NZ Post increases hit charities

Monday, 29 July 2002

NZ Post increases hit charities

Charitable agencies are reeling from the impact of increases in bulk mailing charges being imposed by New Zealand Post from September 2002.

The Fundraising Institute of New Zealand (FINZ), whose members represent more than 300 of New Zealand’s largest charitable agencies, strongly opposes the increase.

FINZ President, Dianne Armstrong, estimates that mailing costs for direct mail appeals by its members’ organisations will increase by about 15%.

“And none of that increase will go to the charitable causes – it will all go to New Zealand Post. In total, the increase is well into hundreds of thousands of dollars, if not millions” she said.

“I’ve had talks with NZ Post officials and they have agreed to discuss the increases with charities on a case-by-case basis, but the indications are, from among those charities already spoken to by NZ Post, that any reduction negotiated is minimal,” said Mrs Armstrong.

“The charities we represent are all coping with increased costs in printing, promotion and now postage. The sad part is that the causes themselves finally receive less and less. And this is not good for the sector or society as a whole,” she said.

“It’s ironic that, at the same time NZ Post is putting up our charges, they are offering free postage to small community fundraising groups. We cannot see the sense or logic in this unless they are hoping to use this to deflect the anger of larger charities who are facing unreasonable increases in postage costs.”

“We had hoped for a little more understanding and charity from NZ Post to the fundraising sector because we have had good relationships with them in the past. But we still hope to persuade them to re-think their cost increases because our members’ organisations simply don’t have alternative. NZ Post has the monopoly in this area,” she added.

Ends.

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