Positioning Australia Post for the future

The Australian Government has announced a package of reforms to help modernise Australia Post.

As technology has advanced, how we use postal services as businesses and individuals has changed. Communications are increasingly digital and we're sending more parcels and fewer letters.

The Australian Government wants to ensure that Australia Post—a cherished national institution—continues to provide the services Australians want and need, now and into the future.

Following extensive consultation  with the Australian public, businesses, Post Office licensees and agents, unions and Australia Post workers, the Australian Government has announced a package of reforms.

These reforms are aimed at making sure Australia Post can support traditional letter delivery whilst investing in products and services for the future—such as more efficient parcel delivery and more places where customers can send and receive their letters and parcels outside business hours—and achieve increased productivity and long term financial sustainability.

To do this, the government will adjust the way Australia Post operates. This includes changing regulations so that:

  • ordinary letters will be delivered every second day (rather than every day)
  • Australia Post will have an extra day to deliver ordinary letters across Australia
  • Australia Post can change the way it manages priority mail so it can deliver services at a more commercial rate and work with customers to set appropriate terms and conditions

The government will also work with stakeholders to develop a mechanism which allows stamp prices to be set over multiple years. This will give Australia Post, consumers and business customers more certainty.

The changes to letter delivery will mean that while local posties will continue to be a visible presence in suburbs and towns across Australia every day, they will spend less of their day delivering letters and more of their time delivering parcels.

The reforms to letter delivery will boost the productivity of the Australia Post's workforce by freeing up its delivery and processing resources to support parcel delivery.

Changes to letter delivery are expected to be fully rolled out across Australia in 12 to 18 months.

Importantly, the reforms will not reduce the minimum number of local post offices that Australia Post must provide, including in regional, rural and remote Australia.

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