Denmark ends letter delivery – creating crisis for workers and vulnerable residents

Denmark’s state-affiliated postal service, PostNord, has announced it would cease letter deliveries by the end of 2025 – which will severely impact workers and Danish residents, especially the most vulnerable who rely on physical mail for essential communication.

UNI Global Union joins our Danish affiliate 3F in condemning this decision in the strongest possible terms.

PostNord’s withdrawal from the letter market means the loss of 1,500 jobs, out of approximately 4,600 total postal positions. Its activities in the letter market are expected to be taken over by DAO, a Danish private logistics company. DAO currently handles only a small fraction of Denmark’s mail and has historically struggled with efficiently managing personal mail, while also relying on a significantly higher number of precarious employees. Once PostNord’s exit takes effect, DAO is expected to become the sole provider in the letter market, effectively creating a private monopoly over what remains critical infrastructure Danish residents.

“Denmark now stands at a critical juncture in its postal history. The coming decisions will determine whether postal services remain a stable and accessible part of Denmark’s critical infrastructure – or if market failure will leave citizens and businesses without a reliable mail system.

The situation for Danish residents – especially the 271,000 digitally exempt individuals dependent on physical letters to interact with hospitals, municipalities and financial institutions – has become critical. Already, sending a simple letter within Denmark can cost nearly four euros, disproportionately burdening elderly citizens, rural residents and low-income groups. With the removal of traditional mailboxes and the discontinuation of stamps, accessing postal services will become increasingly challenging, particularly for rural communities.

Lessons from Denmark’s experience with privatized elderly care demonstrate the potential consequences of entrusting essential public services to profit-driven private operators, whose withdrawal in difficult economic circumstances can leave citizens without crucial services. Should DAO follow a similar path, the Danish government could face substantial financial and logistical burdens.

Dzevad Ramic, Chairman, 3F Post, said:

“Ever since Danish politicians decided to liberalize the letter market, we have been working intensively to raise awareness – both in the media and among policymakers—about the consequences. The goal of liberalization was to lower prices and improve service levels. However, since it took effect in 2023, prices have increased by more than 100 per cent, while service levels have deteriorated significantly. Last week, we witnessed the ultimate consequence: PostNord’s exit from the market, leaving behind a private monopoly in our critical infrastructure – with severe consequences for residents and employees.

“We will intensify our struggle for decent pay and working conditions. We will not accept that employees who lose their jobs are left without support and opportunities. We will fight to ensure that they have the best conditions to advance in a labour market where, fortunately, there is a great demand for labour – but where dignity and respect for the work they have done must not be forgotten.”

Additionally, UNI Global Union Post & Logistics’ research examining 11 cases on six continents shows that privatization of post yields awful results: higher prices, slower mail and worse jobs. UNI and postal unions from around the world travelled to Denmark last World Post Day to support 3F and to show the damaging effects of rolling back the universal service obligation, which Denmark previously did.

Cornelia Berger, Head of UNI Post & Logistics said:

“Postal services are fundamental to connecting communities, yet from Denmark to United Kingdom to the United States and beyond, the post is under attack. Digitalization has transformed our sector, but the failure of postal services to reimagine their role responsibly is deeply troubling. Unions worldwide are united to demand a robust vision for the future – one that protects quality service and secures decent working conditions for postal workers everywhere.”