Pay hike blamed for Pakistan Post deficit
Pay hike blamed for Pakistan Post deficit
“Salaries and payments constitute 79% of the Post expenditure while it is left with only 18% for operational expenses,” he said. He also blamed the deficit on technology by saying that the private sector was embracing new technology which was causing a reduction in revenues. PHOTO: FILE
ISLAMABAD:
Pakistan Post is facing a deficit of Rs6 billion mainly due to increase in salaries of its employees. The once revenue generating department of the country also faces a shortfall due to its inability to compete in the market.
This was revealed by Director General Pakistan Post Fakir Shaharyaruddin during a briefing to the Senate Standing Committee on Communications on Thursday.
“Pakistan Post has been passing through the most critical conditions for the last six to seven years and it is feared that the deficit may become manifold if current situation continues, making the survival of the Pakistan Post difficult,” said Shaharyaruddin.
He informed the committee that the financial position of the department started declining in the year 2009-10. He blamed the rise in salaries of the employees for the decline of the department.
“Salaries and payments constitute 79% of the Post expenditure while it is left with only 18% for operational expenses,” he said. He also blamed the deficit on technology by saying that the private sector was embracing new technology which was causing a reduction in revenues.
Published in The Express Tribune, July 15th, 2016.
Pakistan Post is facing a deficit of Rs6 billion mainly due to increase in salaries of its employees. The once revenue generating department of the country also faces a shortfall due to its inability to compete in the market.
This was revealed by Director General Pakistan Post Fakir Shaharyaruddin during a briefing to the Senate Standing Committee on Communications on Thursday.
“Pakistan Post has been passing through the most critical conditions for the last six to seven years and it is feared that the deficit may become manifold if current situation continues, making the survival of the Pakistan Post difficult,” said Shaharyaruddin.
He informed the committee that the financial position of the department started declining in the year 2009-10. He blamed the rise in salaries of the employees for the decline of the department.
“Salaries and payments constitute 79% of the Post expenditure while it is left with only 18% for operational expenses,” he said. He also blamed the deficit on technology by saying that the private sector was embracing new technology which was causing a reduction in revenues.
Published in The Express Tribune, July 15th, 2016.