Royal Mail: union backlash grows over Mandelson plan

[TrueBlueTerrier]

http://www.guardian.co.uk/politics/2009 ... -mandleson" onclick="window.open(this.href);return false;

Business secretary offers concessions to appease Labour rebels

The scale of the backlash against Lord Mandelson's proposals to partly privatise Royal Mail is laid bare today in a warning from Labour's eight largest unions that the proposals are electorally unpopular, politically unwise and damaging to the postal service.

In a letter in today's Guardian, the unions, which speak for 2.5 million members, also say the plan is forming a division in the party, undermining Labour's policy-making process by breaching manifesto commitments.

The concerted attack comes on the day the government publishes its bill to change the way Royal Mail is set up. But Mandelson will make significant moves to meet party rebels halfway by offering some reassurances today.

The business secretary's commitments include assuring that Royal Mail is not completely privatised without further primary legislation; that a universal letter service, six days a week at a single affordable price, will be enshrined in law; and that Ofcom will get extensive powers to investigate the prices the service is allowed to charge private competitors and to ensure it is not forced to provide a hidden subsidy to rivals.

Mandelson also proposes, under the universal service obligation, a five-point agreement that guarantees the first-class and second-class post, next-day special deliveries and the parcel service. Preservation of the service obligation will have to come before the promotion of competition. Ministers are trying to get the bill on the statute book by the summer.

Writing in the Guardian, Mandelson says: "Some argue that a downturn is the wrong time to try and address modernisation problems in a large public service provider like the Royal Mail. Politically this may be the case, economically it is not.

"An unreformed Royal Mail is an increasing drain on resources, and not delivering the best value for money to the people who fund it: us. Fighting for the reform of the Royal Mail is just one part of putting the UK on track for the upturn." He also rebuts the unions' claim that his proposals breach a manifesto promise, saying: "This government was elected on a manifesto commitment to preserve that service, and to preserve the Royal Mail in public ownership. It intends to keep both those promises. But it is impossible to do that without change."

The unions claim the party committed at a forum last year to "a wholly publicly owned, integrated, Royal Mail group". They warn in their letter: "Part-privatisation of Royal Mail is electorally unpopular, politically unwise, and damaging to the concept of universal service provision."

Many of the proposals in a policy paper to be published today alongside the bill reflect discussions with backbench rebels, such as Peter Hain, who is still looking to see if private capital can be introduced without a 30% stake being handed to the private sector.

As many as 130 Labour MPs, including some parliamentary private secretaries, are opposed to the plans, leaving the government relying on the Tories to get the legislation through the Commons.

The issue is certain to be raised at Labour's policy forum this weekend in Bristol, to be addressed by Gordon Brown, but no vote is to be allowed.

It emerged yesterday that the legislative cabinet committee had to meet twice on Tuesday after objections from Harriet Harman, the leader of the house, and Nick Brown, the chief whip, over the plan to introduce the bill this week. One cabinet minister accused Harman and Nick Brown of an ambush;others said the discussion had focused on whether it was realistic for the bill to reach the statute book by the summer.

After the first meeting, Gordon Brown was forced to swing behind Mandelson, and insist the bill went ahead this week.

Richard Hooper, the author of the plan to part-privatise Royal Mail, also criticised the postal union for fighting to keep the group in public hands.

[TrueBlueTerrier]

Royal Mail's second-class proposals

http://www.guardian.co.uk/uk/2009/feb/2 ... sation-tnt" onclick="window.open(this.href);return false;



At Warwick University, in the summer of 2008, the affiliated trade unions collectively participated in a series of policy discussions with representatives of the Labour party and Downing Street. The purpose and outcome of those discussions was to reach a policy agreement that was satisfactory to all participants.

Within that Warwick agreement was a clear commitment to maintaining Royal Mail in the public sector: "We have set out a vision of a wholly publicly owned, integrated Royal Mail group in good health providing customers with an excellent service and its employees with rewarding employment."

This commitment was agreed by all affiliated trade unions in the belief that it guaranteed the future of Royal Mail as "wholly publicly owned". This was our belief in the summer, and it was the belief of the 2008 Labour party conference, which voted to support this policy.

We are deeply concerned that the Labour party now appears to be willing to break that commitment by adopting the recommendations of the Hooper report. Its proposals to bring in a "strategic partner", via an exchange of equity, clearly constitutes the part privatisation of Royal Mail.

The affiliated trade unions believe that the part-privatisation of Royal Mail is electorally unpopular, politically unwise and damaging to the concept of universal service provision. Furthermore, to break a pledge so recently made undermines the legitimacy of our policy process and raises questions about the validity of other agreements reached.

We are unanimous in our opposition to the proposed privatisation of Royal Mail, and ask that the government reconsiders its response before it becomes a dividing line within our movement.

Billy Hayes general secretary, CWU
Tony Woodley Tulo chair and joint general secretary, Unite the Union
Paul Kenny Tulo vice-chair and general secretary, GMB
Derek Simpson joint general secretary, Unite the Union
Dave Prentis general secretary, Unison
John Hannett general secretary, Usdaw
Michael Leahy general secretary, Community
Alan Ritchie general secretary, Ucatt
Gerry Doherty general secretary, TSSA

The pension fund deficit and the leaked letter from Jane Newell, the chair of pension fund trustees, are spurious arguments being used to undermine opposition to privatisation (Reports, 24, 25 February). If it is accepted that there are historic issues with the fund - especially those caused by the enforced "pension fund contribution holiday" and "lending" of Post Office profits to the Thatcher government - what isn't mentioned in the equation are the billions of pounds of assets of the fund. The current estimate is £22bn, which could fit nicely into the government's balance sheets at a time when billions are being thrown at the banks.

Part-privatisation of Royal Mail involving a competitor such as TNT will surely lead to full privatisation. The business model that would be used would lead to the undermining of core Royal Mail functions. A suggestion that Royal Mail needs private sector expertise at a time when the best private sector management skills have left us with the banking crisis is risible. Let no one forget that the current leaders of the Post Office were appointed by this government from the private sector - Alan Leighton of Asda and Adam Crozier from the FA.
Phil Mills
Hailsham, East Sussex

Yesterday Mandelson announced details of a proposed partial privatisation of the Post Office. About 20 years ago another government decided that it would be a good idea to realise as much of the assets of the Post Office's "property portfolio", and they set about selling off Post Office premises and transferring counters to the back of shops in their neighbourhoods. In Thame the move was across the high street to a newsagent.

Thame's post office could not be sold, as it was, and is, integral with the sorting office behind it. So for 20 years it has been empty, and, as a listed building, a liability on the Post Office. How many other scandals of this sort exist, and what guarantees do we have that the new proposals will not produce another crop?
Don Montague
Sainte-innocence, France

[pinstripe]

"The business secretary's commitments include assuring that Royal Mail is not completely privatised without further primary legislation"

But the Warwick Agreement states that RM will remain wholly publicly owned and only legislation and a change in the law will allow it. How long ago did they agree that? Which raises the question, just how soon will these parasites push through the "further primary legislation" required to stuff their already bulging bank accounts....a week, a month?

They must think we are morons, hell we must be, we voted for them. (Never again!)

[BELIAL]

Section 21 subsection 3 Postal rip off bill Bye Bye pension

[Big Daz]

Pinstripe

McFadden says hoper takes precdence over the warwick stuff which he says was just a vision and not binding blah blah.

CWU top brass were warning about a sell off being proposed from hooper for sometime , the government would have been well aware of this possibilty at the time of warwick and labour conference.

I think weve been taken for a ride by Labour Party Leader Gordon Brown and mad mandy.

[BELIAL]

Pinstripe

McFadden says hoper takes precdence over the warwick stuff which he says was just a vision and not binding blah blah.

CWU top brass were warning about a sell off being proposed from hooper for sometime , the government would have been well aware of this possibilty at the time of warwick and labour conference.

I think weve been taken for a ride by Labour Party Leader Gordon Brown and mad mandy.

Take a shufty at the old posts Big Daz ,the Cwu top brass were telling the membership at the time of the last strike that the commitment to conduct a review was a key feature in our abandoning our withdrawal of labour. Stupid f***ers or in the pay?

[Big Daz]

Pinstripe

McFadden says hoper takes precdence over the warwick stuff which he says was just a vision and not binding blah blah.

CWU top brass were warning about a sell off being proposed from hooper for sometime , the government would have been well aware of this possibilty at the time of warwick and labour conference.

I think weve been taken for a ride by Labour Party Leader Gordon Brown and mad mandy.

Take a shufty at the old posts Big Daz ,the Cwu top brass were telling the membership at the time of the last strike that the commitment to conduct a review was a key feature in our abandoning our withdrawal of labour. Stupid f***ers or in the pay?

Id prefer stupid, but to be respectfull id go with the term mistaken

[norbert]

Pinstripe

McFadden says hoper takes precdence over the warwick stuff which he says was just a vision and not binding blah blah.

CWU top brass were warning about a sell off being proposed from hooper for sometime , the government would have been well aware of this possibilty at the time of warwick and labour conference.

I think weve been taken for a ride by Labour Party Leader Gordon Brown and mad mandy.

Take a shufty at the old posts Big Daz ,the Cwu top brass were telling the membership at the time of the last strike that the commitment to conduct a review was a key feature in our abandoning our withdrawal of labour. Stupid f***ers or in the pay?

Id prefer stupid, but to be respectfull id go with the term mistaken

:mfo is spoiling for a fight with New Liebour's " cuddly " or " soft " left and the CWU , he wants to become the hero that keeps Saturday deliveries with help from the Tories and Lib - Dems

The spiv is up to his usual tricks again , he's had a big £235,000 allowance to come back from Brussels now his Office isn't fit for a old Queen
http://www.express.co.uk/posts/view/859 ... e-makeover" onclick="window.open(this.href);return false;

Wasn't there a New Liebour Minister who had his flat done up to look like a curry house at the tax payer's expense ?

Check out the Comment is Free bits in the on line Guardian , he's got quite a fan club - not ! - judging by the comment on sections ; of course you get the odd " Privatize them now " from the odd Tory , you have to feel sorry for these sad people ,as they've nobody to vote for ; now that Hitler is dead

[pocky20]

lol curry house. is that who i think yiu are talking about.pink shirt wearing guy lol :mfo :mfo :mfo :mfo

[pocky20]

how can this guy do this 80.grand to do up his gaff and still he wants to sell of everything he can and lol god need i say more i dont want to call him anything but he just reminds me of a del boy.or :mfo :mfo :mfo :mfo an gangster did i word that right pm.dont want to get this site into diffs but i will stick by what i have always said about are oi mucker mandy .hope they sack him for this.but they wont . :mfo :mfo :mfo

[norbert]

lol curry house. is that who i think yiu are talking about.pink shirt wearing guy lol :mfo :mfo :mfo :mfo

Yeah - there was all this expensive wall paper with a fancy design ordered - think it was £40 - 80 a roll , but the redocorated flat looked like a Indian Restaurant.

there was another story about :mfo and his hangers on going into a Blackpool chip shop during the New Liebour Conference and he thought the mushy peas were some exotic posh foreign delicacy - not of this planet , obviously

[pocky20]

lol liebour nice glad there is someone like your self who can see this guy for waht he is i have done a lot of lookng into mandy and lets just say he might love the odd free loan.have to wacth my words here.i pray he gets the boot or cant sell us of he is just like a big kid he wants his way and seems to be geting his kind of people to help him mm i wonder why the boys altogether ducky lol :mfo :mfo :mfo

[axeman]

The guy with the curry house was the attorney general iirc............ another wierdo that our taxes pay for

[norbert]

The guy with the curry house was the attorney general iirc............ another wierdo that our taxes pay for

Mandy is supposed to have asked the Chip Shop Proprietor about the Guacamohe Dip - the other story was that he asked Brown in pre mobile days if he could have 10 pence to phone a friend and Brown said " here's 20p , phone them all "