Swiss Post plans to restructure its logistics operations during the next two years with thefocus on small parcels which will result in job cuts affecting about 250 employees, including
drivers and warehouse staff.In addition to the traditional parcel business, Swiss Post’s logistics unit PostLogistics alsohandles small consignments and warehousing logistics. Since customers tend to work increasinglywith single logistics partners and ask for solutions ‘all from a single source’, it is importantfor the postal operator to continue offering these services as a complementary service to supportits core business.
However, this part of the logistics business is exposed to fierce competition and pricepressures on the international level becoming rather unprofitable, Swiss Post admitted. In 2011,PostLogistics recorded a decline in operating profit from CHF 164 million to CHF 151 million, dueto lower parcel volumes and increased personnel costs related to special factors. Its revenues fellto CHF 1,439 million from CHF 1,478 million.
In response, PostLogistics will focus in future on smaller and lighter consignments and willreduce operating costs for its small consignments and warehousing logistics activities by usingmore 3.5-ton delivery vans driven by external drivers.
As part of the restructuring, Swiss Post also aims to increase the productivity of itswarehousing logistics. “On the one hand, this can be achieved by aligning work conditions to thelevel that is typical for the industry, and on the other hand, by improving the connection to thetransport networks of Swiss Post, by bundling activities and by shortening transport routes. Insummer 2013, for example, we will move into a new location in Pfungen (Zurich), which will satisfythe modified requirements in an optimal way. Overnight logistics, small consignments transport andwarehousing activities can be handled there at a single site,” the company explained.
The implementation of all these measures will take place gradually and continue until 2014. Thedecrease in workforce with a total of 250 full-time jobs to be cut will be effected as far aspossible through natural attrition. As a socially responsible employer, Swiss Post said it will doeverything it can to avoid redundancies. In case this can’t be avoided though, it will implement aredundancy scheme previously negotiated with the trade unions. The employees concerned will beinformed personally about their professional future and supported in their job search, bothinternally and externally.
The first pilot location to introduce the new delivery concept will be Daillens, located in thesouth-west of Switzerland.
