Postal changes will hinder business: claim

AUSTRALIA Post’s decision to delay mail delivery times by a day in regional communities has been described by Great South Coast Group chairman Cr Chris O’Connor as a hindrance for business operators.

“It’s another burden on country people,” he said.

“I understand electronic technology has made inroads into Australia Post profits, but letters are still important.

“Many rural areas don’t have the same electronic capacity as metropolitan communities.

“With the impending rise in stamp prices you’d question why one would pay more for less service.”

From March 3 the national postal giant will cease next-business-day delivery for non-local mail and go to second-business-day delivery.

It has justified the decision citing a 5.4 per cent decline in mail articles volume and a $218.4 million loss in its mail business sector last financial year, but is confident it can still meet government performance standards

Wannon MP Dan Tehan described the decision as disappointing, but an understandable cost-saving measure.

“I’ve been assured by Australia Post there will be no job losses in Warrnambool and that next-day delivery of non-local mail will be available at a cost through express post,” he said.

“Unfortunately the mail side of the Australia Post business is in financial difficulty and they have to put measures to address this.

“They had been exceeding their service obligations and will drop back to what they have to achieve.”

pcollins@fairfaxmedia.com.au

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