POSTAL INCREASES

Dominion, Volume 24, Issue 290, 3 September 1931, Page 8

POSTAL INCREASES

Carriage of Parcels According to the annual report of the' Post and Telegraph Department, presented to Parliament, the increases in the parcel-post rates were necessitated partly by the increased charges levied by the Railway Department, on the recommendation of tbe Railways Commission, for the carriage of mails by rail. At the same time it was decided to revert to the old maximum weight of 111 b. for parcels. Apart from the fact that the Railway Department provided adequate facilities for the carriage of parcels over 111 b. in weight, the Post Office could not afford to continue to accept such parcels at rates that would enable the business to be retained.

“Coincidentally with the postage increases,” the report proceeds, “it was decided also to effect an increase in telegraph rates. For some years past there has been a large and increasing loss on the working of the telegraph branch, due to the fact that the rate’s were not nearly commensurate with the cost of operation. Rigid economy has been practised and labour-saving apparatus introduced; and, despite this, it has been found impossible to reduce the losses to any appreciable extent. For the year ended on March 31, 1930, the loss was approximately £134,000. With such a deficit the continuance of the old rates could not be justified in the conditions obtaining.”