The UK’s main postal union sent out strike ballot papers today to 130,000 Royal Mail workers –while tabling a new offer to the state-owned operator to end the pay and cost cuts dispute.
Royal Mail has offered employees a 2.5% pay offer and lump sum payments of up to GBP 550 (EUR805) each to accept a radical cost-cutting and restructuring plan.
The Communication Workers Union called the ballot to oppose Royal Mail’s business plan, whichit says will lead to GBP 1.5 billion (EUR 2.2 billion) of cuts over the next five years, 40,000 joblosses and privatisation.
As it sent out papers for the ballot – the results of which are to be announced on Thursday 7June – the CWU also tabled a further formal offer asking Royal Mail to: increase pay by the rate ofinflation; set aside the business plan and negotiate a restructuring agreement linked to pay andbenefits; and freeze “management changes/ cuts or closures” in return for a period of industrialcalm.
“We have no choice but to continue with strike action as Royal Mail continue with theirunacceptable business plan and what amounts to a pay cut. However, we have tabled an extremelyreasonable proposal in a fresh attempt to avert a national strike,” said CWU deputy generalsecretary Dave Ward.
Royal Mail, on the other hand, is determined to keep this year’s pay rise down followingcriticism by postal regulator Postcomm over its high labour costs.
The group says that 20% of the bulk letter business will be handled by lower-payingcompetitors by the end of this year, following liberalisation of the UK mail market at thebeginning of 2006.
