Author: Archive

Fuel cost ups shipping bill (U.S.)

Posted by | Nov 29, 2007 | |

Carriers once again are responding to higher oil and gasoline prices by passing along the costs. Rather than raise base rates, they impose fuel surcharges.

– DHL raises the Air Express and International surcharge from 18.5 percent of the total shipping bill, to 19.5 percent. The surcharge for Ground Delivery service rises from 5 percent to 5.3 percent.

-UPS raises the Ground Delivery fuel surcharge from 5 percent to 5.25 percent. The surcharge for air and international deliveries goes from 16.50 percent to 17.50 percent.

FedEx fuel surcharges go up the same as UPS, for the same categories.

In catalogs and on Web sites, most of the tables on shipping costs don’t include a fuel surcharge.

The U.S. Postal Service, whose rates are governed by a federal commission, can’t impose fuel surcharges.

That doesn’t stop the postal service from taking other steps to realign pricing with the actual costs of processing the mail. First class stamp rates rose from 39 to 41 cents in May, Since then, the postal service also takes more consideration of the size and shape of a piece of mail, when calculating prices.

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Public consultation on access to mail boxes installed in apartment buildings with controlled access

Posted by | Nov 29, 2007 | |

ARCEP is launching a consultation on how to provide access to mail boxes installed in apartment buildings with controlled access.

An increasing number of apartment building residents are opting for permanently restricted access. Yet, at the same time, changing lifestyles require that more and more service providers frequently enter apartment buildings, to exercise their activity on residents’ request, in particular for distribution or for personal service.

Today, authorised postal operators (1) and press carriers face difficulties gaining access to mail boxes inside apartment buildings with controlled access systems, such as Vigik.

However, article L. 5-10 of the post and electronic communications code (CPCE) states: “In order to be able to distribute postal items, the universal service provider and bearers of the authorisation covered by Article L. 3 have access to individual mail boxes, under identical conditions which are defined by a decree of the Council of State, established following an opinion issued by the Autorité de régulation des communications électroniques et des postes”.

For this reason, ARCEP is opening a public consultation on the solutions and necessary changes to the effective application of Article L. 5-10 of the CPCE. A number of scenarios are possible, on which ARCEP wishes to collect as many opinions from players as possible. These scenarios aim to reconcile residents’ demand for security and the increase in the number of service providers having to enter apartment buildings to meet residents’ needs.

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Eastern Europe loses its luster as companies reverse investment strategies

Posted by | Nov 29, 2007 | |

Migration of manufacturing from Western Europe to Central and Eastern Europe (CEE) has been considered by many to be an irreversible trend. However, a recent survey has found that many companies are pulling back from the region, troubled by rising costs, lack of quality and production issues. This could have major implications for express and logistics companies which have invested in the region.

Since the first wave of countries from CEE became candidates to join the European Union in 2004 it has become generally accepted that there would be a wave of investment in the region, resulting in the migration of production from Western Europe.

There were some very good reasons for that assumption. German manufacturers in particular were attracted by the much lower labour costs and the lack of regulation and bureaucracy compared to their home market. Improving transport infrastructure would mean that they could – in theory – serve their customers just as efficiently from new facilities in countries such as Poland, Czech Republic and Slovakia.

At one stage, a study by consultancy Roland Berger established that around 80 pct of German companies were moving eastwards, with Poland and the Czech Republic being the most favoured locations. By 2004, it was estimated that German subsidiaries employed around 750,000 staff in CEE.

However, the reality of manufacturing in that region seems not to have lived up to expectations. Wage costs have risen significantly and many producers have complained of quality issues, missed delivery deadlines and lack of flexibility. According to the German Fraunhofer Institute, of 6,500 firms which relocated to Eastern Europe, 1,200 have reduced their investment or pulled out completely.

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US online retailers increase payment options

Posted by | Nov 29, 2007 | |

Online fraud and the credit squeeze has forced US retailers to increase the number of payment options available and it seems to be boosting sales.

Due to U.S consumers’ worries about the risk of fraud from online purchases with credit cards, e-retailers are increasingly offering alternative payment options. E-retailers on average accepted 2.6 different payment methods this year, up from 2.1 in 2005, says a report from U.S. payments processor CyberSource.

Offering more payment methods appears to boost sales. Last year, sales increased by an average 14 percent for e-retailers offering three or more payment options, CyberSource says.

More than half of online users who are worried about ID theft say that concern has affected their online shopping, a Gartner survey in August 2007 found. Among those consumers, 13 percent said they have stopped shopping online; and 68 percent said they’re more cautious about where they purchase goods online.

In the US there are an increasing amount of users who are not shopping online because of a fear about ID theft and getting their credit card number stolen.

This can be a problem for lesser-known small and midsize retailers, who are most likely to lose business from consumers concerned about online payment, Avivah Litan, a vice president and analyst at research firm Gartner says. “The promise of the Internet was that it would level off the playing field, but it didn’t turn out that way.”

Alternative payment options include Bill Me Later, which sends customers a monthly bill and lets them pay by cheque or money order; and Google Checkout and PayPal Express Checkout, which let customers’ provide financial details only to them, rather than giving personal information to retailers.

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EU approves Government funding of Post Office in the UK

Posted by | Nov 29, 2007 | |

Government funding to the Post Office worth more than GBP 600 million was approved by the European Commission today.

Brussels has the power to block state aid it considers breaches EU rules on fair competition.

But EU Competition Commissioner Neelie Kroes said the UK government’s cash backing for the UK post office network satisfied the rules for aid to support national public services.

“I am very aware of the importance of the post office network and of the services it provides” she said this afternoon.

“This aid will enable the network to continue to provide those services under the new terms defined by the UK Government”.

The Post Office, now a subsidiary of the Royal Mail, runs about 14,000 post offices throughout the UK, the majority separate businesses contracted out to sub-postmasters.

Last July the Government announced funding over three years starting next April of GBP 634 million, to help cover the cost of loss-making parts of the service.

And although the funding has been approved today, the Commission is still conducting an inquiry launched last February into wider Government funding arrangements for Royal Mail totalling more than GBP 2.5 billion.

“The measures authorised today are separate and concern only the compensation of costs specifically incurred by Post Office Limited,” said a Commission statement.

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New Zealand Post: New Name for Auckland's Newest Mail Centre

Posted by | Nov 29, 2007 | |

Auckland’s newest mail centre has a new name. The Auckland Mail Centre – Te Riu o Tamaki Makau Rau will become the official name of the mail centre, which will process all of greater Auckland’s mail.

Situated at Highbrook Business Park in East Tamaki, the Auckland Mail Centre – Te Riu o Tamaki Makau Rau will process on average around 1.4 to 1.7 million of items of mail each day from Pokeno in the South to Cape Reinga in the north once fully operational.

That will increase to around 1.8 to 1.9 million, and sometimes up to 2.1 million items of mail a day around the Christmas period.

Designed by architects Warren and Mahoney, who based their design on sustainable principles, the Auckland Mail Centre – Te Riu o Tamaki Makau Rau, recycles water and waste water recycling, has indigenous planting, permeable paving, solar heating, low energy lighting and electrical equipment.

The centre is the largest of its kind in New Zealand, spanning two football fields and housing eight new state-of-the-art mail processing machines.

The new name is a result of a staff challenge and external consultation, says Mrs Day-Townsend.

Mrs Day-Townsend says the Centre is currently processing around 40 per cent of Greater Auckland’s mail but that will increase to 100 per cent early next year.

The Auckland Mail Centre – Te Riu o Tamaki Makau Rau will have an official opening ceremony in the middle of next year.

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New CEO for the South African Post Office

Posted by | Nov 29, 2007 | |

The embattled Post Office has finally appointed a new CEO. Bruce Whitfield talks to the lady in the hotseat.

Bruce Whitfield:
Well the Post Office has got a new chief executive. The woman who has occupied the position in an acting capacity since Ivy Matsepe-Casaburri sacked the last guy, he was Khutso Mampeule, who has taking over the position which had been occupied variously over the past 10 years by Mampeule, before him Maanda Manyatshe who had been accused of being crooked and before that a series of chairman had been in an acting CEO capacity. And we have been following the story quite closely ever since we were leaked a Deloitte governance report into the goings on at the Post Office, it made fascinating reading, it made fascinating listening, and Motshoanetsi Lefoka is the person who has taken over as chief executive at the South African Post Office and you are a braver person than I am Motshoanetsi.

Motshoanetsi Lefoka:
Good evening to you Bruce.

Bruce Whitfield:
So many of your predecessors have come and gone in recent years, you are probably the third chief executive at the Post Office in the last three years, a lot of people would say this is a poisoned chalice and you are taking on a very big job. What is your response to that?

Motshoanetsi Lefoka:
The job is quite a challenge and I believe the Post Office is an exciting organisation and I think the Post Office has proved itself despite the challenges that it has had in the past few years. But I also believe that some of the leadership that we have had have really put stability into the organisation and put the platform to work currently as the organisation we are experiencing. So it is quite an exciting time for the Post Office and an exciting time for me personally.

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Californian Supreme Court denies FedEx appeal on drivers

Posted by | Nov 28, 2007 | |

California’s Supreme Court on Wednesday refused to hear an appeal by FedEx Corp, which sought to overturn a state court ruling that said the company’s drivers are employees, not independent contractors.

The lawsuit, Estrada vs. FedEx Ground Package System Inc., involves 200 people who worked under contracts struck by FedEx’s predecessor company.

It will be sent back to the state trial court for rulings on drivers’ expense reimbursements and fees for plaintiff’s attorneys, FedEx spokesman Maury Lane said.

A series of similar lawsuits from more than 30 states was recently granted class action status by a court in Indiana.

Those lawsuits also claim the control FedEx exercises over its contractors makes them employees, eligible for benefits.

FedEx has argued the contractors are entrepreneurs, not employees.

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