Negotiations to prevent the first nationwide post strike after privatization are entering a crucial phase when the Royal Post is preparing to publish a big jump in revenue
Negotiations to prevent the first post-privatization nationwide postal strike have entered a crucial phase as the Royal Post prepares to publish a big jump in revenue.
The 500-year-old company is embroiled in ever-higher rates to pay a dispute with a union representing its 115,000 members.
Negotiations: The Royal Mail is embroiled in a dispute over rising rates in which the union represents 115,000 members
Royal Mail also wants the postcards to work on Sundays to compete with Amazon and DPD as part of plans to upgrade the service.
The shipping giant has proposed a pay rise of up to 3.5 percent this year, including retrospective payments and an additional raise after the talks.
It also offers a new “higher and higher” bonus of up to 2 percent for employees who reach performance targets
But the union of communications workers (CWU) opposes this proposal, 5.5 percent of the targets. He wants wages to be raised in line with inflation, which is estimated to reach 10 percent by the end of this year.
The Mail on Sunday learned that both sides had entered into a formal “dispute resolution process” to try to reach an agreement.
If no agreement is found by the end of this month, the CWU says it will declare a strike. The strike will be the first in almost ten years. Trade union sources say the talks are deadlocked.
The Royal Post, which was privatized in three phases between 2013 and 2015, is expected to provide information on the talks this Thursday when the results are announced.
Analysts forecast full-year profits of around £ 720 million compared to £ 664 million the previous year.