Deutsche Post CEO says 32,000 could lose jobs due to liberalisation
Deutsche Post World Net AG CEO Klaus Zumwinkel said about 32,000 jobs could lose their jobs as a result of the planned liberalisation of postal services in Germany.
In an interview with DPA German news agency, he said competitors would be able to get hold of around 20 pct of the volume of letters being handled by Deutsche Post after Dec 31, 2007, when the company’s monopoly ends.
‘This would then mean the end for around 32,000 jobs in Deutsche Post,’ he said.
‘One has to know this if one wants to liberalise (the market),’ he added.
Zumwinkel said the letters market, in which Deutsche Post still holds a market share of around 92 pct, is no longer growing but has actually shrunk by around 3 pct due to the new electronic forms of communication.
He said the market shrinkage had resulted in a loss of 5,000 jobs a year but that the company manages to offset these through ‘natural wastage’, such as non-replacement of those who retire.
