Tag: Domestic

Dutch to discuss opening up of postal market

The Dutch government will brief Parliament in a fortnight on whether it will open up the domestic postal market to full competition on July 1, as previously envisioned.

Dutch Junior Economy Minister Frank Heemskerk said in March he hoped to open the market in July depending on developments in Germany and labour talks between Dutch postal companies and trade unions.

TNT has the remaining monopoly for letters of up to 50 grammes, with the market estimated to be worth about 1 billion euros (USD 1.55 billion) in 2007.

The Netherlands postponed the full opening of the market, due in January, partly because of the introduction of a minimum wage for postal workers in Germany, which it said impedes competition and where TNT had hoped to expand its operations.

The economy ministry has commissioned a report by a research firm on the impact of the German minimum wage, which it will present to parliament on May 20, Heemskerk wrote in a letter to lawmakers on Tuesday.

He will also present a report by EU Internal Markets Commissioner Charlie McCreevy on mail market liberalisation.

Heemskerk cited an agreement struck by trade unions and TNT’s rivals, privately owned Sandd and Deutsche Post’s Dutch unit Selekt Mail, last month regarding labour conditions for postal workers. “Based on these documents, Parliament and I expect to have a comprehensive picture and can judge if the legislative proposal for July 1, 2008 can be implemented,” Heemskerk wrote in the letter.

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The privatisation of the Post Office was bound to fail. Like New Labour, it was a triumph of free-market dogma over common sense
Is this a red letter day for Royal Mail? The independent report commissioned by business minister John (“let’s celebrate the rich”) Hutton concluded that privatisation threatens services and brings no benefit to customers.
The creeping commercialisation of postal services is an example of free market dogma triumphing over common sense, creating disillusionment in politics and a growing sense of the loss of social fabric in our communities. It is hitting and hurting Labour in elections as the most vulnerable are left more isolated by closures. And what is more, it makes Gordon Brown’s job of establishing a clear sense of Britishness that much harder, when his policies undermine the status and standing of an institutions that goes a long way to deterring what it means to belong to this nation. So what has the last 10 years been all about?
What has happened to the Royal Mail serves as a symbol for all that is wrong with New Labour. Once you decide that economic efficiency is the means by which you deliver social justice, then the market become master of society. Blairism was built on the notion that the private sector is always more efficient than its public counterpart. To thrive in a global economy and reap the rewards required, the walls between what is private and what is public have to be knocked down. And with big business like TNT lobbying like mad to get into the profits, modernisation only meant the market.
The Tories wanted to privatise the Post Office and were stopped in their tracks for the only time by a clever union campaign that chimed with public concern. New Labour has deftly sidestepped a full-on confrontation and has instead bled the Royal Mail dry of funds while salami slicing the public ethos of this important institution.
The Post Office and our communities are now paying the price in under-investment, closures and the break-up of the service. But there is resistance and it’s not just from the good campaigning work of the post office union the CWU. Campaigns are being run across the country to save services with councils getting in on the act to prop them up. And it’s not even as if going into a post office is any fun. My local office is a misery of long queues and shelves of tatty stationery and cheap DVDs that never made it to general release. The management should be taken to task. But still we hanker for it. Because largely it works. Because it is a point of connection in our communities. Because letters and parcels are precious and we know from our experience of the like of the banks and BT that service in the private sector is often infuriatingly terrible.
Social institutions like the post office matter. They are the places in which values reside and can thrive. The Royal Mail is no bastion of socialism. But it is about universalism, equality, access and public ethos.
As such it serves a purpose to bind our society together. In these fractious and anxious times we should be celebrating such an important institution that builds society – unlike the market that weakens it.
Gordon Brown has said he is in listening mode. Perhaps we should all send him a letter calling on him to keep the Post Office public and invest in it – making its sustainability a litmus test of his ability to change.

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Potential job losses in mail, union warns

Canada Post’s new union president is warning Canadians that their mail delivery could be in jeopardy and hundreds of jobs could be lost.
In an interview with Sun Media, new Canada Post national union president Denis Lemelin accused the Conservatives and Canada Post CEO Moya Greene of attempting to deregulate postal services in Canada.
Lemelin pointed to the Harper government’s recently announced “strategic review” of Canada Post, set to examine which services should remain under the monopoly of Canada Post and which should become fair game in a competitive market.
A final report is expected in December.

Canada Post currently has a monopoly over the delivery of letters up to 500 grams to 15 million doors across the country.
Lemelin fears that deregulation could mean that Canadians in metropolitan areas might have their daily mail handled by UPS, Federal Express or Purolator.
“These private companies could decide to implement distribution centres in the greater areas and handle mail delivery for Montreal, Vancouver and Toronto,” he said.
He also warned that deregulation would result in hundreds of layoffs across Canada and an increase in stamp prices.
“The private sector would invest in the greater metropolitan areas — where it’s profitable,” he said.
“The public postal service would end up with less profitable sectors, such as rural areas.

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Postcomm welcomes Government review of the postal services market (UK)

Postcomm welcomed the emerging views of the independent review panel on the UK postal services market.

Postcomm chairman, Nigel Stapleton said: “We will be considering the emerging views of the panel and will use them to inform our second submission.”

Postcomm’s first submission highlighted the positive impact for customers since the addressed letters market was opened fully to competition in January 2006. Since then:

– larger customers have enjoyed lower prices and increased innovation;
– residential mail users have experienced record levels of service quality from Royal Mail; and
– smaller businesses and public sector customers are now beginning to reap the benefits of choice.

Postcomm believes the future health of Royal Mail, the universal service, and the addressed letters market are inextricably linked. Decisions about fundamental reform must be taken swiftly if Royal Mail is to lead a healthier mail market and provide a strong universal service.

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