By John McGill
Employees of Australia Post (AP) have been bombarded with management deregulation propaganda since mid-1997. Information bulletins have been preparing staff for a management sell-out. All bulletins emphasise that privatisation is not an option, but "gradual change" is.
The National Competition Council (NCC) is currently reviewing the Australian Postal Corporation Act. At the moment, anyone can deliver letters but they have to charge at least four times the 45 cents charged by AP.
AP has a community service obligation to service remote areas. This obligation cost $67 million last year, paid for out of profits from other parts of the letter service. Obviously there will be no competition for the loss making parts of AP.
Last August, staff received a glossy, full-colour pamphlet; a 10-minute video; yet another bulletin, and an hour-long personal presentation by management, complete with overheads and prepared graphics, explaining "our" submission to the NCC. No change was not an option so "we" had to submit a plan that would be least painful to "us".
The plan is to gradually deregulate until 2003, when another review is proposed. If management's plan is adopted, there will be very little left to review in 2003. AP emphasises that their plan is not as bad as some of the other options presented to the NCC, such as full deregulation.
In AP's 1996-97 employee annual report, corporate secretary Gerry Ryan speculates that employment levels may drop by 2300 to 3800 over the next six years, if "our" plan is accepted. Between 1990 and 1996, AP's operating profit has increased from around $70 million to $344.1 million.
Revenue per worker per year is a massive $77,211, compared to posties and mail officers' average salary, including penalties and overtime, of around $30,000. The standard letter rate has remained 45 cents since 1992.
Every day, AP pays $1 million to federal, state and local governments in taxes, charges, dividends and capital repayments. AP receives no government allowances or subsidies. Last year AP paid a dividend to the federal government of $142.6 million and for the next two years will pay special dividend payments of $80 million.
This is why the private sector is licking its chops at the prospect of a sell-off.
The beneficiaries of a deregulated post will not be ordinary people or AP employees. Private companies who "cherry pick" the most profitable parts of the postal business will leave AP to fulfil its community service obligations, with the result that people in rural Australia will receive a much reduced service.
The NCC's final report will be given to the federal government this month. It may or may not be released to the public.
The main AP union, the Communications, Electrical and Plumbing Union (CEPU), has pledged to fight for the preservation and integrity of AP through a membership and community campaign, similar to the successful "Hands off Aussie Post" campaign of 1994. The union will be campaigning to maintain an affordable, accessible and equitable national postal service in public hands.
This campaign will only work if union members and the general public can get actively involved. If you want to join the campaign to keep Australia Post public, or would like to find out more, contact the local communications division of the CEPU.
[John McGill is a CEPU member and has worked for Australia Post for 15 years.]