Tag: Europe

Dutch delay postal liberalisation

The liberalisation of the Dutch postal market will not go ahead as planned on 1 January 2008 due to the “lack of a level playing field”, notably caused by the introduction of a minimum wage for postmen in Germany. The delay highlights the difficulties linked to the practical implementation of new EU rules on opening up European postal markets to competition.

The delay, which was announced to members of the Dutch Parliament by Junior Economy Minister Frank Heemskerk on 6 December, came in response to a German government decision last week to introduce a EUR 8- EUR 9.80 per hour minimum wage for postal workers.

In a vote last June, the Dutch Parliament had made full market opening as of 2008 conditional to the existence of a level-playing field in Germany – the main target for market expansion by the Netherlands’ principal mail distributor, TNT.

However, the fear is that the German move to introduce a minimum wage that is 20-30 pct higher than TNT’s current average price per hour will shield the formerly state-owned mail monopoly Deutsche Post from any competition and “endanger the creation of a level playing field” across Europe.

Thus, despite having battled side-by-side with Germany to push through speedier liberalisation of European postal markets, the Dutch government now believes that “the introduction of the postal law from 1 January 2008 would not be prudent,” according to Heemskerk. He did not give another date for full liberalisation, saying things “should become clearer by mid-2008”.

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Committee approves Armenian postal service tariff regulations

The Public Services Regulatory Committee approved today the procedures of defining and reconsidering the tariffs of the universal services of the Armenian Postal Service. Armen Arshakyan, tariff policy department head of the committee said that universal services include the delivery of letters, boxes of up to 20 kg, press to the regions as well as delivery of special importance documents.

Hans Boun, director of the Armenian Postal Service, thanked the committee and assured that the document will be properly executed by the postal service. Robert Nazaryan, committee chairman, also expressed his hope that the regulations will act in favor of the customers who will feel the positive impact of the document in a year. The regulations will be effective as of January 1, 2008.

On November 30, 2006 the whole package of shares of the Armenian Postal Service was handed to HayPost Trans Management Ltd which belongs to Dutch Postfinance.

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Austria Post to close 7 of 21 parcels distribution bases

Austria Post plans to close 7 of its 21 distribution bases for parcels and will transfer one-tenth of the 2,000 employees working at the bases to its mail segment, according to an unsourced report in the Viennese daily Die Presse.

Die Presse reported that chief executive Anton Wais will present a cost-cutting and restructuring plan to the Austrian postal service group’s supervisory board on Wednesday.

The measures come in response to the group’s impending loss of catalogue-order company Quelle Oesterreich as a major client. Quelle Oesterreich confirmed that its contract with Austria Post competitor Hermes runs for ‘several years’.

A spokesperson for Austria Post was not immediately available for comment.

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Quelle Reduces Volume of Parcels Delivered by Austrian Post, Remains Important Customer for Catalogues and Direct Mailings

Quelle Austria has informed Austrian Post of its decision to primarily rely on the parcel delivery services of an alternative postal service provider. Austrian Post will continue to be responsible for the delivery of all Quelle catalogues and printed documents produced by its subsidiary meiller direct, and for the return parcel service customers have the opportunity to take advantage of. Accordingly, Quelle will remain an important customer of Austrian Post.

Austrian Post has to accept this decision of the free market, and will thus continue striving to win back any lost parcel volume on the basis of its outstanding delivery quality. Austrian Post offers an exceptional portfolio of services. 97% of all parcels are delivered on the second working day, and its extensive branch network of over 1,300 company-owned branches, more than 600 external postal partners and 183 OMV petrol stations with VIVA shops that accept parcels, and the Post.24 stations with about 5,000 rural delivery staff who also take back returned parcels ensures nationwide coverage.

The measures announced by Quelle as of 2008 will have a negative effect on the revenue and earnings of Austrian Post. Quelle’s planned reduction in parcel volume by about 7 million parcels annually and the resulting changes in the market environment are expected to negatively impact Austrian Post’s operating income by approximately EUR 20m.

Austrian Post will more intensively adapt its product portfolio to proactively respond to the market trend favouring specialised postal service providers. “This change on the marketplace will now accelerate the implementation of planned measures. The strategy we adopted was correct. A restructuring of our logistics operations is imminent”, says Anton Wais, Chairman of the Management Board of Austrian Post.

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Home Delivery Network Limited (HDNL) announces new chief executive

HDNL today announces the appointment of Brian Gaunt as Chief Executive Officer. He will take over in the New Year from Walter Blackwood, Managing Director, who will take on the role of Chairman. Brian Gaunt is currently UK Managing Director, Food and Consumer, at Christian Salvesen Plc, where he manages the provision of logistics services for a number of major UK retailers and is responsible for annual revenues of more than GBP 300 million and 6,000 colleagues spread over 45 sites.

Prior to joining Christian Salvesen, Brian Gaunt held a number of senior director level logistics and supply chain positions with various retailers including The Big Food Group plc and Asda-Walmart. Brian Gaunt will have overall responsibility for the strategy and performance of HDNL, at a time when the company has a substantial opportunity to grow in size and profitability. He brings a wealth of experience to ensuring that HDNL will continue to deliver a ‘best in class’ service proposition to existing and future clients. Under Walter Blackwood, HDNL was formed through the successful integration of Business Express and Reality Group, and in two years has built a reputation for high quality home delivery. He will continue to represent the business at an industry level, working with Brian Gaunt to build the brand reputation of the business. Brian Gaunt said: “I am delighted to be joining HDNL at this exciting time. Given that UK retail is increasingly transacted online and delivered directly to customers’ doorsteps, HDNL is well positioned to take advantage of a huge market opportunity. I look forward to leading the company through the next phase of its development”.

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