Australia Post strikes continue as investment banker named new chief executive

Australia Post employees in New South Wales will go back on the job today, but strikes are still expected for at least half a day in Victoria, South Australia and Tasmania.

The ongoing dispute comes as Australia Post announced former National Australia Bank chief executive Ahmed Fahour will take on the managing director and chief executive roles.

New South Wales postal workers announced yesterday they have agreed to go back to work as a sign of good will. However, Australian Chamber of Commerce and Industry chief executive Peter Anderson says strikes in other states will continue to impact businesses which depend on sending mail and merchandise.

“The wheels of industry continue through the Christmas and New Year period, and while many have closed down in manufacturing and construction industries, a large portion of our services economy operates and expects government services to operate at least at a minimum level.”

“What we see from Australia Post employees is a willingness to deliver minimum services at an important time for the community. The fact some union officials are saying they will return to work because it’s the right thing to do, but that others are not returning to work, suggests the union itself admits some of its action is not in the public’s interest.”

Communications, Electrical and Plumbing union state secretary Jim Metcher said to a protest crowd that employees agreed to return to work today.

“As an act of Christmas goodwill to the community, postal workers shall return to work in NSW and the ACT at their next ordinary shift to put the effort in by having postal services returned to normal before Christmas,” he said.

While workers in Western Australia and Queensland have also returned to work, strikes continue in Victoria, South Australia and now Tasmania, with meetings to occur in each state.

Australia Post has said it will use casual employees to fill the gaps in its workforce, as the thousands of workers strike in the hope of landing new workplace arrangements.

But Kevin Rudd has called on Australia Post workers to act fairly, and work hard on delivering mail and packages during the Christmas period.

”I think all Australian families have a legitimate expectation that they can get their Chrissy cards on time, frankly,” he said in an interview. “If you’re like me you usually post them late and you hope that they get through on time. Mind you, most people don’t post them as late as I do.”

“Therefore, I really do think it is time for calm heads to prevail both on the part of Australia Post on the one hand and the unions on the other.”

It is expected the industrial action could even continue into next year. While former managing director Graeme John refused to give in to the union’s demands, secretary Ed Husic said he hoped new chief executive Ahmed Fahour would take an open-minded approach.

”Whoever comes in will inherit the situation where the management offer on the table just will not be accepted,” he told The Brisbane Times.

Fahour formerly worked as senior vice-president of corporate development at Citigroup in New York, and was named chief executive of Citigroup Australia in 2004. He took on his role as chief executive of NAB in September 2004.

Fahour was also the interim chief executive of the Australian Business Investment Partnership, also known as “Ruddbank”, but did not take the position as the government agency failed to gain senate approval. Most recently Fahour has served as chief executive of Gulf Finance House in Bahrain.

Australia Post chairman David Mortimer said in a statement Fahour was able to bring a great deal of experience to his role, and told The Age he may even pursue the ongoing battle of raising standard postage stamp prices to 60c.

“The board of Australia Post is delighted to have appointed someone of Ahmed Fahour’s calibre. He is an experienced chief executive in both Australia and overseas, who has a proven track record of growing a company’s profitability.”