Formal Governmental Inquiry in to New Zealand's Broken National Courier & Freight Industry

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Barry Milburn
Barry Milburn signed this petition

With New Zealand businesses increasingly turning to purchasing stock and inventory and shopping online and consumers also increasingly shopping online for  products and goods to purchase. New Zealand's National Courier & Freight Industry seems ill-prepared and  incapable of handling current and  the future increase in parcel volumes this method of retail brings.

It seems New Zealand's Courier and Freight Distribution Systems are severely broken, to which was highlighted during the COVID-19 pandemic. I believe the only way to fix these issues is government intervention is required to fix this broken industry.

I want to see courier / freight & logistics companies legislatively made more accountable for the security and delivery of the goods under their custodianship. I want to see a system based on payment for delivery and not payment for pick-up; as there is no incentive to deliver. I want to see a nationalised body  setup who are responsible for managing and policing the couriers and the freight & logistics companies both large and small. Regulated certification to operate in New Zealand as a courier or as freight & logistics operation. I want see harsh penalties for couriers & freight / logistics companies that breach these regulations.

This inquiry and regulation is required to future proof and protect all aspects of the industry from businesses through to end user consumers, on-line retailers, couriers through to major freight, logistics and shipping companies in New Zealand. The industry is clearly broken and has been so for many years.

COVID-19 has bought to forefront and has highlighted just how broken our national courier, freight and logistics systems really are. The industry was ill-prepared and unable to cope with increased demand of freight and parcel movements as result of increased on-line shopping due to COVID-19. 

The issues:...

Businesses/Consumers:

* Parcels being lost or going missing.
* Parcels being stolen in the delivery chain or after being delivered.
* Parcels being delivered to incorrect addresses.
* Parcels being damaged.
* Parcels being dumped or disposed off.
* Frustration in systems available to deal with the above issues.
* Poor tracking and information systems
* Poor customer service or inability to reach a customer services person to deal with    problems by telephone, email or social media methods.
* Stress and Anxiety chasing undelivered purchased items.
* Loss of cashflow and cash waiting for refunds or problem resolution
*  Loss productivity whilst on phone or writing emails to seek resolution
* Inability to sell, manufacture or produce due to the non-delivery of raw materials, stock, inventory and purchased items.
* Inability to complete work for revenue to un-delivered items

Courier Operators:

* Excessive work hours sometimes 14+ hour days
* Pressure to deliver
* System that pays couriers for pick-ups and not deliveries
* Low pay rates and benefits
* High claw back fees from parent franchise
* Customer Abuse
* Stress
* Dishonest drivers Have dumped deliveries to meet performance targets
* Dishonest Drivers have stolen parcels to keep for themselves or to on sell.
* Poor support from the parent freight/logistics companies.
* Poor & Rough Handling of Goods, Sometimes with behaviour to willfully damage and break goods.
* Some Operators have dishonest backgrounds & criminal histories both here New Zealand and whilst in/from other countries,

On-line Retailers

* Massive increase in calls and emails to customer services to resolve items that fail to be delivered.
* Lost productivity dealing with non-delivery of on-line orders
* Lost Good Will and Credibility when the same issues of non of-delivery 
* Lost revenue due to replacing parcel lost, stolen or not delivered for any number of reasons.

Large Freight & Logistics Companies

When things go wrong, a NOT OUR PROBLEM attitude.
* Generally not held liable in the delivery process unless goods were insured.
* Rely Online-Retailers is generally held responsible if goods fail to arrive. Very little  legal requirement for Freight & Logistics companies to be held liable for loss.
* Poor Security & Background Checking Process resulting in large amount of employee theft and dishonesty.
*Poor business systems and process that cannot cope with peak period or unprecedented and inability to handle high parcel volumes.
*Poor / Understaffed customer services systems and processes.
* Disable Tracking and Scanning Systems in peak periods of high volume such as during COVID-19, to which leads to more parcel loss and theft. With no accurate tracking information
* Over work and under pay the front line staff and whilst collecting the big profits

The above point highlight only a small example of the problems this industry needs to overcome and resolve. And it would seem only government inquiry and  intervention is the only viable method for over hauling this broken industry.