14/05/2024
World Postal News Last week
We want to save our service. We don't want it to be privatized. We want to give the people what they deserve,"
Postal workers protest distribution center move at Fayetteville location
"We want to save our service. We don't want it to be privatized. We want to give the people what they deserve," said Mills, who is working to fight what he calls the silencing of postal workers across the nation.
While postal workers could previously address concerns for three minutes at the Postal Board of Governors meetings, over the years that time has dwindled. Earlier this year, the decision was made that no public comment from postal workers was allowed at the meetings.
That sparked APWU to launch a national campaign called "We Will Not Be Silenced. "
In Arkansas, postal workers said they want their disapproval of a recent announcement (that the Northwest Arkansas distribution center will move to Oklahoma City) to be heard.
The United States Postal Service (USPS) previously told 5NEWS there would be no service impacts or career layoffs, but Mills said USPS has not been fully transparent with postal workers on the effects.
"There's going to be impacts, there's going to be changes, and you don't move mail 12 hours and say there's not going to be a delay," Mills exclaims. "So I just believe in calling them out when it's not right."
In response, USPS said it "respects the rights of unions and employees to participate in off-the-clock rallies on issues of concern to their membership."
For Mills, it's about protecting customers, postal workers, and his family. Specifically, his daughter Kaylynn, who is also a postal worker protesting alongside her father.
"If my daughter chooses to go work for the post office 20 years from now, I want her to have the ability to know that I took part in helping make it so her benefits are even better once she gets to that spot," said Kaylynn Mills, vice president of the local APWU.
Canada Post suffers C$748m loss in 2023
“Like other businesses, we need to adapt to what Canadians need, where
they live, how they shop and use our services. Canada Post is committed
to leading that change, building on the improvements
Despite growing parcel volumes last year, Canada Post has recorded a pre-tax loss of C$748m (US$543m) for 2023 as a result of the post-pandemic surge in parcel delivery competition, the ongoing erosion of transaction mail, and continued growth in addresses and delivery costs.
According to the post, its parcel delivery market share has fallen from 62% pre-pandemic to 29% in 2023, while transaction mail volumes have reduced by 3.3 billion since 2006 to 2.2 billion letters in 2023.
Total revenue last year fell by C$240m (US$174m) compared to 2022 and all three lines of business – parcels, transaction mail and direct marketing – saw a drop. Meanwhile, the cost of operations in 2023 rose by C$11m (US$8m) compared to the previous year due to higher labor costs, non-capital investments and depreciation expenses. This was partly offset by lower employee benefit costs driven by an increase in discount rates, according to Canada Post.
Universal service hindrance
Under the Canada Post Corporation Act, the postal operator must serve all Canadians in a financially self-sustaining manner based on revenue generated by the sale of postal products and services, not taxpayer dollars.
However, this has been hindered by falling mail volumes – over the last 20 years, the amount of mail Canadians receive has declined by more than 50%, while the number of addresses has increased by more than three million, resulting in lower revenues and higher costs.
The growth in its parcel delivery business has not been enough for Canada Post to counter the decline in mail volumes and revenues and as competition in the sector increases, the post says it must make changes to “ensure the viability of the national postal service”.
Doug Ettinger, president and CEO, Canada Post, explained, “Canadians understand our business model must change. They can see it in their mailbox. An operating model designed to deliver nearly 5.5 billion letters in 2006 cannot be sustained on the 2.2 billion letters we delivered last year. This trend is not unique to Canada.
“Like other businesses, we need to adapt to what Canadians need, where they live, how they shop and use our services. Canada Post is committed to leading that change, building on the improvements we’ve made across the organization over the last few years. Canadians still value the importance of their national postal service, which is why we’re working in partnership with the Government of Canada to put it back on the path to long-term financial sustainability.”
SingPost CEO: Our transformation continues to yield results
The Group’s transformation into a logistics enterprise has yielded benefits, achieving a net profit of S$81.5 million for the full year, an increase from S$38.8 million last year. Group revenue declined from S$1.87 billion to S$1.69 billion, largely due to the reduction in sea freight revenues. Operating fundamentals of core businesses have improved, offset by the decline in operating profit from Famous Holdings.
Logistics
Logistics revenue was lower at S$1.17 billion compared to S$1.32 billion while operating profit declined to S$67.4 million from S$84.7 million for the full year.
The Australia business, comprising FMH and CouriersPlease, posted revenue of A$ 921.3 million compared to A$866.7 million, and operating profit of A$ 63.2 million compared to A$62.3 million, for the full year. The continued growth in the Australia business was underpinned by new customer acquisitions and volume growth, despite challenging market conditions. The results included a 1-month consolidation of Border Express following the completion of the acquisition on 1 March 2024.
The operations of Quantium Solutions have been re-engineered as part of the new International business segment. Besides driving operational efficiency, low yielding warehousing contracts were phased out, resulting in an improved performance.
In the freight forwarding business, the industry-wide contraction in sea freight rates and volumes post pandemic has led to a decline in revenue and profit contributions from Famous Holdings group. Freight forwarding revenue was lower at S$263.1 million compared to S$417.7 million, while operating profit decreased to S$22.4 million from S$43.4 million for the full year.
Post and Parcel
Post and Parcel revenue for both domestic and international businesses declined to S$514.1 million from S$524.5 million for the full year. The segment recorded an operating profit of S$ 7.5 million largely contributed by the International business, compared to a segment loss of S$12.0 million last year.
The Domestic Post & Parcel business posted higher revenue on the back of eCommerce volume growth of 11% for the full year. It also had the benefit of the postage rate adjustment in October 2023 which helped to mitigate the impact of the continued decline in volumes of letter mail and printed papers. In the International Post & Parcel business, the moderating conveyance costs, stringent cost management, as well as operational synergies, contributed to an improved performance.
Property
Property revenue was stable at S$77.7 million for the full year, compared to S$76.6 million last year, with operating profit of S$42.2 million. This was due to positive rental reversions at SingPost Centre. Overall occupancy at SingPost Centre was 96.2% compared to 98.2% as at 31 March 2023, with the occupancy for the retail mall and office space running at 99.6% and 94.8% respectively.
Transformation has yielded benefits
Vincent Phang, Group Chief Executive Officer of SingPost said, “Our transformation continues to yield results in our core businesses as we execute our strategy.” SingPost recently announced the outcome of the strategic review of the Group and its portfolio of businesses, with the view to enhancing shareholder returns and ensuring the Group is appropriately valued. Please refer to the SGX announcement dated 19 March 2024 Board strategic review unveils pathways to growth and unlocking shareholder value.
Proposed final dividend
The Board is recommending a final exempt (one-tier) dividend of 0.56 cents per ordinary share for the financial year ended 31 March 2024. Including the interim dividend of 0.18 cents per share paid out in November 2023, total dividend would amount to 0.74 cents per share, or 40% of the underlying net profit. This represents an increase of 28% year on year.
The proposed final dividend is subject to the approval of shareholders at the 32nd Annual General Meeting to be duly convened. The date payable and record date of the final dividend will be announced at a later date.
Australia Post to invest $290,000 in community projects
As part of its work to make a positive impact on communities across the country, Australia Post has awarded grants to 152 grassroots community and not-for-profit groups through its annual People of Post Grants.
This year, the funding available to individual groups has been doubled to up to A$2,000 (US$1,315), with the total investment reaching more than A$290,000 (US$190,683). The initiative sees Australia Post team members nominate local not-for-profit community initiatives that address some of Australia’s most pressing social issues including mental health, disaster support and resilience, Indigenous children’s literacy, and environmental sustainability.
In 2024, more than half of the grants will support projects to improve mental health and connection; 23% will go to groups supporting environmental sustainability initiatives.
A lasting impact
Nicky Tracey, Australia Post’s general manager for community and stakeholder engagement, said, “At the heart of this initiative are Australia Post team members, who witness first-hand the incredible work community groups do every day across Australia. Our People of Post Grants give them the chance to give back.
“At a time when cost of living is high, it’s great that Australia Post can help make a lasting impact on some of Australia’s most pressing issues. We also know that community groups are pivotal in fostering a sense of belonging and making a positive difference to individuals every day, which is particularly important at a time when one in seven Australians experience social isolation and loneliness.”
Since it launched in 2018, the People of Post Grants program has awarded more than 1,900 grants totaling more than A$1.5m (US$986,295). The grants have supported many causes, including delivering intergenerational programs to tackle social isolation and loneliness in Victoria and planting initiatives to restore the habitat and healthy ecosystems for native animals in Queensland.
The full list of Australia Post’s 2024 People of Post Grants recipients is available at auspost.com.au/popgrants.
Commitment to workplace inclusivity
The post has also announced its continued commitment to fostering a culture of access and inclusion. Group chief executive and managing director Paul Graham participated in the Australian Disability Network’s first-ever CEO Insights session at IMPACT 2024, where he challenged corporate Australia to build its accessibility approach on one simple question: “How can we do it, not why we can’t”.
He added, “With 5.7% of our team members with a disability, tracking to be over 6% in FY24, we are focused on building inclusive practices to provide accessibility for everyone in our communities.
“Our Accessibility Matters Employee Reference Group has more than 100 members who are integral in the design and rollout of initiatives throughout the organization that set up team members to do meaningful work and thrive. We are proud of the higher engagement and tenure our team members with a disability have at Australia Post.”
Full support
Australia Post introduced the Workplace Adjustment Guidelines and Passport several years ago to support team members living with disability, ensuring they have the support they need to successfully do their role. Last year the post also announced its Access and Inclusion Plan for 2023-2025, and is one of the largest Australian employers certified as a Disability Confident Recruiter.
