Vietnam: Postal workers fear economic woes after telecom split
The upcoming split of post and telecommunications services could put some 45,000 postal workers in a state of financial crisis. The split, originally scheduled to take place in 2002, was postponed, and postal services have been subsidised by the telecom sector. Policy makers said the move should create specialised corporations for post and telecom services, but insiders, including the postal staff, said they would face an uncertain future once the subsidies were cut. Postal workers account for 49 per cent of the 90,000 employees at Vietnam Post and Telecommunications Corporation (VNPT), but the service brings in only 5-10 per cent of the total revenue, which is currently VND30 trillion (USD 1.9 billion) a year. VNPT is losing money compensating for the imbalance, which is affecting the growth of both services. Since October 2001, VNPT – then known as the Department General of Post and Telecommunications – has been testing the split in 10 provinces.
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