Monitoring of CTT's quality of service (year 2003)

By determination of 14 April 2004, it was decided to apply to CTT – Correios de Portugal, S.A., after hearing the latter, the penalty foreseen in article 5 of the Universal Postal Quality of Service Convention for 2001-2003, which requires a deduction of 1% to the limit of the annual weighed average variation of the reserved postal services in force in 2004. Consequently, CTT was required to send to ANACOM, within 10 working days, the new price list proposal for reserved services.

The reason is because the values of the quality of service indicators (QSI) reached in 2003 showed that the quality of service levels associated with the QSI applicable in that year were not complied with. 

CTT did not comply with the minimum values defined for “Conveyance time for priority mail (D+1)”, “Conveyance time for non-priority parcels (D+3)” and “Waiting time at post offices (in average)”.  On the other hand, although minimum values were complied with, the target values were not reached for “Conveyance time for non-priority mail (D+3)”,  “Priority mail not delivered within 10 working days” and “Waiting time at post offices (pick hour)”.

According to CTT, failure to comply with the same was due to:

• Direct effect of national strikes (CTT) which took place during 2003 (30 April, 2 May, from 18 to 20 June and 19 October), labour penalties occurred at local level and other operating disturbances, usually plenary and refusal to carry out additional work;
• Implementation of restructuring measures and internal reorganization so as to have an increased operational efficiency and cost reduction;
• Installation, throughout the year, of the new computer system NAVE in all post offices, with the update of the communications system, which led, during the roll-out phase, to the increase in the attendance time.

Since the justification submitted by CTT was not accepted, and considering that:

• the above-mentioned factors that justify the achieved quality of service are not the result of exclusively external factors which could not be controlled by CTT;
• ANACOM was not requested, within the scope of article 6 of the Quality Convention and within the deadline fixed for that purpose (60 days as from the date of occurrence), deduction of the records associated to the periods of time and geographic flows which development and evolution are clearly external to the capacity of control by CTT;
• the Global Quality of Service Indicator reached a value below to 90;

The Board of Directors of ANACOM resolved to apply the penalty foreseen in article 5 of the above-mentioned Convention, pursuant to the terms and percentages contained in paragraph 2 of the Respective Annexe.