Express carriers are after those postal• parcels
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THE RECESSION in trade has had a damaging effect on the tUrnover of most of the companies involved with smalls and parcels traffic. At this time of the year depots can normally be expecting to be operating at peak capacity, with parcels — to quote Mr Harold Russett, the chairman of the RHA's express carriers' group — "hanging from the roof top." This year, the parcels sector in both the independent and State companies has some surplus capacity in terms of premises and vehicles.
The situation is unlikely to improve in the early future for January is a traditionally quiet month. Already a number of the smaller parcels opera tors — one to 10 vehicles — have ceased to trade.
Parcels carriers in the road transport industry will be making a strong bid for traditionally Post Office traffic this Christmas, when the relatively small parcels involved can be fitted in with normal collection and delivery services.
The State sector of parcels has manifested some lively marketing campaigns in recent months, with heavy Press advertising and pressure in provincial areas designed to capture work previously done by own-account firms.
Rumours that BRS Parcels Ltd plans to change its name and livery early in the New Year led to a comment by Tory MP Mr Robert Adley (Christchurch and Lymington) last week. Mr Adley suggested that the whole exercise of vehicle repainting with the associated changes in documentation, redrafting and possible renegotiation of contracts, could cost up to £3m.
While •this estimated sum is regarded as a ludicrously high over-estimate by BRS Parcels there have been plans to rename the company. Some managers have felt that the name "BRS Parcels" suggested an association with, or even a subordinate status to, the BRS general haulage company.
The trade recession, taken in conjunction with the much stricter criteria for the financial viability of State industries, must again raise the spectre of a closer association between BRS Parcels and National Carriers.
The strong resistance to this by the trade unions in recent years may come to be seen as irrational.
Had firm action to rationalise the State parcels sector been taken some years ago, at a time of full employment, alternative jobs were available. Today, that is not so, particularly in some parts of the country.
JD.