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Dutch mail strike looms as TNT rejects union demands

TNT Post

The Netherlands is heading for a 24-hour postal strike on November 16 after TNT today rejectedwhat it called “irresponsible” union demands for low levels of compulsory redundancies.

TNT Post last month offered to scale back plans for 4,500 compulsory redundancies by 1,400 to3,100 following the latest stage of long-running negotiations over cost-saving measures. Thecompany aims to downsize its postal business by a total of 11,000 jobs, mostly through naturalfluctuation and non-replacement of departing staff, in order to reduce operating costs by €430million over the 2010-2017 period. The company currently expects a volume decline of 8-9% thisyear.

But this offer was last week rejected by unions who said the new figure of compulsoryredundancies was still too high. They gave TNT Post a deadline of this morning to accept theirdemands or they would hold a national day of action on November 16.

In response, TNT Post announced today that it would not accept the union demands which itdescribed as “irresponsible and not feasible” and which would make it impossible to implement thenecessary competitive cost-price reductions. TNT Post considers that it has investigated all thevarious possibilities – exhaustively and at length – and it calls upon the unions to shoulder theirresponsibility as regards ensuring a healthy future for the company.

TNT Post CEO Harry Koorstra said: “TNT Post considers that the future of the postal company inthe Netherlands will be compromised if the proposed reorganisation plans, these being the mostrecent plans offered to the unions during the latest negotiations, are not in fact pursued. Themanagement of TNT Post considers that risk to be unacceptable.”

Since the start of the talks, TNT Post has negotiated openly and constructively as to how thecost savings should be implemented, if possible by means of natural attrition and by encouragingvoluntary redundancies. TNT Post has indicated that it would be a “balancing act” between thenecessary efficiency measures on the one hand – involving the loss of 11,000 jobs – and changes inemployees’ terms and conditions of employment on the other, so as to prevent compulsoryredundancies. The company had given importance to social aspects, for example by agreeing tocontinuing employing staff born before 1952 even if they were surplus to requirements.

“If the unions do in fact engage in collective action, it will have an impact on the rapidlyincreasing fall in volumes due to substitution and the leakage of flows of mail to TNT Post’scompetitors. Such action will in fact increase the risk as regards jobs, precisely the jobs thatthe unions wish to preserve.

TNT Post has given far-reaching undertakings to minimise the consequences from the social pointof view. Unfortunately, the unions have merely indicated that all of TNT’s gestures, concessions,and undertakings are insufficient. It is not possible to comply with the unions’ demands withoutthe unions showing themselves open to discuss other cost savings, for example as regards the termsand conditions of employment. Needless to say, TNT Post remains open for talks,” the companyconcluded.

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