In no sense was postal services privatization a 'reform': JCP Koike

Japan Press Weekly

Japan Press Service Co., Ltd. is the only news agency providing information of progressive, democratic movements in Japan

In no sense was postal services privatization a 'reform': JCP Koike

On an NHK 'Sunday Debate" program aired on February 15, Japanese Communist Party Policy Commission Chair Koike Akira criticized the government in connection with discord within the cabinet over the issue of the privatization of the postal services.

The process of privatizing the postal services began in April 2005 under Prime Minister Koizumi Jun'ichiro. The measure was in order to meet primarily the demands of the U.S. banking and life insurance industries as well as U.S. finance capital.

The privatization process was completed in October 2007 with the establishment of Japan Post Holdings, with four subsidiaries (Japan Post Network; Japan Post Service; Japan Post Bank; and Japan Post Insurance). This has entailed the downsizing and consolidation of post offices, causing inconvenience to many local residents and increased fees for services.

At the House of Representatives Budget Committee meeting on February 5, Prime Minister Aso Taro stated that he had been against postal privatization when he was Communication Minister under the Koizumi Cabinet. Aso, however, retracted this remark after facing sharp criticism. Former Prime Minister Koizumi Jun'ichiro soon rebuffed this, saying that Aso had opposed the plan is not true.

Focusing on the controversial issue, JCP Koike stated on the NHK program:

'The Liberal Democratic Party advocated in its election platform for the 2005 House of Representatives general election that the 'postal services privatization is at the core of general policies for remaking Japan,' and that 'A successful postal services privatization will help improve living conditions, foreign relations, and social welfare services.'

Fully using such rhetoric, the LDP succeeded in getting about two thirds of the seats in the House of Representatives.

However, the latest inner-party debate shows how sloppy and irresponsible the postal privatization scheme really was. It had nothing to do with remaking Japan.

Internal Affairs and Communications Minister Hatoyama Kunio has stated that the Koizumi Cabinet's 'structural reform' policy, including postal privatization, ended up in failure. Apparently, the 'structural reform' policies have led to the collapse of the jobs market, social welfare services, and agriculture. This clearly reveals the failure of the 'structural reform' policies.

Also, it is quite irresponsible for Prime Minister Aso to argue that he had been opposed to the postal privatization plan and for Koizumi to say that he, at the news of Aso's statement, was 'too surprised to refute it and I find it a laughing matter." The two, who have been the key persons in the implementation of the 'structural reform' policy, are not offering any critical review of this serious failure. It turns out that there is no alternative for us but to dissolve the House of Representatives for a general election without delay."

Ishihara Nobuaki (acting LDP secretary-general) stated that privatizing the banking and life insurance services was the core of the postal privatization scheme and that pushing ahead with a complete privatization was a matter of course. Takagi Yosuke (Komei Party lawmaker) parroted what Ishihara stated.

Maehara Seiji, Democratic Party vice president, stated that the DPJ position in favor of breaking up and privatizing postal services remains unchanged.

Then JCP Koike stated:

'The postal privatization bills were enacted after holding talks 18 times between the Japanese and U.S. governments. The postal privatization plan was chiefly aimed at disintegrating and downsizing postal services, savings, and post office life insurance programs in order to benefit the banking and life insurance industries in Japan as well as further the interests of U.S. finance capital.

It is irresponsible for Prime Minister Aso to argue that the general public had not been well-informed as to the postal privatization plan that would create four different companies.

The JCP has been opposed to the postal privatization plan, maintaining that once the three branches (postal services, savings, and post office life insurance) are broken up, it will compromise all services in real terms.

It is time to reconsider the privatization of the postal services."

- Akahata, February 16, 2009