Fresh row adds to Royal Mail anger

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ANGER over the Government’s plans to part-privatise the Royal Mail intensified yesterday amid a fresh row over the role of the chairman of the organisation’s pensions trustees.

A letter from Jane Newall to Business Secretary Lord Mandelson, released in February, warned of “very severe” consequences for workers’ pensions if a partial sell-off did not go ahead.

Other trustees complained that the letter, released on the eve of a huge demonstration by postal workers in London against the Government’s plans, had not been seen or discussed by them.

Ms Newall has since written to pension fund members, making it clear that the trustees had no “political agenda” and were not suggesting that pensions faced huge cuts.

The letter, dated March 9, said: “There is no certainty that these proposals will be implemented, either in their current form or at all.”

The letter added that the trustees were not taking a position on the issue of part-privatisation.

Bill Hayes, general secretary of the Communication Workers Union, said: “The chair of the Royal Mail pension trustees should never have written or sent her letter in February which, as is now clear for all to see, is not the position of the board.

“This calls into question her ability and authority as chair of the scheme.”

The Postal Services Bill, paving the way for part-privatisation, is currently before a House of Lords committee ahead of its discussion by MPs.