ACCC HAS APPROVED $1 BPR

It's official!

 

Hot off the press is ACCC's media release which details their support for the full $1.00 BPR.

The next step is for The Minister for Communications Senator the Hon Mitch Fifield to allow the prescribed 30 day waiting period to pass without objection to the price rise. As the Government has already indicated their full support for a $1.00 BPR, it will go ahead.

 

LPOG Media Response BPR $1.pdf

Seeking LPOs run by Councils or Community Groups

LPOG is seeking information of how many LPOs have been taken over by local councils or community groups, to keep the LPO open and operating for the community. Michael McKenna of the Australian Newspaper, quoted the local Mayor of Quilpie in his article on Monday 23rd, saying that the council will not take over the Quilpie LPO (another glorious Category F example) as he is aware of some local councils having to pay up to $100,000 just to keep the doors open. And how right he would be.

LPOG is all About Change

Over the last 15 years the LPO Industry has been sliding below the surface in terms of business survival and outcomes. This is a ridiculous situation, for what should be a robust and healthy blue chip small business network, to be in. LPOs provide postal services to almost 80% of the foot print for Australia Post, and allow Australia Post to honour the government's community service obligations. We serve hundreds of thousands of customers daily, both transactional and mail customers. LPOs should be well remunerated for our efforts. Over the last decade Australia Post has paid almost $3 billion in dividends to the Federal Governments, and LPOs contribute a large portion of the services that earn the profit to provide those dividends. LPOG members are over not having a valid share in the profitability of this industry, and we are changing this industry now.

Regrettably, with the change in the use of the postal services all over the world, there is probably far  too many Post Offices, both LPOs and Corporate Outlets in many areas in Australia. The conversation about that aspect of the overall long term survival of this business needs to begin, and responsible culling needs to start in the not too distant future. Licensees need to step up to be in the numbers that do survive, or assisting with the exit strategy. Sitting back and waiting for someone else to sort out your future is not a good way to ensure a good financial outcome for yourself. 

The Necessary Vote for Change in 2016.pdf

What does the PIP Reports Tell Licensees

Over the last 6 months there has been some investigations into the payments made to Licensees of Licensed Post Offices.

These reviews were in response to the recent Senate Recommendation delivered at the conclusion of the recent Senate Inquiry into the 'Performance, importance and role of Australia Post in Australian communities and its operations in relation to licensed post offices'. For more detail on the Inquiry http://www.lpogroup.com.au/content/senate-inquiry-final-report-supported...

What Does the PIP Reports Tell Licensees.pdf

Significant Changes for Small Biz Contracts Finally

http://www.smh.com.au/small-business/kelly-odwyer-warns-of-significant-c...

After years of lobbying by small business representative bodies, including the Franchisees Association of Australia Inc, this is good news for all Licensees. LPOG is a member of the FAA, and an LPOG Director sits on the board of the FAA which is chaired by the Hon David Beddall. Interestingly the Hon David Beddall was the Minister for Communications in 1993 when our Agreement was put in place. This legislation has been a goal of the FAA for a very long time. It has been in the planning through the last 5 small business ministers and almost got it's legs with the previous Minister Bruce Billson. There was much consternation at the FAA Board table with the loss of Bruce Billson to our cause, but we are greatly comforted that his hard work has continued to be progressed under the new Minister Kelly O'Dwyer.

Industry Consultative Forum

Industry Consultative Forum

Australia Post met with Industry Stakeholders in Sydney on the 7 October, including representatives from LPOG and APLAC. This Forum was in response to the recommendations by the Senate Inquiry (Recommendation 6), and saw a wide range of Industry Stakeholders come together to discuss the various needs of all the Stakeholders. The main topic for the day was how the mail reforms, and the anticipated BPR rise can or will impact on the various groups, and how best that can be managed over the next few years. Apart from Licensees, contractors and direct employees, there is an estimated 150,000 secondary jobs that are related to the Postal Industry, from paper makers, envelope manufactures, mailing houses to direct marketers. Looking at how the changes in our Industry will impact on others stakeholders, and the possibilities or potential of bringing all those people along on our journey, will be the focus of this Industry Consultative Forum.

POAAL did not bother to attend this Forum either, which really is alarming for Licensees that still support that Association, or think that POAAL would be representing their interests. If POAAL doesn't consider they are an Industry Stakeholder, what are they?

Media release_151014_customersupportpackage.pdf

Licensee or Public Submissions to ACCC for BPR Increase

Please add your voice to this campaign!

UPDATE 14/10/2015: The ACCC has confirmed that they will continue to accept submissions until 29/10/2015 - however, please see below for more details.

UPDATE 15/10/2015: The LPOG submission has been received by the ACCC and will be published by the ACCC on their web site in due course. To view the LPOG Submission please download it here: 

LPOG_ACCC_submission 15 October 2015.pdf

We all need to write a submission to the ACCC to impress upon them how good the idea of a $1 BPR is. The submissions need to be individual and personal. Form letters are not worth the paper they are printed on. 

BPR Calculator

The ACCC has not objected to Australia Post's draft proposal to increase the BPR to $1. This means it will happen on the 4 Jan 2016 as the Government has already agreed it is necessary.

In order to offer a better understanding to Licensees as to how critical this lift is for LPO's viability, LPOG provides the worksheet below to show Licensees what the impacts of this lift will have on our individual LPOs.

Print off the Instuction sheet below, have your June LIPOMs in hand and open the Analysis sheet. Input data into the yellow and blue fields, and the final YTD figure at the end of your LIPOMS. 

You can see how much this will change your business and it is fantastic. 

LiPOMS Analysis_BPR Impact 2015 (protected).xlsx               Instruction Sheet LiPOMS_BPR assessment tool (instructions).pdf

The default setting for the increased BPR is set at 85c. It is quite clear that the BPR at 85c will not satisfied the viability issues for most LPOs. Once you change 85c to the requested $1 the results for most LPOs improves greatly.

LPOG Gathering in Qld

LPOG Board with Bossie and Senator Nick Xenophon

The QLD Committee hosted  a Suppliers Day, the 2015 LPOG AGM followed by our Gala Dinner over the October long weekend. LPOG members and guest Licensees were treated to glorious Qld weather, finished off nicely with a fireworks display at the conclusion of the After Party River Cruise. 

LPOG members were delighted to welcome the Former Senator Ron Boswell and Senator Nick Xenophon who joined us for the evening festivities. Since retiring after 31 years as a Senator, Bossie has been raising the issues of small business needs in the bush. He has a very deep understanding of how important the LPOs, the IGAs and the Chemists are to rural communities, and he is as committed to assisting our cause as he was 2 years ago when he was first introduced to our mess.

Senator Nick Xenophon as always is an inspirational speaker who gets to the pointy end of issues very quickly. His words on the reality of our "David and Goliath" battle resonated throughout the room, and he satisfied a lot of our doubts and questions with his support of the pathway we have taken. So much so that when he graciously took questions from the floor, he only got one taker. He had already covered the rest. 

It was quite emotional when the very appreciative Licensee body rose to their feet to give both these gentlemen a resounding, well deserved standing ovation.

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