Mail and Parcel Contracts get the lion's share these days
In 1993 mail and parcel contracts were poorly paid jobs compared to LPOs. 20 years on and the reverse now applies. Australia Post needs the mail and the parcels to be delivered so they are compelled to pay a current fair and reasonable price, which includes all the fixed cost that a contractor is required to pay, otherwise Australia Post won't get the mail delivered!
Mail contract payments have increased by more than 100% over the last 20 years because they need to reflect all the increasing cost the contractors face.
LPOs payments for mail services we provide have increased by just 33.34% during the same 20 years. And the increase in the amount of work we are expected to do to earn that payment has exploded. The payment for 'geographical sorting' has all but been eliminated, but the 'geographical sorting' has been redesigned and renamed as 'streaming' and Australia Post demands that LPOs do this for free, and some LPOs are told to stream up to 14 ways!
We used to get several breaks in our P O box mail which made sorting much quicker. Then we were advised that the machines were going to sort the mail and the corporate mail would be deep sorted so the LPO mail would have to miss out on any pre sorting.
We used to have to scan out, then in, then awaiting collection was added! Now we also need to capture the name and ID, and there is buckets of barcodes that cannot be scanned so they require manual entry. Now poor sods who have street carded articles also have to scan ordinary parcels in and out, all for 29.3c if you are lucky.
No wonder Australia Post can post such impressive profits. We spend a great deal of our day working for less than the dole. Unfortunately we bought the businesses so walking away is not an attractive option for Licensees as it is for prospective contractors who can see that the sums don't add up.
Why has this been allowed to happen and what are we doing about fixing it?
Licensees need to have a good look at what we are doing for Australia Post, and what we are being paid, and wake up!
Doing nothing is really not an option if we wish to remain profitable and want to retain our goodwill.