Industrialists Call for Revitalisation of Pakistan Post Office Amid Financial Crisis

Industrialists and business leaders have called for urgent reforms to revitalize the Pakistan Post Office, a once-prominent institution now struggling with severe financial and operational challenges. The Post Office, despite providing essential services such as communication, remittances, and postal deliveries, is on the brink of collapse due to prolonged neglect, mismanagement, and corruption.

Muhammad Farooq Shaikhani, President of the Hyderabad Chamber of Small Traders and Small Industry, emphasized the need for crucial reforms to save the institution. He proposed several measures including the digitalisation of services, public-private partnerships, and improved transparency and accountability to restore the Post Office to profitability.

The Pakistan Post Office currently operates approximately 13,000 post offices nationwide, a number deemed insufficient to meet the country’s needs. The department reported a deficit of Rs35 billion in the fiscal year 2023, highlighting its dire financial state. Alarmingly, between 83% and 87% of its revenue is consumed by staff salaries, compounding its financial troubles. Inefficiencies, delayed services, and corruption have eroded public trust, with many preferring private courier services instead.

In conversations with The Express Tribune, some department officers outlined the factors contributing to the Post Office’s decline. One officer noted, “We were providing hope with better services, but the blame game persists. Officers blame the employee unions and lower staff, while neglecting their own responsibilities. Ill-advised strategies by the PTI-led government also accelerated the collapse.”

Historically, the department was profitable, generating Rs1 billion to Rs2 billion until 2010. However, rising inflation and a substantial salary increase for government employees during this period led to a severe deficit. The increased salary bill burdened the department, contributing to its financial woes and leading the government to view it as a liability.

A senior officer described the situation as a “human resource decline,” attributing the department’s struggles to widespread inefficiency and lack of enthusiasm among public servants. “This organisation is a sick unit that calls for effective reforms to revive it,” the officer stated.

The call for revitalization reflects a broader concern for the future of the Pakistan Post Office, which holds significant potential if appropriately reformed and managed.

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