Tag: Latvian Post

Latvian Post is most likely to have to raise prices

Latvian Post(LP) will most probably have to raise the prices of its services, Latvian Transport Minister Ainars Slesers said on Tuesday.

LP will have to take several important decisions concerning the future development of the company. The minister said that he has a development plan to offer tot he company management, but he would like to see the plan developed by LP first. The minister said that he would meet LP management on Wednesday to discuss the action plan that the company will present concerning its further development.

“There are lots of post offices that make loss and will never make profit. The question is if the company has to sustain such branches? If they have to be sustained, the next question is — How?” said the minister, adding that the unprofitable post offices are sustained by the post workers. He admitted that press delivery price problem is the same, as these have not increased lately on the face of increasing costs.

Slesers said that a consideration should be given to the postal services to be subsidized by the government and the ones to be sustained by the company itself.

He said that the privatization of LP is not an issue at the moment. It is not planned and will not be allowed, but as postal liberalization is on the approach in the EU, possibly, decisions will have to be taken to attraction of private partnership to separate postal functions, not the post in general.

Slesers did not want to comment on the necessity of the resignation of Gints Skodovs, the head of LP.

Latvian Prime Minister Aigars Kalvitis during a government session on Tuesday said that the salaries of the unprofitable offices and postal workers in general is the issue of the company management as the management of the company receives the salaries, which are among the highest in the country and, thus have to solve the crisis situation.

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