News

The revised Japanese postal privatization law has led to the creation of a new postal company, called Japan Post Co., which mergers the post office and mail delivery divisions into a single entity.. The restructuring became effective Monday, 1 October. The merger means Japan Post Group has transformed into four—company system from five, with the three operational companies, the new Japan Post, Japan Post Bank and Japan Post Insurance, placed under Japan Post Holdings.

The separation of retail and mail delivery businesses was believed to improve business efficiency by making clear the cost structures of the old mail service. However, the corporate breakups exposed a lot of problems, especially customer services, and crisis management.



Japan Post Co. aims to resolve the problems of segmented operations between companies, to offer improved customer services and to eliminate a redundant administrative structure. The workers of the new company will be allowed to make deposits for customers into Japan Post Bank accounts, a service which was once normal but impossible under the most recent system. However, this service will be available in very limited post offices at initial stage. The new privatization law obligates Japan Post Co. to provide universal postal services and financial services across the nation. As for the two financial units, Post Bank and Post Insurance are unaffected by this merger.



UNI affiliate Japan Postal Group Union believe the launch of new company will help its efforts to improve postal services in general.