By Ian Brockwell
In an announcement by the CWU (Communications Workers Union) earlier today, we were given the impression that the Union and the Royal Mail were on the verge of an agreement.
However, we were then told that three people (not involved in the negotiations) were behind an attempt to block any deal. The names given were Adam Crozier, Mark Higson and Lord Mandelson. An attempt to stop the strike was therefore unsuccessful and this will begin at 0400 on Thursday and continue through to Friday.
Although the Union had the backing of 76% of the postal workers for a strike, there did seem to be a genuine desire to avoid such action.
Whilst one must question the timing of the CWU to consider strike action at such a delicate time, they were perhaps encouraged to follow this route by others for different reasons?
Not long ago Lord Mandelson was trying to get support for a part-privatisation of the Royal Mail, and a Dutch company (TNT) was prepared to invest as much as £3 billion, for an approximate one third share of the company.
Another bargain for Mandelsons friends
Quite a few Ministers are sponsored/financed by the CWU and the support Mandelson was seeking failed to materialise. The privatisation would almost certainly have resulted in further job losses.
As we have seen with many leading banks in the last 12 months, some received less help than others and were bought up at a fraction of their value. Are we seeing the same thing happening to the Royal Mail?
The Royal Mail has lost a great deal of business already, following the popularity of the internet and emails, and a strike is sure to lose many more customers and reduce the company's value still further.
One may wonder why TNT, or any other company, would be interested in the Royal Mail, whose future looks grim (as far as delivering letters are concerned), but we should remember that TNT specialise more in parcels (which you can't send by internet).
It is quite likely that if Royal Mail is privatised (even in part), the company will eventually be broken up into different sections, with the government getting to keep the less profitable part of course.
Knowing how Lord Mandelson gets involved with large businesses (the Libyan oil deal for example) and his association with the Rothschild family (among others), is it possible that he might be prepared to help his "friends" get the best deal they can?
It would be interesting to see what investment figures are available in a few weeks time, if the government agrees to a partnership with a private company, but I bet it won't be £3 billion any more.
Just a few days ago Lord Mandelson was saying that a Royal Mail strike would be "suicide", and he is right. So why does he seem so determined now to let it go ahead?
It was a foolish move by the CWU to threaten strike action at this moment and they appear to have been "suckered" into a position that they cannot get out of.
As a result we shall see the Royal Mail become a financial disaster (just like some of those banks) and a refusal by the government to support it any further without private investment. The CWU will no longer have any control over proceedings and many thousands will lose their jobs.
Later, when the private investor takes all the best bits, we will see profits increase (for parcel delivery) and the delivery of letters will be abandoned to any company that wants to take up the challenge. But this service will be more expensive and slower (especially for long distance deliveries).
As things stand at the moment, it would appear to be Game, Set and Match to Mandelson and friends (again)!
