Wed, 27 Jan, 2016 12:09:04 AM FTimes Report, Jan 27  The head office of Posti in Helsinki. Photo – Lehtikuva. The postal and logistic service Posti on Tuesday announced commencing statutory negotiations which according to preliminary estimates could lead to permanent reduction of 860 personnel.
Posti in a corporation release said it had to undertake the measures to adapt to its operations, sensing a reduction in delivery volumes resulting in a fall in net sales by 75 million euros.
Furthermore, the release said, the postal and communications industry is undergoing a very dramatic structural transformation as a result of digitalisation.
Communication will increasingly take place via the Internet, while the delivery volumes of printed mail are constantly falling, said Posti.
According to Posti, last year the number of delivered letters and other addressed shipments decreased by 102 million (-8%) from the previous year.
“Digitalisation has already reduced overall delivery volumes to the level of the 1960s.
“Therefore, we must adapt and reform our operations in order to ensure that Posti will still maintain its financial capability to build new business in order to compensate for mail delivery,” said Posti President and CEO Heikki Malinen.
“The transformation is historically dramatic; so, unfortunately, we also have to target savings in our personnel. I’m confident that in future we can also create jobs, especially in parcel and logistics service,” added Malinen.
According to the release, the personnel reduction would be carried out through voluntary arrangements, retirements, lay-offs and other actions. Some employment relationships will also be turned into part-time employments.
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