Japan Post Co. is considering trying to negotiate a hike in the parcel delivery fees it charges large clients due to a surge in online shopping packages and manpower shortages, industry sources said Wednesday. Earlier this week it was also reported that Yamato Holdings Co., the biggest parcel delivery company in the country, was asking major online retailers such as Amazon.com Inc. to pay higher shipping fees. Yamato's fee hike could prompt its clients to seek better rates from other delivery companies for some or all of their business, creating opportunities for other delivery service providers. Yamato has a 47 percent share of the nation's parcel delivery market while Japan Post has a 14 percent share.
Yamato Transport Co.'s management and labor have agreed to carry out reforms for the parcel delivery time slots to improve work conditions for its drivers, sources said Thursday. The leading door-to-door parcel delivery firm will scrap the slot between noon and 2 p.m. in June to make it easier for its drivers to take lunch breaks, according to the agreement during the shunto wage negotiations. The unit of Yamato Holdings Co. will also replace the popular slot between 8 p.m. and 9 p.m. with a new slot between 7 p.m. and 9 p.m. in hopes of easing the concentration of delivery orders. The daily deadline for accepting redeliveries will be moved to 7 p.m. from the current 8 p.m. The management and labor sides also agreed to introduce in October a rule to secure an interval of at least 10 hours between the end of work one day and the start of work the following day.
In a move prompted by a serious staff shortage and a boom in online shopping, Yamato Holdings Co. has announced it will raise its basic shipping fee for door-to-door parcel deliveries by ¥140 to ¥180, depending on size. The rate hikes -- Yamato's first in 27 years -- are expected to take place by September. Yamato President Masaki Yamauchi told a news conference that the extra revenue will be used to improve working conditions at the nation's leading delivery firm. Yamato is responding to pressure from revelations last year that many of its delivery drivers were forced to work overtime without pay, prompting it to retroactively pay ¥19 billion in unpaid wages to drivers and other workers by July. The company's problems reflect Japan's demographic woes, including a chronic manpower shortage caused by a birth rate that's been low for decades, and by a rapidly graying population.
Yamato Holdings Co. plans to retroactively cough up unpaid overtime in an effort to address tough working conditions faced by delivery drivers and other staff amid a manpower shortage, company sources said Saturday. The holding company of Yamato Transport Co., a door-to-door parcel delivery firm, will make the payments after determining the amount of wages owed from a survey of some 70,000 employees, according to the sources. Delivery drivers are being forced to work overtime without pay to handle the surge in online shopping, which has seen parcel deliveries soar. Last August, a sales branch in Kanagawa Prefecture was admonished for breaking the labor standards law after not paying two drivers for overtime. The holding company was driven to make the move in part by the admonition to conduct a company-wide survey, the sources said.
Yamato Transport Co., Japan's leading door-to-door parcel delivery service provider, is making final arrangements to raise its base shipping fees by up to 20 percent in September, sources familiar with the matter said Tuesday. The rate hike would be the first in 27 years, except for increases made in line with consumption tax hikes, and will affect both individual customers and corporate clients. The move coincides with Yamato's efforts to curtail some of its services, such as by shortening the hours during which same-day delivery can be rearranged, amid a serious shortage of truck drivers and long hours worked by employees due to a surge in online shopping. Yamato will use proceeds from the rate hike to improve its workers' conditions and services for its clients. With rival parcel delivery providers similarly facing labor shortages, they may follow Yamato's lead once the company goes ahead with the rate hike.