Royal Mail and Post Office managers have voted by an overwhelming majority against pension cutsand the government’s privatisation plans for Royal Mail in two separate consultative ballots.
Around 7,000 Royal Mail and Post Office managers have voted against the pension proposals by 78%and 89% respectively, Unite, UK’s largest union, announced. As part of the cuts, Royal Mailmanagers could see their annual pensions cut by £3,788 from £23,099 to £19,311 for a managerretiring at 65 after 35 years service. For Post Office managers with a salary of £15,000 a year,the reduction would be £544 from £9,143 to £8,599.
Separately, 71% of more than 6,000 Royal Mail managers rejected the UK government’sprivatisation plans for Royal Mail. Ministers have yet to start the sell-off process, due thisautumn.
Brian Scott, Unite officer for Royal Mail managers, said: “Our members have made it clear thatthe proposals put forward by the Post Office and Royal Mail to make changes to their pensionarrangements are unacceptable. They have paid for their pensions during their working lives and it’s immoral that their retirement income should be reduced in this arbitrary fashion. The respectivemanagements should withdraw the proposals as they currently stand.”
“We will be making both the Post Office and Royal Mail well aware of our members’ views on thisand will do so before the end of the consultation on 25 August,” he added. In terms of Royal Mailprivatisation, Scott highlighted Unite’s long-standing policy of opposition which he claimed wasbacked by the public “who don’t want a national institution sold off to companies more interestedin profits than providing a joined-up national service.”
Responding to the ballots’ results, Royal Mail said: “Around 5,660 of Royal Mail’s 8,300managers are members of Unite the union. Given the 50% turnout, around one third of Royal Mail’smanagers voted in the Unite consultative ballot. Therefore, only around 27% of Royal Mail managerssaid they did not accept the company’s proposals for the Royal Mail Pension Plan as they stand andaround 24% of managers opposed the Government’s plans for privatisation of the business.”
The postal operator stressed that the ballot by Unite was conducted to understand its members’opinion on the two issues and was not a ballot for industrial action. “We continue to have talkswith Unite on a range of issues and we are committed to making progress as soon as possible.”
However, members of the Communication Workers Union have voted by a majority of 90% in favour ofstrike action in the dispute over plans to close and/or franchise 75 of the network’s 372 Crownoffices, which is 20% of the remaining network, to cut 1,500 jobs and impose a pay freeze. With thefive-month dispute still not being resolved, the union members announced strike action over thebank holiday weekend at the end of August, with UK staff due to strike on Saturday, August 24,union members in Scotland on Monday, August 26,and employees in England, Wales and Northern Irelandon Tuesday, August 27.
Dave Ward, CWU deputy general secretary, said: “This is the first time we have announced twodays of strike action at the same time and the first time we have announced back-to-back days ofstrike action. Coupled with the 90% yes vote by members for industrial action short of strike, themessage can’t be much stronger to Post Office management.”
In response to the strike plan, Post Office Ltd issued a statement expressing its disappointmentwhile staying determined to continue plans to transform its Crown network. “The Post Office’saround 370 Crown branches are currently losing £37m a year of public money and must be brought intoprofit.”
Kevin Gilliland, Network and Sales Director at the Post Office, said: “We are extremelydisappointed at the CWU’s decision to call further strike action. This action can only causedisruption to customers, cost our people money and place further pressure on the Crown network. Wemust continue with our plans to turnaround the Crown network to ensure we keep these branches onhigh streets and in city centres across the UK. We remain open to discussions with the CWU on payoptions which do not add to the current loss of public money.”
The Post Office added that strikes have been called in Crown branches which make up only 3% ofthe 11,800 branch network and that 97% of the branches will not be affected.
