Hundreds of head office roles at Australia Post will be cut by the end of the financial year as the postal carrier looks to streamline its operations in the face of rising financial pressures.
While the group has not confirmed the exact number of roles that will be axed, it’s understood around 400 roles will be affected by a review to streamline corporate support office operations.
The move comes as the group warns that ballooning losses in its letters business is leading to significant financial headwinds that threaten its long-term sustainability. Australia Post is heading for a full-year loss this year for the first time since 2015, and the federal government is currently consulting on a range of measures to support the carrier, including lifting the cost of stamps and reducing the frequency of letter deliveries.
“With ongoing letters losses, and parcels growth moderating, a new operating model for Australia Post’s corporate support office is being introduced to simplify our business and operating support structures. This will, in part, help Australia Post respond to the financial pressures it is facing,” an Australia Post spokesperson said on Wednesday morning.
Australia Post stressed that no frontline jobs were affected by the review process, but said that changes to support staff were necessary in the current environment.
“As an entirely self-funded business that receives no taxpayer funding, Australia Post needs to adapt the structure of its support office team to be more efficient and face into these challenges. No frontline roles are affected,” the spokesperson said.
“These changes are aligned with our Post26 strategy and designed to allow Australia Post to continue its critical role for Australian communities into the future.”
Australia Post chief executive Paul Graham told this masthead last month that he believed the group’s footprint would be larger in five years’ time as the group explores expanding different models including self-serve kiosks and parcel lockers across the country.