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Postal Digest – Postal news from Canada, Israel, Russia, Brazil and Portugal

Friday, August 30th, 2013

More headlines from around the postal world, with Canada Post involved in a class action lawsuit, Brazil Post phasing in real-time tracking and Israel Post cutting its losses.

Canada Post offers $5m in shipping fees lawsuit

Canada Post is facing a court hearing in October, to potentially settle a class action lawsuit over historic shipping charges.

The company has confirmed that subject to court approval, commercial customers charged shipping fees based on anything other than actual weight between 2000 and 2007 could receive compensation.

The case relates to claims by mail order company Lee Valley Tools Ltd that Canada Post violated the Weight and Measures Act by using a volumetric fee system. Canada Post, which denies liability in the case, said it has reached a settlement in which it will offer a $5m fund for any claimants in the case. Customer who believe they could be part of the action are being urged to contact law firm Blaney, McMurtry LLP by 23rd September.

Israel cuts losses, but mail volume decline continues

Israel Post has reduced its losses so far this year, despite the continuing decline in its mail volumes.

The universal service provider in Israel said it made ILS 463m ($127.4m USD) in revenue during the second quarter of the year, up 4.75% compared to the same period in 2012. Net income was an ILS 18.2m ($5m) loss, a 35% improvement on last year’s Q2. In the year to date, Israel Post said its revenue is up 1.7% to ILS 917m ($252.3m), with losses improved by 13% to ILS 37.9m ($10.4m).

Commenting on the results, a company spokeswoman said the downward trend in domestic mail volumes was continuing, and was adding to the financial challenges of the company, which is struggling with the fixed costs of its network, including staff salaries, as well as its universal service obligations.

Russian Post launches airmail flight in Sakha Republic

Russian Post has launched its first regional flight in the far eastern Russian republic of Sakha.

The national postal operator in Russia held a ceremony on Monday at Yakutsk Airport to launch its second new airmail plane under a programme to expand links to remote areas, its first being a flight in the Khabarovsk Krai Territory on Russia’s east coast.

Russian Post deputy director general Alexei Skatin said: “The mail must be delivered on time despite the difficult geography of the region. We are starting to improve the postal logistics in the remote regions of Russia.”

Brazil Post adopting real-time tracking technology

Brazil Post has provided 2,000 of its mail delivery staff with smartphones to provide real-time information on their deliveries.

The move is the first phase of a new Mobility in the Postal Service project in which the company is looking to allow customers to track their deliveries in real time on the Internet. The first phase should be complete soon, covering the SEDEX 10 express service in various states including Goiás, Rio Grande do Sul, Santa Catarina, Paraná, São Paulo, Minas Gerais, Rio de Janeiro, Pernambuco, Piauí, Bahia, Mato Grosso do Sul, Ceará and Espírito Santo, as well as the Federal District.

Brazil Post said it is in the procurement process for the second phase of the project, which will expand the project into other delivery services.

CTT Group renews alliance with Western Union

CTT Group has renewed its partnership with Western Union for a fourth consecutive year.

The parent company of Correos de Portugal said its partnership with the US money transfer specialist has been a “success story” over the past 14 years, with customers transferring EUR 4bn through the service in 2012.

CTT said it has managed to position itself as one of the largest Western Union partners at a national level, despite the strong competition in the market.

Source: Post&Parcel

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