Tag: Sandd

TNT faces uncertainty as liberalisation vote is delayed again

Posted by | Apr 27, 2007 | |

TNT NV is facing continued uncertainty regarding domestic operations after a parliamentary vote on a liberalisation law that would open the market to more competition was again delayed yesterday, analysts said.

The law, meant to break the once state-owned TNT’s monopoly on letters weighing up to 50 grams, is meant to take effect from January 1.

It will allow competitors like Sandd and Deutsche Post’s Selekt Mail to expand their market share in the Netherlands and increase domestic competition.

But the legislation has proven politically divisive and the vote, already pushed back from Tuesday to Thursday, has now been postponed for three weeks.

A spokesman at the Ministry of Economic Affairs said the vote was delayed so that the deputy minister in charge of liberalisation can study a series of last-minute changes suggested by MPs.

Suggested amendments include stamp price regulation without the established minimum price the government had suggested in lieu of a margin cap on aspects of the market in which TNT is unlikely to face competition.

Other suggested amendments involve the requirement that TNT provide downstream access to some of its network and a clause forcing competitors to pay their employees according to a general workers’ agreement instead of the per-delivery rates they pay now.
The last demand has been backed by TNT Post and unions representing its workers.

Read More

TNT, unions and works council await government vote

Posted by | Apr 24, 2007 | |

Unions and a works council within TNT NV have said they will keep a close eye on the Dutch parliament which is scheduled to vote this afternoon on market liberalisation legislation that will open the Dutch postal market to competition on deliveries of less than 50 grams.
The Abvakabo FNV union and BVPP, a postal union representing 9,000 workers, have criticised the liberalisation, while the works council at TNT Post, a division of TNT NV’s domestic operations, has warned of possible labour action, including efforts to openly obstruct competitors, if the law is not amended with minimal requirements for labour agreements.
The liberalisation law is intended to open the Dutch market more fully to TNT competitors, such as Selekt Mail and Sandd, by Jan 1, 2008.
Those companies are not required to pay workers an hourly wage and use freelance performance-based pay schemes. Abvakabo FNV and the TNT Post works council say that these companies pay less than the minimum wage and enable unfair competition.
The subject was discussed during a series of parliamentary debates, and proposals were put forward to establish basic standards for all postal workers. But the motion failed to garner majority support and was rejected by Frank Heemskerk, the Social Democrat deputy minister in charge of the liberalisation.

Read More

TNT Post to freeze wages and cut up to 7,000 jobs

Posted by | Apr 3, 2007 | |

TNT will seek to freeze wages and cut up to 7,000 jobs to help lower costs by 300 million euros (USD 400 million) as its remaining monopoly is opened to competition next year.

The dominant Dutch mail company, whose business is already under attack from rivals Sandd and Deutsche Post’s Selekt Mail, did not rule out forced redundancies on Tuesday.

Dutch mail unit TNT Post, one of the country’s biggest employers with 59,000 people, has steadily lost mail volume to competitors and as a result of the popularity of email, online banking and government initiatives such as electronic tax filing.

“Less post means less work,” Harry Koorstra, TNT board member responsible for the mail business, told Dutch news radio BNR, adding the company expected to lose another 30 percent of Dutch mail volume in coming years.

TNT said in December that it aimed to cut costs in its mail division by 300 million euros by 2015. It did not specify what provisions it will take in implementing the cost savings.

The company is also seeking to compensate for shrinking mail volumes at home by growing abroad and expects to benefit from the liberalisation of the European mail market, due by 2009 according to European Commission plans.

TNT still has a monpoly on mail weighing up to 50 grammes, representing about half of the overall mail market, which the Dutch government plans to scrap from 2008.

“Some 65 percent of the cost of delivering post consists of labor, and precisely the factor labor is no longer in step with the market,” Koorstra said, adding competitors paid 7 euros-to-9 euros an hour while a mailman cost 22 euros-to-24 euros.

TNT said it would also seek to change other employment terms, such as making employees pay pension contributions, which currently was not the case.

Without changes to employment terms, some 11,000 employees would have to lose their jobs between 2007 and 2010, TNT said.

Due to a large number of part-time workers in mail delivery, the expected 6,500 to 7,000 job cuts are equivalent to about 4,500 full-time jobs, Koorstra said.

Read More

Sandd strengthens position in Dutch market

Posted by | Feb 28, 2007 | |

On Feb. 20 Sandd, the second largest postal business in the Netherlands, behind TNT, announced a turnover growth in 2006 of almost 40% (Euro 68 million), when compared to 2005. From 80 distribution centres and with 10,500 staff, Sandd processed over 320 million items of post for approximately 1,500 customers. As a result its market share in the liberalised sector of the postal market has grown to 12%, representing a gain of 4% when compared to the previous year. Sandd saw its volume of delivered items grow from 230 million items in 2005 to 320 million in 2006.

For 2007 Sandd expects a further volume increase of 35% increasing its total volume to 430 million items of post. This will expand its market share to 16%. The expectation is that turnover in 2007 will finish up at around euro 85 million.

Sandd’s aim is to have a market share of 20-25% by 2011.

Read More

Dutch mail firm Sandd doubles profits

Posted by | Feb 20, 2007 | |

Dutch postal services company Sort and Deliver (Sandd) saw revenues rise 36% to EUR 68 million last year, from EUR 50 million in 2005.

Operating profit doubled to EUR 5 million, from EUR 2.5 million, reinforcing the company’s position as No.2 to TNT Post in the Netherlands.

Sandd delivered more than 320 million items in 2006, boosting its share of the Dutch market to 12% from 8%.

The company forecasts further growth this year, delivering 430 million items (35% more than in 2006), improving market share to 16% and revenues to around EUR 85 million (+25%).

Sandd currently has 80 distribution centres, employs 10,500 delivery workers and claims to have 1,500 customers.

“One of our objectives for 2006 was to reinforce our position with publishers, more than 40% of whom are our customers, and we have contracts with nearly all Dutch banks as a preferred supplier alongside TNT,” said Sandd CEO Bart Stomphorst.

Read More

Advertisement

Advertisement

Advertisement

P&P Poll

Loading

What's the future of the postal USO?

Thank you for voting
You have already voted on this poll!
Please select an option!



View ResultsHide Results

Post & Parcel Magazine


Post & Parcel Magazine is our print publication, released 3 times a year. Packed with original content and thought-provoking features, Post & Parcel Magazine is a must-read for those who want the inside track on the industry.

Subscribe to the Magazine

 

Pin It on Pinterest