POSTAL NEWS
No 49-2020
Formulated by UNI AproPost and Logistics Sector
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1. DPD: We
are experiencing the biggest boom in online retailing in the UK’s history. June 18, 2020.
2.
PostNL provides update on Q2 business trends and FY
2020 outlook. June 17, 2020.
3.
Parliamentary support growing for postmasters’
justice fight.June 17, 2020.
4.
DHL expands rail transportation network.June
16, 2020.
5.
Pos Malaysia recorded a lower net loss for first quarter
financial year 2020. June 15, 2020.
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1. DPD: We are experiencing the biggest boom in online retailing in the UK’s history
June 18, 2020
Parcel delivery firm DPD has announced it will invest £200 million this year to expand
its next-day parcel capacity, including £100 million on vehicles, £60 million
on 15 new regional depots (10 more than originally planned in 2020) and the
remainder on technology.
It has also announced
6,000 new UK jobs and a major infrastructure investment in response to the
unprecedented boom in online shopping caused by Covid-19.
The new jobs will
include delivery and HGV drivers, warehouse staff, management positions and
support staff, including mechanics.
DPD is forecasting
the growth to continue this year, despite shops reopening, as households
continue to rely on online deliveries for a greater proportion of their
shopping, including food and drink.
The new
infrastructure investments and recruitment will be in place before Black Friday
as the firm prepares for what it predicts will be the busiest Cyber Weekend and
Christmas period, in its history.
Dwain McDonald, DPD’s
CEO commented:”We are experiencing the biggest boom in online retailing in the
UK’s history and we are making this unprecedented investment in our
infrastructure and people to ensure we can continue to meet the high levels of
demand for our services.
“DPD has been one of the
fastest growing major companies in the UK in the last 10 years, due to the
growth in e-commerce. But what we have seen in recent months is
potentially a much more significant shift in behaviour, and we believe elements
of it will be permanent. As a company, we’ve been dealing with rapid
growth and ongoing investment cycles for a long time, but this is a very
significant moment.
“I do think the High
Street will bounce back from where things are now, but we have to base our
modelling on our conversations with retailers and their projections. It looks
like there will remain a much greater reliance on e-commerce in the future –
that’s going to be our ‘new normal’. This investment and expansion mean
that we will continue to be right there for our retail customers, alongside
them, with the capacity to cope with the demand they are seeing online.
“Since this began, we
have been handling parcel volumes more akin to the festive seasonal peak than
this time of year. For example, volumes over Easter were double last
year. The business has performed incredibly well, with service standards
at record high levels, as more people have been at home to receive parcels and
the roads have been quieter. All this while the operation has had to
start scaling-up and adapt to social distancing and contactless deliveries.
“I’m incredibly proud
of what our team has delivered during this crisis, including our work with the
NHS and food retailers, and I have no doubt that they will continue to provide
our customers with a market leading service.”
2. PostNL provides update on Q2 business trends and FY 2020 outlook
June 17, 2020
Q2 performance to show strong improvement, positively impacting FY 2020
outlook for normalised EBIT and free cash flow.
PostNL today provides an update on current business trends,
taking into account the continuation of the developments related to Covid-19
that started to have an impact during March and accelerated through April and
May. PostNL now expects Q2 2020 normalised EBIT to come in strongly above last
year (Q2 2019: €39 million) as a result of better performance in Parcels. Based
on the expected performance over the first half year, coupled with the current
trends, PostNL is adjusting its FY 2020 outlook for normalised EBIT to strongly
above the previous guidance of between €110 million and €130 million. The
increase in normalised EBIT is expected to translate into an improvement in
free cash flow.
Limited visibility due to Covid-19 developments
It remains to be seen how the Covid-19 pandemic will develop in the
course of 2020 and over the longer term, and how this will impact the economic
environment. Longer-term visibility remains limited due to uncertainties about
the duration and severity of the pandemic. The outlook for PostNL’s FY 2020
performance provided today could be impacted by such uncertainties.
Business trends in April and May following Covid-19 pandemic
Governments in the Netherlands and Belgium
took health and safety measures early in March to contain the Covid-19
outbreak. Since then, e-commerce growth has picked up meaningfully across
almost all segments and products, and e-commerce penetration has increased. At
the same time, part of this growth relates to specific consumer spending as a
result of the Covid-19 situation. The social distancing measures put upward
pressure on costs across PostNL.
In Parcels, volume growth accelerated from
close to 14% at the end of March to above 25% in April and May. To accommodate
this growth, PostNL scaled up its network considerably. It is currently
operating at almost optimal capacity, resulting in improved efficiency levels.
The favourable price/mix development in Parcels as reported in Q1 is
continuing, as is the positive trend at Spring.
The volume decline at Mail in the Netherlands
in April and May was further impacted by a stronger than expected decline in
bulk mail, explained by companies postponing direct mail campaigns. This was
only partially offset by a slightly better trend in single items.
Health and safety remains first priority
PostNL applies all social distancing
guidelines and health regulations to protect its people, partners and consumers
as much as possible. It has implemented additional measures in its operations
and facilities to support social distancing and to ensure a safe and healthy
working environment.
Q2 and HY 2020 results will be published as
scheduled on 3 August 2020.
3. Parliamentary support growing for postmasters’ justice fight
June 17, 2020
Dozens of MPs from across Westminster’s political
parties have signed an Early Day Motion (EDM 593) asking for a full public
inquiry into the persecution of hundreds of postmasters, who were wrongly
accused of financial improprieties which were actually due to a faulty computer
accounting system, Horizon.
Back in February, Prime Minister Boris Johnson responded to
Parliamentary Questions on the matter with a promise to hold an inquiry – but
last week, Under-Secretary of State for Business, Energy & Industrial Strategy
(BEIS) Paul Scully disappointed everyone by announcing a limited ‘Government
Review’.
Justice for Sub-Postmasters Alliance campaigners, who
successfully won £58 million in compensation from the Post Office, sharply
criticised the planned review as inadequate, a view which was also shared by
the forensic accountancy firm Second Sight, which
was appointed to investigate Horizon – both organisations announcing
that they will not participate in the review.
In a communication
to JFSA members, campaign founder Alan Bates described the review as a
“sham” and added: “We will refuse any invitations to attend or submit
documentation to this review.
“We will only assist a judge-led public inquiry – and would
do so gladly.”
Yesterday, Darren Jones MP (Bristol North West), who
chairs the BEIS Parliamentary Select Committee, wrote
to Mr Scully explaining the key inadequacies of the proposed
review, noting that it would have ‘no subpoena powers to summon witnesses
and compel them to give evidence under oath’.
Mr Jones ends his letter insisting that ‘a statutory
judge-led Public Inquiry needs to be able to establish the truth…for those who
have awaited justice for so long’.
And increasing the pressure for justice, Kevan Jones MP (North
Durham) has tabled EDM
593, which ‘expresses concern at the scope and
formation’ of Mr Scully’s review and ‘strongly urges the Government
to institute a judge-led public inquiry’.
Speaking this morning, CWU assistant secretary Andy Furey
says: “The review announced last week is totally inadequate for the task of
holding to account those responsible for the Horizon scandal, or for the
delivery of justice.
“The CWU, of course fully supports the statements from the
Justice for Sub-Postmasters Campaign, the IT company Second Sight, the Chair of
the BEIS Select Committee and the MPs who have signed EDM 593.
“It’s great to see MPs from all political parties supporting the
demand for a full, judge-led Public Inquiry,” Andy continues, “and what we as a
union need to do now is to encourage as many MPs as possible to add their names
to EDM 593.
“So please take a look at the list of MPs who have signed and
ask yourself: ‘Is my MP’s name there’?
“If not, then please email
your MP and ask them to sign.
“The more Parliamentary support we can gain for this demand,
the more likely it is that justice will prevail for all postmasters and those
responsible for this gross miscarriage of justice will be held accountable.”
Source :https://www.cwu.org/news
4. DHL expands rail transportation network
June 16, 2020
In response to heavy customer demand, DHL Global Forwarding,
the freight forwarding specialist of Deutsche Post DHL Group, has introduced
two new rail connections from Germany to China.
A connection now runs from the KTL terminal on the BASF site
in Ludwigshafen via Poland, Belarus, Russia and Kazakhstan to the destination
terminal in Xi’an, the capital of the Chinese province of Shaanxi. In addition,
an express train connection has been deployed between Neuss and Xi’an via
Kaliningrad reducing the transit time to 12 days.
DHL said that with these connections its rail network can
provide customers access to faster lead times to Asia covering both
less-than-container-load (LCL) and full-container-load (FCL). The
implementation of complete block train routes from Europe to China reflects the
growing demand for imports and speed of delivery to Asian countries, and
complements DHL’s already existing block trains from Xi’an and Chengdu to
Europe.
“In the last years, we observed an increasing demand for
rail service products to and from China,” explained Thomas Kowitzki, head of
Chinarail, Multimodal at DHL Global Forwarding Europe. “Their
cost-effectiveness, short transit time, and lower CO2 emissions compared with other transport modes
make them an attractive alternative.”
The new Germany-to-China rail services have been established
in cooperation with long-term partner RTSB GmbH, Friedrichsdorf, Germany. The
trains are loaded with goods from all over Europe and transported over 9,400 km
to the central hub for train services in Xi’an, where DHL distributes the cargo
within China and to neighboring countries like South Korea, Japan, and Vietnam.
The new routes also shorten transit times for customers in other European
countries including France and the UK as well as the Benelux and Iberian
regions.
5. Pos Malaysia recorded a lower net loss for first quarter financial year 2020
June 15, 2020
Pos Malaysia Berhad (Pos Malaysia) recorded a
lower net loss in the first quarter of financial year, 2020 (Q1, FY2020) at
RM49.2 million from RM141.1 million in the same quarter last year. Revenue was
6.1% lower at RM558.5 million.
The Group’s courier business saw an increase
in parcel volume by 6.7% year-on-year, contributed by stronger demand from
e-commerce and online marketplaces, aggressive digital and traditional sales
& marketing drive, as well as improved mid-mile and last-mile efficiency.
The mail business saw an increase in revenue
of 1.0% year-on-year contributed by the new postage rates revision that was
implemented on 1 February 2020. Mail business’ monthly revenue increased by
RM11 million in February 2020 but saw a decline in mail volume in March 2020
due to the COVID-19 pandemic.
Pos Malaysia Berhad’s Group Chief
Executive Officer, Syed Md Najib said, “Pos Malaysia’s ongoing
transformation continues to make progress, with the postal segment achieving
improved gross profit as the company begins to realise the benefits of its
operations improvements, cost efficiency and business focus initiatives.”
“E-commerce has and will continue to drive
our courier segment. Delivery is a key element in the e-commerce customer
journey, and we believe that automation of our parcel sorting centres and our
digitalisation efforts in deploying the new track and trace system would
provide us the competitive advantage and enhance customer experience.” Syed Md
Najib added.
Business segment performance
Postal segment revenue
was contributed by mail and retail products at RM190.3 million followed by
courier at RM178.8 million. The postage rates revision that took effect on 1
February 2020 contributed positively to the postal segment revenue.
The unprecedented COVID-19 has the impacted
business resulting in a decline in Q1 FY2020 revenue. While the e-commerce
sector saw a surge in demand for courier services at the end of March, fewer
retail transactions were recorded in post offices as customers remained
cautious in treading outside their homes, while international business was
affected by the cancellation of commercial and cargo flights as well as
suspension of business activities.
Aviation segment contributed
RM62.8 million revenue to the Group. This is mainly from cargo and ground
handling businesses.
Logistics segment revenue
of RM75.5 million is mainly from freight management business (freight
forwarding and haulage) and automotive business (local automotive production
volume).
Other segments consisting
Datapos, Pos Digicert and Pos ArRahnu were not impacted by COVID-19 and are
performing above targets.
Outlook
The effect of the revised postage rates will
soften the financial impact of the decline in mail volume and increase Pos
Malaysia’s revenue in FY2020. The Group expects incremental annual revenue of
RM100-150 million for the mail business compared to the previous year. The
reopening of businesses, primarily bulk mail operators and higher footfall into
Pos Malaysia outlets, are expected to provide some improvements to the Group’s
mail and retail business.
Average daily parcel volume recorded in
April 2020 was approximately 590,000, a 69% increase compared to March 2020 and
a 66% increase compared to February 2020. The Group expects this trend to
continue as more consumers adapt online shopping as the new norm.
The Group foresees transhipment volume to
resume at a gradual pace, once more countries lift the COVID-19 related
restrictions. April 2020 saw signs of recovery with transhipment revenue
increasing by 84% compared to March 2020, due to the resumption of business in
China.
Aviation segment’s recovery is expected to
take longer and will depend upon the easing of travel restrictions, border
control and imposition of new rules regarding air travel.
The logistics segment is expected to
gradually improve with the easing of restrictions and the reopening of the
economy by the government.
The group’s near-term objectives are to
further improve service efficiencies and consequently, enhance customer
experience by embracing automation and digitalisation, as outlined in the
Group’s 3-year strategy in modernising its value chain, business practices and
infrastructure.
POSTAL NEWS
No 50-2020
Formulated by UNI AproPost and Logistics Sector
1. A new era begins – De Joy takes oath as Postmaster General.June 17, 2020.
2. PHLPost
commits to keep the post office safe for employees and the public. June 16, 2020.
3. bpost launches e-commerce platform for SMEs.June 16, 2020.
4.
FedEx
Office and Canva Redefine What’s Possible with Launch of Digital Content and
Design-to-Print Marketplace. June 15, 2020.
5. More controls and an increase in the minimum wage.
June 15, 2020.
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1. A new era begins – DeJoy takes oath as Postmaster General
Louis DeJoy took the oath of office as the nation’s 75th
Postmaster General on June 16, expressing optimism for the Postal Service’s
future and appreciation for the organization’s employees.
“Together, we will put the Postal Service on a successful
trajectory for generations to come,” DeJoy said during a ceremony at USPS
headquarters in Washington, DC.
The event was held in a meeting room named for Benjamin
Franklin, the nation’s first Postmaster General. Participants observed social
distancing guidelines during the ceremony, which featured a small audience that
included members of the Board of Governors and the executive leadership team.
Board Chairman Robert M. “Mike” Duncan administered the oath
to DeJoy. John M. Barger, a governor who chaired the committee that selected
DeJoy for the position, was also present, while the board’s other governors,
Ron A. Bloom and Roman Martinez IV, participated in the ceremony through
videoconferencing.
The board announced DeJoy’s appointment in
May following an extensive nationwide search. He succeeds Megan J. Brennan,
who retired last week.
DeJoy spent his 35-year career in logistics, including serving
as chairman and chief executive officer of New Breed Logistics, an
award-winning USPS contractor that supplied the organization with support for
multiple processing facilities.
He is the fifth Postmaster General to join the Postal Service
from the private sector since the organization became an independent
establishment within the executive branch in 1971.
Earlier this week, DeJoy addressed employees in a video message distributed throughout the
organization.
2. PHLPost commits to keep the post office safe for employees and the public
June 16, 2020
The Philippine Postal Corporation (PHLPost) has emphasised the
safety of its personnel and postal clients.
It has revealed the measures it is taking to keep its post offices
and mail processing facilities accepting postal ID’s, domestic and
international mails safe.
For daily health checks,
employees and the public are required to declare their whereabouts and health
status for easy contact tracing, regularly promotes physical distancing, hand
sanitation, regular temperature checking and wearing of facemask.
To keep its workplace safe, mails
and parcels regularly received at the post office are being sanitised and
disinfected by its maintenance personnel who wear personal protective equipment
(PPEs) for secure working environment.
Work arrangements such as
flexible hours, shifting and work-from-home were also adapted according to work
requirements.
PHLPost is also committed to
fulfill its universal mandate of continuous delivery of important mails from
various government and private sectors who are important clients of the agency.
3. bpost launches e-commerce platform for SMEs
June 16, 2020
bpost has
announced the launch of its new platform, ‘touslesmagasinsenligne.be’, a
solution for SMEs that want to build a webshop to support e-commerce sales.
Online shopping has boomed in Belgium since
the beginning of the lockdown. Over several weeks, bpost has delivered up to
500,000 parcels per day on the busiest days.
“bpost wishes to bolster this increasingly
successful sector of the economy in Belgium by facilitating access to online
retail for local businesses. With this goal in mind, bpost has drawn on its
global expertise to develop and launch an innovative new tool that enables SMEs
to create a fully functioning online store from scratch,” said Jean-Paul Van
Avermaet, CEO bpost Group.
This new-found passion for e-commerce, which
has created many new customers, is set to continue. According to bpost,
approximately 15% of Belgians have said they will shop online more even after
the lockdown is lifted.
Among the beneficiaries of this new consumer
trend, local small and medium-sized enterprises have everything needed to
profit from the growing demand for online shopping.
Belgians, who have been unable to leave their
homes, have discovered and ordered regional products, creating new long-term
development opportunities for SMEs online.
Developed in association with Shopitag,
bpost’s touslesmagasinsenligne.be platform takes care of the e-commerce process
including creation of a webshop, online payments, delivery, advertisement on
social networks and assistance from bpost and Shopitag in the sales process.
Source: https://www.ti-insight.com/
4. FedEx Office and Canva Redefine What’s Possible with Launch of Digital Content and Design-to-Print Marketplace
June 15, 2020
FedEx Office, a world-class provider of convenient, state-of-the-art printing,
packing and shipping services and subsidiary of FedEx Corp. (NYSE: FDX), and
Australian-born online design platform Canva, the leading content and creative
design platform, have joined forces to create a digital design-to-print
marketplace making it easier for businesses to create the professionally
printed materials they need to get back to business quickly and safely.
The new alliance brings together, for the
first time, the nationwide network of FedEx Office stores with the world’s
fastest growing online design platform from Canva, which offers millions of
images and illustrations, an extensive library of templates, and a simple
drag-and-drop interface. Together, FedEx Office and Canva empower business
owners and consumers to design virtually anything and print at more than 2,000
FedEx Office locations across the U.S.
“Small and mid-sized businesses across the
nation are working to reopen their doors, and we are here to help them at a
time when they have limited resources and a significant challenge to reconnect
with their customers,” said FedEx Office EVP and Chief Operating Officer Kim
Dixon. “We understand what they need, and we are uniquely capable of providing
both custom materials and ready-to-print signs and graphics that support their
back to business plans.”
One in five small business owners said
external marketing and communications are some of the major challenges they are
facing as they look to reopen, according to a new survey from FedEx Office.*
They have new print needs as they update their policies to create a safe
environment for customers and employees, but they don’t have big budgets to spend.
FedEx Office and Canva offer the solution. Choosing from Canva’s extensive
library of customizable drag and drop designs and content that includes stock
photography, illustrations and fonts, customers can create their own
professional-looking flyers, postcards, disposable menus and more from
fedex.com on any device, with next day printing on many requests available at
their local FedEx Office store.
“We’re thrilled to bring the power and
simplicity of Canva to FedEx Office customers,” said Canva Co-Founder and Chief
Operating Officer Cliff Obrecht.
“With Canva we set out to democratize design;
this alliance combines the depth and variety of Canva’s design and content
library with the reach and expertise in print of FedEx Office, to empower the
community to create and communicate with ease.”
In addition to the flexibility to design
their own materials, small businesses can choose from FedEx Office
ready-to-print “We Are Open” storefront banners and new hours of operation
posters, as well directional floor signage available in English and Spanish to
designate how customers can maintain a safe distance from other shoppers.
· More
than 80% of consumers want to know about changes a business has made to its
operations as a result of the coronavirus outbreak.*
· Approximately
60% prefer to receive professionally printed mailers about changes to hours,
policies and safety procedures.*
FedEx Office also continues to offer the
standard services and operations that businesses and consumers need as they get
back to business, including:
· Retail
store locations: Printing, packing and shipping services, as well
as access to faxing, scanning, computer rental and free Wi-Fi in a majority of
the 2,000+ FedEx Office locations
· SameDay
City: Pickup and drop-off services available within hours to
deliver everything from medical supplies to office equipment
· Hold
at FedEx Location: Deliveries can be securely held for pickup at
FedEx Office retail stores, FedEx shipping locations and more.
Source :https://newsroom.fedex.com/newsroom
5. More controls and an increase in the minimum wage
June 15, 2020
Switzerland's annual report on the
postal market, published today by the supervisory authority, attests to
Switzerland's high quality basic services.
The employees are particularly
interested in how PostCom performs its control activities regarding working
conditions. syndicom expects PostCom to closely monitor the booming market
of private postal service providers. In addition, syndicom demands an
adjustment of the prescribed minimum wages.
Since PostCom 2019 had a minimum wage for the
postal market by ordinance, the authority has been controlling wages for postal
services in Switzerland on a comprehensible scale. It has already
identified the first offenses and initiated sanctions. Syndicom welcomes
the announcement by the new supervisory authority president to step up control
activities.
Increase minimum wage
The willingness to design of the new
authorities is evident. But syndicom is convinced that the minimum wage of
CHF 18.27 an hour is far too low. Matteo Antonini, sector manager at
syndicom, said: “You can't live decently with such an hourly wage in
Switzerland. This is state-authorized wage dumping. The minimum wage
urgently needs to be revised upwards. » syndicom proposes a revision of
the regulation, in which a market segmentation is carried out and the minimum
wages are adjusted accordingly.
Actively regulate the market
Due to the growing online trade, more and
more players are appearing in the logistics sector. With such a
competitive market, there is a risk that competition will be fought over
working conditions. The sufferers are the weakest links in the chain, i.e.
the employees.
The supervisory authority must prevent this
and actively regulate the market for private postal service providers. The
best implementation and implementation of fair working conditions is guaranteed
by generally binding collective employment contracts. This is not
PostCom's competence.
But wherever mail items are delivered, postal
service providers must be encouraged to negotiate collective
agreements. PostCom can control this and syndicom expects the authorities
to take an active approach.