Some information behind targets you will see soon

We have made it to February, well done all. As we try and cut costs to keep the business going I want to share with you the numbers that make the business go in a way some of you might understand.

I am paid per-parcel by Australia Post, for the employees, this means we need to deliver a certain amount of parcels per-hour to be profitable. The magic number that means we are doing well is 18.42 parcels an hour. This is calculated simply by your total parcels divided by you total hours for the day. Australia post runs on the speed of 25 parcels per-hour delivered, and 70 parcels per-hour is for time in the shed to get ready to go.

To make it a bit clearer it works like this;

• 70 parcels an hour while in the shed

• 25 parcels an hour out of the shed

• 18.42 parcels an hour over the day

This is how my wages are worked out in my contract.

Currently, most employee's are under this and a lot of factors play into this but what we have now is a base line to work with. You will hopefully get individual sets of data early next week, but for now here is the break down by contract for last week;

• Gympie - 17.51 parcels an hour (this is 9.08 extra hours)

• Mooloolah - 15.67 parcels an hour (This is 16.54 extra hours)

• Maroochydore - 12.77 parcels an hour (This is 65.38 extra hours)

This works out to 91 hours over budget or over $3000 over in wages for the week. This ignores overtime, so the real figure is possibly higher.

We made changes for this week already and I wont see the full data on how much that helped till next week unfortunately.

Most staff are delivering at over 25 parcels an hour so that only really leaves to places where we are losing the hours. Firstly in the sort time in the sheds, secondly, down time not delivering.

Hopefully this gives people a bit of an idea what I mean when I am asking you to cut back hours. Mostly it is improving the sorting and loading process in the shed and secondly it is the downtime we see while people wait for things.

Not everyone can hit 18.42 parcels an hour but some people can definitely to higher then that to make up for those who have slower runs. All I am asking is that when you get your data or if you want to calculate it yourself you just try and improve your current number each week is a safe manner.