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2014-06-20

Workers send a strong message to Ahmed Fahour

Cutting mail services will hurt workers

On 2 June Australia Post introduced a two-speed letter service for business letters which means that letters will now take longer to deliver but at a cheaper price than the 5-day-week service ,unless the business is willing to pay a premium.

This system is expected to be extended to all Australians if the CSOs are relaxed. 


 APost at a glance. This is not a business that is going away anytime soon.

32,732 employees (including about 14,000 delivery staff)

4429 post offices

 *  1868 metropolitan

 *   2561 regional

15,927 street postboxes

10,540 trucks, vans and motorbikes


95% of letters from business and government


Letters and parcels

 

2009 5.3 billion

2013 4.6 billion

 

10%▼ in addressed letters 2011-2013

17%▲ in domestic parcels 2011-2013

 

Total revenue

2009 $5 billion

2013 $5.9 billion

 

After-tax profit

2009 $261 million

2013 $312 million

 


This will have a huge impact on workers in mail sorting and delivery centres. It will overload workers on the days when mail is delivered, back log sorting centres and isolate regional/rural and remote communities reliant on the mail for communication. It will impact on jobs.


There is no justification for reducing mail delivery at this time. Australia Post is still profitable. Revenue has increased over the past five years by $1 billion. The organisation returned a dividend to government of $244 million - and paid taxes of $447million. The losses made in regulated mail were easily picked up by profits on the non-regulated side, mostly parcels ($648 million).


Letters is still a significant part of the business. The challenge is to maintain this part of the business while also supporting future parcel growth. There is time to transition from letters to parcels in an orderly way without the changes that will cut jobs and services. Mail is not dead. This is not a business that is going away anytime soon.

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