Japan Post to outsource rural operations to Secom

Japan Post Holdings Co. plans to outsource some of its post office operations to Secom Co., the nation’s biggest security-services company, in an attempt to maintain its rural network, the Nikkei English News said, without citing anyone.

Of Secom’s 2,200 stations across Japan, three or four in remote regions will accept mail and provide financial services on behalf of Japan Post as early as the end of this year, the news service said.

Japan Post, which began its 10-year privatization process in October, is required to maintain its nationwide network of more than 24,000 post offices while increasing profit, Nikkei said. Japan Post Network Co., a postal subsidiary of the world’s largest financial institution by assets, will outsource to big firms for the first time, the news service said.

Japan Post Network currently uses limited-service branches such as individuals and local government offices to provide mail and postal savings, Nikkei reported. As of May 31, 454 such branches, mostly in rural areas, had been closed because of aging operators and loss of customers, Nikkei said.

Japan Post Holdings Co. plans to outsource some of its post office operations to Secom Co., the nation’s biggest security-services company, in an attempt to maintain its rural network, the Nikkei English News said, without citing anyone.

Of Secom’s 2,200 stations across Japan, three or four in remote regions will accept mail and provide financial services on behalf of Japan Post as early as the end of this year, the news service said.

Japan Post, which began its 10-year privatization process in October, is required to maintain its nationwide network of more than 24,000 post offices while increasing profit, Nikkei said. Japan Post Network Co., a postal subsidiary of the world’s largest financial institution by assets, will outsource to big firms for the first time, the news service said.

Japan Post Network currently uses limited-service branches such as individuals and local government offices to provide mail and postal savings, Nikkei reported. As of May 31, 454 such branches, mostly in rural areas, had been closed because of aging operators and loss of customers, Nikkei said.

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