Restructuring postal services is critical

The island-wide strike launched by the trade unions attached to the Department of Posts (DOP) a week ago – which was called off last Sunday – caused distress and discomfort to the general public. The trade union action was severely condemned across political party divides and again exposed the regressive attitude of the public sector trade unions whose modus operandi appears to be going into any lengths to win demands without showing concern towards service recipients who get affected by their acts of disruption.

The postal service – although not as important as it was in the bygone days – is relied upon by less-affluent communities in the society to obtain financial assistance schemes like payments for elders as well as Aswasuma. The strike had the support of 23 trade unions to win 19 demands. Among the grievances include opposition to the use of biometric fingerprint systems for recording staff attendance/departure and disagreements over payment of overtime allowances.

Claiming overtime allowances falsely is a common practice among minor-level employees of the public sector. In many public sector organisations, minor-level employees report to work on Saturdays to claim overtime but instead of doing any office-related work many of them just warm their seats. It is frequently alleged this dishonest act is quite rampant within the postal department and the claim is supported by evidence. As per the findings of the National Audit Office, in 2023, despite the fingerprint time punching machine showing that employees had left at 4:15 p.m., an overtime payment of approximately Rs. 58 million had been paid to certain workers by deceitfully claiming those workers ended their shifts during late evenings. No right-thinking person can approve the opposition of postal workers to the use of biometric fingerprint systems to mark attendance/departure.

The Government adopted a combative stance towards the strike, with Cabinet Ministers dismissing the demands of the unions as unjust and unfair. Interestingly, most of the public sector trade unions in the country, including postal service unions, supported the NPP at the national elections in 2024. During its days in the opposition, the NPP/JVP extended their fullest support towards this type of drastic trade union action. Ironically, today they are at the receiving end of such activities.

Beyond resolving the strike and restoring normalcy in postal services, policymakers need to restructure the institution, which was established by Dutch colonial rulers in 1798, to survive the challenges of the modern era, influenced by the rapidly changing technology and rising competition. Unlike in the good old days, the State postal service is not the only choice available for individuals and companies to distribute important printed documents both locally and internationally. The emergence of private courier companies that offer services to the doorstep have encouraged many to make use of courier firms due to superior customer service.

Moreover, the survival of postal services around the world has been threatened by the ever increasing shift towards digital communication. E-mail, social media together with the widespread usage of mobile phones have obliterated the validity of traditional postal services like mails and telegram services. Recently, it was reported that Denmark’s state-run postal service, was going to end all letter deliveries at the end of 2025, citing a 90% decline in letter volumes since the start of the century. In Sri Lanka too, according to the performance reports of the postal department, the number of letters received per person declined from 23 in 2007 to 15 in 2016; by about 35% in 10 years. 

The growth of e-commerce has increased the need for delivery of goods and globally, and many state postal services have embedded themselves into the e-commerce ecosystem. There is a huge necessity among exporters to transport small-scale shipments overseas, and it is an area authorities need to pay attention to. Such novel steps are necessary for the DOP to survive in the modern era without going into oblivion.