I would have stopped Cartier watches: Australia Post chair Lucio Di Bartolomeo

Australia Post chair Lucio Di Bartolomeo says he would have vetoed the controversial purchase of four Cartier watches if he was in charge in late 2018.

Australia Post chairman Lucio Di Bartolomeo at the Senate Estimates hearing on Monday night.

Australia Post chair Lucio Di Bartolomeo says he would have vetoed the controversial purchase of four Cartier watches if he was in charge in late 2018 when they were bought as rewards for senior employees.

The body’s former CEO Christine Holgate, who approved the gifts, resigned “with great sadness” over the scandal, declaring she took the difficult decision “to enable Australia Post to be able to fully focus on delivering for our customers”.

Fronting a Senate Estimates committee on Monday night, Mr Di Bartolomeo paid tribute to the “very significant” contribution Ms Holgate had made to the organisation, but said he would have vetoed the purchase if he had been chair at the time.

“If I’d been chairing 2018, and had been made aware of the proposal to purchase Cartier watches, I would have vetoed that purchase,” he said.

“Whilst highly appreciative of the excellent work of the staff concerned, none of whom sought-out a watch or other presentations, I acknowledge that the purchase of the watches may not have met with the expectations of members of the public or my own.”

Scott Morrison personally intervened and ordered an investigation into the government-owned business after the controversial purchase came to light.

Mr Di Bartolomeo said the body was fully co-operating with the probe and also acknowledged Ms Holgate’s work as CEO.

“I want to specifically point out the hard work she and the Australia Post team have made in this extraordinary year starting with helping Australians through the devastating impact of the bushfires and then the COVID-19 pandemic, which we will all continue to navigate,” he said.

Mr Di Bartolomeo said the body had saved $62m relative to the previous year and additional steps had been taken in the wake of the scandal to limit “all but essential” spending.

Senate Estimates heard he is considering three firms for the recruitment of a new CEO to replace Ms Holgate, but said it unlikely a replacement would be found before Christmas.

About 5000 temporary staff are being trained in preparation for the upcoming Christmas period, which is expected to be 50 per cent busier than last year.