post office will each make a final offer, one of which will be accepted.