LTB 041/25 – UPDATE ON USO PILOTS

[POSTMAN]

LTB 041/25 – UPDATE ON USO PILOTS
No: 041/25

21st February 2025

Dear Colleague,

UPDATE ON USO PILOTS

The purpose of this LTB is to provide branches, representatives and members with a comprehensive update on the USO pilots and our ongoing discussions with Royal Mail. A further LTB focusing on the content of Ofcom’s consultation document and how the CWU will deal with this, will be issued shortly.

In this regard, when considering our approach to proposals for USO reform it is important that branches recognise we are dealing with this matter on a number of levels including Ofcom, Royal Mail and of course by utlilising the strong commitments secured in the agreement with EP Group.

All Branches will be aware that the decision to pilot 37 sites based on the Optimised Delivery Model comes against the background of CWU playing a strong part in moving Ofcom away from their earlier consultation on a 3 or 4 day USO.

The union also recognises that Royal Mail now operates in a permanently changed world of communications and the reality of the changing mix between declining letters and growing parcels means we will need to consider a different solution for the future. In our view this is a key part of enabling the business to grow and prosper in the future and will be essential for the overall protection of our members jobs going forward.

There have been previous communications explaining our approach and the agreement reached on the pilot sites. However, as the pilots are now commencing on a phased basis from the end of February, it is worth reiterating the key principles we are applying.

• We have not and will not endorse any predetermined level of savings or job losses form this model. Ultimately, this is an issue that will be determined by workload and the absolute priority of achieving quality of service for customers, something which Royal Mail has an appalling record on in the last few years and currently, as a result of their own managerial failings.

• We cannot face away from the reality of Ofcom’s consultation and the best way to engage on this is through the pilot sites, testing Royal Mail’s assumptions, listening to the views of our members and utilising the lessons we will learn in our ongoing discussions with the company and Ofcom.

• We all know this will never work unless there is a complete reset of employee and industrial relations and we will hold Royal Mail to account on this, which will mean, as set out in the agreement with EP Group, the introduction of a new way of managing the business at all levels and in every office.

Notwithstanding the above principles and subject to the outcome of the pilots, we believe that taking everything into account, the Optimised Delivery Model potentially has several potential benefits as set out below:

• More Saturdays off and significantly better overall attendance patterns

• The model can enable part timers to move to full time

• The model can provide genuine options to reduce fatigue on delivery

• The model has no impact upstream in Mail Centres

All employees within a pilot unit will be able to select from a list of attendance patterns, including options for reduced Saturdays and we have agreed that no employees will be adversely affected by these trials, i.e. hours will not be cut.

Royal Mail and the CWU have agreed to the following criteria for evaluating the pilots and the viability of the ODM.

• Does the ODM hit a minimum of 90% first class Ofcom targets alongside second class. In addition, does it hit all commercial targets?

• Is the workload fair, manageable and achievable? Does it also provide solutions for fatigue?

• Does it provide options for improved attendance patterns and deliver more Saturdays off?

• Does it provide a platform for sustainable growth?

• Does it improve trust, morale and confidence in the workplace?

We recognise that change is often difficult, especially given what our members are experiencing currently in the workplace. However, the current status quo is not working for our members, customers or the company. Quality of service is broken in many units across the UK, impacting our members’ morale and confidence in the workplace. In addition, far too many members have unachievable workloads and Royal Mail is experiencing a resourcing crisis – totally of their own making. It is clear that unless Royal Mail is able to improve its quality of service, customers will lose trust in the business and choose to use other providers, which will ultimately lead to a serious downscaling of the service, unless something changes quickly.

That being said, the CWU will only agree to a permanent USO change which delivers a total reset of quality of service, alongside a fair and manageable workload with improved attendance patterns, more Saturdays off, no compulsory redundancies and tangible benefits for our members.

It is also important to note that in our agreement with EP Group, the prospective new owners of IDS and Royal Mail accept that CWU’s support for USO reform is strictly conditional on the progress and implementation of Section 5 within that agreement, which includes:

• Agreeing a pay rise.

• Equalising new entrants’ pay, terms and conditions over an agreed period of time.

• Improved sick pay.

• Reduction in agency staff.

• Review of scheduled attendance and overtime rates.

• Reviewing voluntary redundancy terms.

• A new performance incentive scheme.

• New and improved ways of working.

The USO pilots will be phased in from the end of February, with Newton Mearns in Scotland being the first to be introduced.

We will provide regular updates on the pilot’s progress and next steps. We will also be in liaison with Ofcom, Royal Mail and EP Group throughout this process and we will be incorporating evidence from the early stages of the trials in our response to Ofcom’s latest consultation.

Finally, we all know the union is dealing with major issues that will shape the future of the business and we are determined to ensure that through the approach we have set out this will not be purely about savings for Royal Mail. Instead, this can be an important step in rebuilding UK postal services, restoring quality of service, enhancing our members’ terms and conditions and provide a platform for future growth, as set out in the agreement with EP Group.

Any enquiries to this LTB should be referred to the DGS(P) Department.

Yours Sincerely,

Martin Walsh

Deputy General Secretary (Postal)

Andy Furey

Assistant Secretary

Davie Robertson

Assistant Secretary

Tony Bouch

Assistant Secretary

Bobby Weatherall

A/Assistant Secretary

[tramssirhc]

In December the CWU was told the exact process for the trials would be given to them by the employer by the 31st January. To date this has never been shared with the Members and this LTB certainly doesn't explain the full details of the trials. The CWU are deliberately avoiding sharing that information and the full extent of the affect these trials are going to have. This LTB has a stark warning for members - beware of reductions in working hours.

[Valentina@1]

This stinks

[ted_e_bear]

What's the update ? This reads as though it was written a while ago

[Valentina@1]

No update at all

[Londonsburning]

It's a bit odd that the supposed mediators/representatives for the workers, who are financed by the workers seem to be pulling the wool over the eyes of the workers. Very un-trade union like

[Pidleypoo]

Anyone want to explain to me how having 3 days mail on Mondays and Tuesdays and 2 days the rest of the week , every single week of the year will reduce fatigue ?

[SMS1969]

Anyone want to explain to me how having 3 days mail on Mondays and Tuesdays and 2 days the rest of the week , every single week of the year will reduce fatigue ?

It won’t, the feeling is that a 9 day fortnight will help, but you will need that extra day to get over the amount that you’ve delivered.

[SpacePhoenix]

Anyone want to explain to me how having 3 days mail on Mondays and Tuesdays and 2 days the rest of the week , every single week of the year will reduce fatigue ?

Not seen any official confirmation of which days will be non-2C days. We don't know yet if it'll be the same days for all DOs or if different DOs will be different days. Also will they be the same days for all the walks in a DO

[TopperGas]

Anyone want to explain to me how having 3 days mail on Mondays and Tuesdays and 2 days the rest of the week , every single week of the year will reduce fatigue ?

Just imagine if you worked on the bins or in a supermarket and the boss told you in future for the rate of pay you needed to empty twice as many bins or stack twice as many shelves a day? As mail as dropped duties were increased in length so you still delivered the same amount of post, now we're going to get twice as much mail on the same duties!!

[ted_e_bear]

Anyone want to explain to me how having 3 days mail on Mondays and Tuesdays and 2 days the rest of the week , every single week of the year will reduce fatigue ?

Not seen any official confirmation of which days will be non-2C days. We don't know yet if it'll be the same days for all DOs or if different DOs will be different days. Also will they be the same days for all the walks in a DO

Every weekday day will be a non 2c day for alternating half of the duties in the office, it can't be the same day for all the walks as they'll be done on alternating weekdays, I think what you're getting at is will you be holding back the mail for the duties that aren't due a delivery and I don't think that would be possible I would imagine it will be down to the do's to take care of that aspect, iirc there was something about separate it on ips which could be an extra time consuming burden.

[Barnacle]

There are three ways these pilots could go:
1. The Pilot method is genius and works and as a consequence 1000s lose their jobs at the end of it and remaining staff are worked to death.
2. It’s a complete Horlicks and mail piles high because holding back the majority of mail does not work and does not result in a cost saving.
3. The way they imagined the Pilot method doesn’t work, so it is amended throughout the trial period until there is a version which works to clear offices, but does not provide a cost saving.

I think 3 will happen and RM will declare the Pilot a terrific success to save face.

[hazzeem025]

The model can provide genuine options to reduce fatigue on delivery Walsh is living in cloud cuckoo land.

We've been told that HCT duties, firms deliveries and rurals aren't included in it!?? So what is it just park and loop duties?

[Pidleypoo]

Thing is as well is that it’s not just 2-3 days worth of letters , it’s d2d’s and when you look at your non tracked small packets each day , lots of them are just large classed as large letters so you’ll have those as well being 2-3 days worth and midweek will still be the busiest parcel days ……again how does all of that reduce fatigue ?

A 9 day fortnight or 4 day week won’t reduce it either because your delivery span would be so long you’ll be absolutely knackered by the time your day off comes around.

That’s not even mentioning what happens when a bank holiday happens.

[abuch1980]

No update at all

Exactly hardly an update is it. Being kept in the dark like mushrooms