Type
Internal restructuring
Country
Czechia
Region
Location of affected unit(s)
NA
Sector
Transportation / Storage
Warehousing And Support Activities For Transportation, Postal And Courier Activities
Postal And Courier Activities
53 - Postal and courier activities

7,000 jobs
Number of planned job losses
Job loss
Announcement Date
26 June 2019
Employment effect (start)
1 January 2020
Foreseen end date
26 June 2025

Description

Czech state-owned postal company Česká pošta intends to dismiss 7,000 employees within six years. The company is going to be divided into three separate units in order to increase its profitability and its contribution to the state and continue operating in 3,200 branches. At the same time, it promises to improve its services. Staff reduction will take the form of voluntary leave, retirement, and no replacement of vacancies. The company wants to keep the current volume of wages in the amount of CZK 13 billion (€510.78 million). This would make it possible to increase the average wages of the remaining employees by a quarter. Despite staff reductions, the volume of work will be reduced, because a number of jobs will be automated.

Trade unions do not agree with the staff reduction, claiming that the situation will lead to a deterioration of the offered services. Trade unions also argue that the company was mismanaged.

Updated, 18-03-2022

As part of the 7,000-employee redundancy plan,  Česká pošta announced on 18th March 2022 over 500 job cuts. Dismissed workers are two-thirds of the 850 drivers who provide transport of consignments between sorting centers by trucks over 3.5 tonnes. Česká pošta has decided to outsource the transport to C.S. Cargo. Česká pošta employs about 27,000 people.  


Sources

Citation

Eurofound (2019), Česká pošta, Internal restructuring in Czechia, factsheet number 98077, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/98077.