Ahmed Fahour quits Australia Post
Australia Post has today announced the resignation of its CEO, Ahmed Fahour. After serving in the role since February 2010, he will step down in July 2017.
Fahour tendered his resignation at a board meeting yesterday, amidst intense scrutiny over his $5.6 million salary.
Prime minister Malcolm Turnbull called the amount “too high” earlier this month. Australia Post was pressured into officially reviewing the remuneration package.
Fahour’s resignation from the top job comes on the same day Australia Post reported $197 million in profits before tax for the six months ending 31 December, 2016.
This is up from just $1 million in the prior corresponding half, providing validation for the company’s strategic shift to a parcel and e-commerce-centric business.
In a statement released by the company, John Stanhope, chairman of the Australia Post board credited Fahour with this transformation.
“By any measure, Ahmed has done an astounding job in transforming the business,” Stanhope said.
“When he started, he was set the challenge to ‘write the next chapter in the history of Australia Post’ – and he certainly rose to that challenge.
“Ahmed was appointed at a time when Post was still highly dependent on revenue from the letters service, but the community’s use of letters had already peaked and was in the early stages of decline.
“He led the team that developed an entirely new strategy focused on investing in the parcels and eCommerce business. It was the right strategy. It has put Australia Post on a pathway to a sustainable future and avoiding a taxpayer bailout.”
According to Australia Post, Fahour oversaw the following investments the parcels and e-commerce business during his tenure:
- Acquiring the remaining half of StarTrack from its JV-partner Qantas;
- Doubling the capacity of its Melbourne and Sydney parcels centres;
- Installing 24/7 Parcel Lockers at 264 sites, and partnering with Woolworths to install a further 500 sites, to make parcel collection more convenient for Australians;
- Building the innovative MyPost platform to enable Australians to register their delivery preferences online.
- Investing in and forming an international e-commerce alliance with Aramex.
Stanhope said the board will begin the search for a new CEO immediately and are considering both internal and external candidates. They expect to announce Fahour’s successor in the coming months.