HOMELAND POST OFFICE

Greymouth Evening Star, 24 March 1928, Page 7

HOMELAND POST OFFICE

UNBUSINESSLIKE METHODS

(Australian & N.Z Cable Association.)

LONDON, March 22

The Business Committee in a special report on Post Office administration and telegraph service as a commercial enterprise, states that with the wider use of machine printing telegraphs, a saving of from 20 to 33 per cent on present costs could be made.

The Committee declares that the present service lacks the resiliency which a progressive business requires if it is going to meet competition. The telegraphs at present were showing a loss of £1,600,000 per year, which equals more than ■sevenpence for every telegram sent in 1926-27. Suggested reforms include the removal of the redundancy of staff, and the high cost of management and an increase in rates on press messages.

The report emphasised that the conditions of work in the Civil Service do not encouarge efficiency or effort.

LORD WOLMER’S STATEMENT.

Among leaders of business, politicians, and Post Office officials there has been some discussion of the suggestion made by Lord Wolmer, the Assistant-Postmaster-General, that the Post Office would be more efficient and economical if run by private enterprise (said “The Times” on January 19). Lord Wolmer said : “I see the working of the postal system as pure Socialism.” and added, “There is great difficulty in a State-run department in finding the right man to control a great business organisation.” Lord Wolmer has explained that the main purpose of his speech was to emphasise that administration was an entirely different problem from business. “I am making no criticism whatever of individuals,” he said, “but only of the system. A Government Department by .its very nature is not tbe best organisation to deal with business matters. ” Its purpose is administration. There is a lot of ability in the Post Office to-day which has not been found. I believe that private enterprise would run it better., and the Post Office under private enterprise would pay a greater dividend like the big city "firms. .Of course, it would ha°ve to taxes, but then it would be able to retain its surplus which( at present, it does not.” . Asked if he thought the penny post would be re-introduced under a privately managed Post Office, Lord Wolmer said: —“You would get the penny post to-day if the Post Office could keep its surplus. The Army and the Navy are very different matters. They have not got to make a profit. At present the Post Office makes a profit, and the telegraphs are run at a loss.”

By special airangen.ent Reuter’s world’s service, in addition to other special sources of information, is used in the compilation of overseas intelligence published in this issue, and all rights therein in Australia and New Zealand are reserved.