Australia Post set to cut costs with shocking change

Are you one of the many who still rely on postal deliveries for paying bills, receiving parcels and staying in touch with loved ones?

Well, you may soon see fewer trips to your letterbox each day as Australia Post looks to phase out daily mail deliveries nationwide.

This decision is part of a broader plan to cut costs and maintain the financial viability of the government-run postal service.


The new delivery model, which has already been trialled in six locations, prioritises parcel delivery over letters.

Posties will continue to distribute packages five days a week, but letter deliveries will be spaced out, occurring every second or third day.


DALL·E 2023-12-05 08.30.15 - A close-up image of a hand placing a letter into a mailbox. The m...png
Australia Post is set to phase out its daily letter delivery service. Credit: Seniors Discount Club


The shift in focus from letters to parcels reflects the changing needs of Australians. With the rise of digital communication, the average household now receives just 2.2 addressed letters a week, a significant drop from the 8.5 letters received in 2008.

On the other hand, the demand for parcel delivery services has surged, driven by the boom in online shopping.


The government is expected to approve the changes to the service as early as this week.

Communications Minister Michelle Rowland emphasised the need for a high-quality and sustainable letters and parcels service.

‘While traditional postal services usage declines, Australians are increasingly relying on Australia Post's nationwide parcel delivery services, which operate in a highly competitive market,’ she stated.

She also highlighted the crucial role of local post offices, particularly in rural and regional Australia, where they often serve as general stores and banking service providers.

The decision to phase out daily letter delivery comes after a discussion paper on Australia Post warned that 'existing community service obligations are no longer financially sustainable'.


One of the top recommendations made by Chief Executive Paul Graham to save money was changing letter deliveries from daily to every second or third day. Graham also proposed closing some full-service city post offices.

Without these changes, Graham warned, Australia Post could soon require a multibillion-dollar bailout.

This comes after the postal service reported a first-half loss of $189 million, with Australia Post set to report its first annual loss since 2015.

Key Takeaways
  • Australia Post is phasing out daily letter deliveries and planning to expand this new model nationwide.
  • The move is designed to prioritise parcel delivery and increase the organisation's financial sustainability.
  • Letter deliveries have significantly decreased in Australia, from an average of 8.5 addressed letters a week per household in 2008 to just 2.2 recently.
  • The proposed changes are expected to be approved by the government this week.

What are your thoughts on these changes, members? How will they impact you or your community? Share your thoughts in the comments below.
 
Sponsored
It's something that needed to happen. I asked my postman if they would lose their job , he said no as they will be delivering either parcels on the other days or sorting parcels.

When you look at the large decrease in mail due to emails including receiving bills and statements this way. It's better they decrease delivery days rather than stop altogether.

I rather receive my bills and mail ect through email as it's quicker and safer , no lost or misplaced mail.

Mail that I need the hard copy I just print out. Less paper , better for the environment
 
Less service more cost,too bad if you are waiting on important information as veggiepatch has said , th vey have only recently put The cost up for parcels ,time to cut the salaries for the top of the department and give the service we pay for .
 
I must be a strange critter. I bought a steam iron last week from this bizarre structure with glass windows, doors and brownish rectangular prisms stacked upon each other. I believe they called it a shop in the old days. A place where you exchange pieces of rectangular plastic film and metal discs for the items you desire or need.

But there was a catch. You put the plastic film and circular discs into a machine after you wave your items in front of this funny screen. If you are lucky, all is OK. But....many times, this machine misbehaves. Spitting out the pieces of plastic film or a recorded message saying you have done some unspeakable crime. If you are a fortunate one, a drone, masquerading as a human, rectifies the problem sometime later in the day.

You could always shop online and receive your goods in a mangled condition, that is, if you receive it at all!

Haha....the joys of shopping!
 
Last edited:
As I look at this cost saving for the PO I note also the cost saving for businesses who no longer have to have a printer & paper to print your correspondence, a person to place it in the envelope & take it to the PO & pay the postage for it to be sent to the customer who then needs to have a printer (which has ink in it) & paper to print out a copy of said correspondence so the cost is passed to the customer while the business has made a huge saving which doesn't get passed on to the customer. And so the circle goes on withe the customer bearing the cost while AP & businesses make the saving.
 
Are you one of the many who still rely on postal deliveries for paying bills, receiving parcels and staying in touch with loved ones?

Well, you may soon see fewer trips to your letterbox each day as Australia Post looks to phase out daily mail deliveries nationwide.

This decision is part of a broader plan to cut costs and maintain the financial viability of the government-run postal service.


The new delivery model, which has already been trialled in six locations, prioritises parcel delivery over letters.

Posties will continue to distribute packages five days a week, but letter deliveries will be spaced out, occurring every second or third day.


View attachment 36621
Australia Post is set to phase out its daily letter delivery service. Credit: Seniors Discount Club


The shift in focus from letters to parcels reflects the changing needs of Australians. With the rise of digital communication, the average household now receives just 2.2 addressed letters a week, a significant drop from the 8.5 letters received in 2008.

On the other hand, the demand for parcel delivery services has surged, driven by the boom in online shopping.


The government is expected to approve the changes to the service as early as this week.

Communications Minister Michelle Rowland emphasised the need for a high-quality and sustainable letters and parcels service.

‘While traditional postal services usage declines, Australians are increasingly relying on Australia Post's nationwide parcel delivery services, which operate in a highly competitive market,’ she stated.

She also highlighted the crucial role of local post offices, particularly in rural and regional Australia, where they often serve as general stores and banking service providers.

The decision to phase out daily letter delivery comes after a discussion paper on Australia Post warned that 'existing community service obligations are no longer financially sustainable'.


One of the top recommendations made by Chief Executive Paul Graham to save money was changing letter deliveries from daily to every second or third day. Graham also proposed closing some full-service city post offices.

Without these changes, Graham warned, Australia Post could soon require a multibillion-dollar bailout.

This comes after the postal service reported a first-half loss of $189 million, with Australia Post set to report its first annual loss since 2015.

Key Takeaways

  • Australia Post is phasing out daily letter deliveries and planning to expand this new model nationwide.
  • The move is designed to prioritise parcel delivery and increase the organisation's financial sustainability.
  • Letter deliveries have significantly decreased in Australia, from an average of 8.5 addressed letters a week per household in 2008 to just 2.2 recently.
  • The proposed changes are expected to be approved by the government this week.

What are your thoughts on these changes, members? How will they impact you or your community? Share your thoughts in the comments below.
Cut backs to govt owned australia post guess due having to fund the billions of dollars they are paying up front tthe yanks for 8 atomic waeapons of war
 
I remember in the early 1950’s I had a holiday job leading up to Christmas as a relief postman, riding pushbikes in those days and blowing whistles to inform people the postie had been.

In those days we had two week day deliveries of mail to our houses, one morning and one afternoon, and another on Saturday mornings. A far cry from the proposal to have deliveries only every second day!
 
I remember in the early 1950’s I had a holiday job leading up to Christmas as a relief postman, riding pushbikes in those days and blowing whistles to inform people the postie had been.

In those days we had two week day deliveries of mail to our houses, one morning and one afternoon, and another on Saturday mornings. A far cry from the proposal to have deliveries only every second day!
The good ol' days when the posties used to blow their whistles ... until the fun police stepped in.
 
  • Like
Reactions: MariaG and Nichola
I must be a strange critter. I bought a steam iron last week from this bizarre structure with glass windows, doors and brownish rectangular prisms stacked upon each other. I believe they called it a shop in the old days. A place where you exchange pieces of rectangular plastic film and metal discs for the items you desire or need.

But there was a catch. You put the plastic film and rectangular disc into a machine after you wave your items in front of this funny screen. If you are lucky, all is OK. But....many times, this machine misbehaves. Spitting out the pieces of plastic film or a recorded message saying you have done some unspeakable crime. If you are a fortunate one, a drone, masquerading as a human, rectifies the problem sometime later in the day.

You could always shop online and receive your goods in a mangled condition, that is, if you receive it at all!

Haha....the joys of shopping!
Could you imagine David Attenborough narrating this scenario? What a hoot!

Sit back and read it in his voice. Quite disturbing in a good way!
 
  • Haha
Reactions: Nichola and magpie1
If they are only delivering mail 1-2 times a week, then they might need bigger saddle bags on their bikes.
 
I remember in the early 1950’s I had a holiday job leading up to Christmas as a relief postman, riding pushbikes in those days and blowing whistles to inform people the postie had been.

In those days we had two week day deliveries of mail to our houses, one morning and one afternoon, and another on Saturday mornings. A far cry from the proposal to have deliveries only every second day!
Right on!
 

Join the conversation

News, deals, games, and bargains for Aussies over 60. From everyday expenses like groceries and eating out, to electronics, fashion and travel, the club is all about helping you make your money go further.

Seniors Discount Club

The SDC searches for the best deals, discounts, and bargains for Aussies over 60. From everyday expenses like groceries and eating out, to electronics, fashion and travel, the club is all about helping you make your money go further.
  1. New members
  2. Jokes & fun
  3. Photography
  4. Nostalgia / Yesterday's Australia
  5. Food and Lifestyle
  6. Money Saving Hacks
  7. Offtopic / Everything else

Latest Articles

  • We believe that retirement should be a time to relax and enjoy life, not worry about money. That's why we're here to help our members make the most of their retirement years. If you're over 60 and looking for ways to save money, connect with others, and have a laugh, we’d love to have you aboard.
  • Advertise with us

User Menu

Enjoyed Reading our Story?

  • Share this forum to your loved ones.
Change Weather Postcode×
Change Petrol Postcode×