The Australia Post board has ruled not to award bonuses to its executives, following backlash from the public sector union and Labor.
Earlier this week it was revealed that AusPost chief executive Christine Holgate had taken a proposal to the board requesting executive bonuses be paid.
Since then, reports have emerged of staff being asked to volunteer their time and their cars to help deliver parcels, which have built up due to a surge in online shopping during COVID-19.
Board chair Lucio Di Bartolomeo on Wednesday revealed executives would not receive bonuses.
“Today the Australia Post board determined that no short-term incentive payment would be made to the executive team for financial year 2020,” he said.
“I have every confidence in the executive team and their commitment to excellent performance in the year ahead.”
Earlier that day, the Community and Public Sector demanded the agency provide its workforce with job security before handing out executives bonuses.
It argued that the agency has been “pushing out multiple redundancy rounds”, with more than 2600 AusPost employees concerned for their jobs.
The CPSU has also asked national auditor-general Grant Hehir to “search for irregular spending and statistical manipulations based on political intent” in AusPost’s 2019-20 financial expenditure, and called on the government to release all communication between the communications minister Paul Fletcher and Holgate, as well as the February 2020 report on Boston Consulting Group’s review of AusPost.
Shadow communications minister Michelle Rowland said the issue was “by no means over” despite the board’s decision.
“Scott Morrison should follow suit and dump his plan to cut the frequency of mail delivery, whether it is in our cities or our regions,” she said.
“He and his hapless minister, Paul Fletcher, have been caught out trying to use COVID-19 as a backdoor excuse to degrade postal services and attack jobs. Neither Labor nor the Australian public will have a bar of it.”
CPSU deputy national president Brooke Muscat said AusPost executives were “out-of-touch” for seeking big bonuses.
“Australia Post workers have been working harder than ever to meet the huge surge in parcels during the pandemic, all while worried about their jobs. The CPSU is calling on Australia Post management to secure its workforce before lining its pockets,” she said.
“For Australia Post to exploit the pandemic in this way is shocking and does not meet community expectations. That is why the CPSU is calling on the auditor-general to examine Australia Post financials, and for the government to release the secret review of Australia Post.”