The end of a way of life

Hundreds of posties to lose jobs, deliveries cut

New Zealand Post says hundreds of posties will lose their jobs when the urban delivery of standard letters is cut from six days a week

Radio NZ,

23 October,

Communications and Information Technology Minister Amy Adams announced on Wednesday that the state-owned enterprise would provide a minimum of three days of mail delivery to urban areas from July 2015.

Some rural delivery services have been six days a week, but all will be five days a week from 2015.

The Government agreed to changes to New Zealand Post's Deed of Understanding to address falling mail volumes.

New Zealand Post says up to 1000 posties could lose their jobs - about half of its postie workforce. Chief executive Brian Roche says it is unfortunate, but inevitable, that jobs would be lost.

"We announced a few months ago jobs going in our processing plant. So this is a very difficult time for the company, but the reality is we have to address it. How we address it and over what timeframe is what we'll now work through with our staff."

Mr Roche told Radio New Zealand's Checkpoint programme the company wants to maintain a six-day-a-week service for urban customers who want it, but they will obviously have to pay for that.

Amy Adams said she had not discussed redundancies with New Zealand Post.

"I'm not going to get into that now, because it's for them to talk about that with their employees and through the unions first. Of course, the final scale of those changes is very much dependent on the negotiations they will have over the next few years as they set up these arrangements."

Ms Adams earlier expressed surprise that New Zealand Post would be saying hundreds of jobs could go and said that it had indicated that even without the changes, there would have been job cuts.

The minister said 88% of submissions on the issue were about rural deliveries.

"That clearly was the issue that had people most concerned. Through that process, yes, I met with a number of groups including the rural contractors, Federated Farmers and others. They do have different situation in rural areas, as I say, in terms of alternatives for communication and services they receive from their mail."

Ms Adams said rural delivery contractors - who also deliver newspapers and grocery items - also need a minimum number of delivery days to remain viable.