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News
By Carl Gilchrist Observer staff reporter  
May 18, 2003

Postal Corp board fully behind O’Meally-Nelson against lawsuit, unions

OCHO RIOS, St Ann — The new 14-member board of the Postal Corporation of Jamaica has immediately thrown its full support behind embattled postmaster-general (PMG), Blossom O’Meally-Nelson, in the lawsuit brought against her by Moore’s Transport Services.

Meeting for the first time last week, the board which was recently appointed by Commerce, Science and Technology Minister Phillip Paulwell, also made it clear it was backing O’Meally Nelson in existing tensions between trade unions and the PMG.

“The board expressed full support for the PMG, noting that in relation to both issues, she has simply sought to carry out her duties under the law and the mandate given by the Post Office and has acted with professionalism and integrity, while respecting the role of the unions and the rights of the employees,” said board chairman Lance Hylton in a press release from the Corporation.

Moore’s Transport Services has taken the postmaster-general to court for money allegedly owed to them and for their exclusion from the Postal Corporation tender process, claiming there was malice on the part of the PMG. At the same time, unions representing postal workers hit out recently at cost-cutting efforts by the PMG that included the abandonment of the graveyard shift at the Central Sorting Office. Under the new arrangement, employees will now work 12 midnight to 8:00 am instead of from 3:00 to 11:00 pm and will be given taxi fare.

But in arriving at its decision to throw its weight fully behind the post office boss, the board cited what they claim were the facts of the case and argued that based on those facts, O’Meally-Nelson warranted its full backing.

Showing why it had to back the postmaster-general, the board noted that mail and staff transportation costs to the Post Office were now in excess of $112 million per year, representing one of the most inefficient areas of expenditure of the operations.

Actual contracts with the existing mail contractors had expired in 1996 and the post office had since then been attempting to comply with the regulations of the National Contracts Commission for a competitive process of bidding. The auditor-general had also consistently called for the Post Office to regularise its affairs in this area.

Most of the existing mail contractors, the board said, were represented by Moore’s Air Express Services Limited/Jamaica Mail Express Cooperative/Moore’s Transport Services Limited (the “Moore Group”), which had successfully opposed attempts by the Post Office since 1996 to conduct a competitive tender process.

“The result has been that the existing contracts continue to be extended, at constantly increasing costs, as no new contractor can be retained without a completed tender process,” the board said.

“The board takes seriously its mandate from the Government of Jamaica and its responsibility to the other tenders and the people of Jamaica and will do what is necessary to achieve the best value for taxpayers’ money.”

The release noted that the board was giving careful consideration to a report from the British Postal Consultancy Service, which had recommended alternative and more cost-effective mail transportation strategies including the Post Office owning its own fleet of vehicles and employing its own drivers.

The board said after considering all the facts,it regarded the actions of the postmaster-general as being “fully justified and consistent with her obligations”. It rejected allegations of bias or personal vendetta levelled against her, arguing that the ongoing conflict between the Moore Group and the Post Office pre-dated her employment in 2000 and had existed since the original mail transportation contracts came to an end in 1996.

Regarding the reports of conflict with the trade unions, the board said both the Post Office and the staff had agreed that there was not enough work to justify a late shift ending at 11:00 pm and that it was safer and more cost-effective to have the workers leave after a 12 noon to 8:00 pm shift. It was also agreed to give the employees taxi-fare to go home and to dispense with the services of the Moore group which previously provided transportation home. The unions had been objecting to the new arrangements on grounds that they had not been consulted before implementation. The board insisted that the consultations were carried out with the chief union delegate and had the support of the staff.

“There is no unrest at this time, but unrest is likely if the unions’ demands are implemented. The PMG has therefore written to the Jamaica Confederation of Trade Unions, seeking their assistance in resolving the dispute between the staff and the Unions,” the release said.

It added: “The board takes seriously its mandate from the Government of Jamaica to remove the burden on taxpayers now imposed by the Post Office’s current J$300 million per annum deficit. This simple change in the shift system has resulted in a savings of over $7.2 million per year. The board will continue to explore all available options to achieve the best value for the Jamaican taxpayers’ money, including mail and staff transportation services.” The board said it also respected the important role of the trade unions and wanted harmony between workers and management and the safety of the staff.

Earlier this month, board members toured the site of the $200 million Jamaica Post Commercial Complex being built at Hope Road and scheduled to open this summer. The complex will feature a state of the art post office (the new Liguanea post office) and over 21 other commercial and professional establishments.

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