Double whammy for postal workers: 3,500 job cuts and worthle

[TrueBlueTerrier]

http://www.guardian.co.uk/business/2011 ... job-losses" onclick="window.open(this.href);return false;

The company also announced the next stage of its programme to close about half its 64 mail centres within the next five years

Royal Mail has told workers that its employee share scheme will be virtually worthless when it matures next year, dashing hopes of a windfall for staff.

Having carried out a valuation of the scheme, new chief executive Moya Greene has blamed the group's financial position and lower than expected cost savings. The maximum payout would have been £3,000 but the scheme now seems unlikely to pay anything.

Former chairman Allan Leighton set up the share scheme along with former chief executive Adam Crozier in 2007 to give staff an incentive to boost productivity and compete with private sector rivals.

Dave Ward, deputy general secretary of the Communication Workers Union, said in a letter to members that the value of each worker's holdings in the scheme had fallen from around £1,400 in September 2010 - "to nothing".

Royal Mail also announced yesterday it is cutting 3,500 jobs as part of its ongoing cost cutting and modernisation programme. Royal Mail said it expected the latest job losses – it has cut the number of employees by about 65,000 since 2002, or more than a quarter – would be achieved by voluntary means and that compulsory redundancies would not be necessary.

The company also announced the next stage of its programme to close about half its 64 mail centres within the next five years. Some 751 jobs are expected to be cut in Greater London after it said two mail centres in the capital would be closed immediately. It will also begin consulting on reducing the number of line managers by up to 1,000. A further 1,700 people are leaving the group following a separate review of managers in its head office.

Royal Mail said that it had worked with the Communication Workers Union on the changes. Workers losing their jobs in London will be offered placements outside the capital.

The company added: "With people demonstrating reasonable flexibility, Royal Mail expects that everyone who wants to remain in the business will be able to do so."

Mark Higson, managing director of operations and modernisation, said: "Royal Mail's modernisation programme, which is vital to ensuring a successful future for the letters and parcels business, depends on having the right number of people in our business as well as deploying the right technology and equipment. We are conscious of the impact today's announcement will have on our staff in London. It is hard to reduce job numbers at any time; we are committed to doing everything we can, in line with our agreement with the union, to make these changes on a voluntary basis. We will be providing specialist outplacement advice to help our people affected by this announcement to look for new opportunities outside Royal Mail."

[brunswick]

if the share scheme is now worth nothing then surely moya, mark and cronies will not be receiving a bonus or will the bonus be based on how many peeps they can get rid of,present rate of job loss announcments indicate that van sharing won't last for long,there will soon be a van each.

[youwot!!!!!]

"also plans to cut the number of line managers by UPTO 10000".

FFS,THEY COULD LOSE THAT MANY IN THE NORTH WEST AND STILL NOT MISS THEM.MAYBE THIS IS WHERE THE COLLEGUE SHARE MONEY IS GOING!!!!!

[bigtee]

How can the share price drop from 1400 to Zero within 6 months?

[railmail]

Where do you get £3K from, i read only yesterday from original bumpf that it could be worth upto £5.3K.

[MADMAX007]

Thanks for all your hard work ppl But royalmail have s**t on use all once again!!!! (There go`s my new Kitchen)

[ziko]

Well theres a surprise....


Not.

[Phantom]

http://www.guardian.co.uk/business/2011 ... job-losses

Former chairman Allan Leighton set up the share scheme along with former chief executive Adam Crozier in 2007 to give staff an incentive to boost productivity and compete with private sector rivals.

It was an incentive to keep people at royal mail, especially part timers cos this is the highest staff turnover and also an introduction to private sector work ethics imposed on a public sector workforce, that was the role of leighton and crozier and now nearly all the royal mail group board consists of private sector executives all ready to fill their boots with the loot they'll make by helping to sell off royal mail as no one in the board is against privtisation.

w*****s the lot!

[belle smith]

Where do you get £3K from, i read only yesterday from original bumpf that it could be worth upto £5.3K.

It hasn't droped from £5.3k to nothing
You will already have had a fair amount of colleague share money, all the Bribe money from 2007 and 2010 came from colleague share money.

[Lounge Lizard]

Where do you get £3K from, i read only yesterday from original bumpf that it could be worth upto £5.3K.

It hasn't droped from £5.3k to nothing
You will already have had a fair amount of colleague share money, all the Bribe money from 2007 and 2010 came from colleague share money.

Yes, about £800 in 2008 and £400 in £2009 was "ColleagueShare Dividend"

[belle smith]

Where do you get £3K from, i read only yesterday from original bumpf that it could be worth upto £5.3K.

It hasn't droped from £5.3k to nothing
You will already have had a fair amount of colleague share money, all the Bribe money from 2007 and 2010 came from colleague share money.

Yes, about £800 in 2008 and £400 in £2009 was "ColleagueShare Dividend"

If you've had your wsm revison then your transformation sum as well.

[End of the road]

A few of those who took EVR from my office got paid out £1,400 just a few weeks ago, that has to be wrong.

Its the start of a lot of changes to working conditions, pay and other crap in the coming months as they grind what is left ahead of the sell off.

Twats

[dod]

There has to be a legal challenge somewhere in all this mince. Surely RM cannot pay people who leave the business £1400 then shaft all us who have to remain and deal with all the other s***. Wardy, Gibbo & co should pull there heads out of each others ar**s and get the solicitors involved. Then again they have been somewhat M I A since the last agreement. what's the bet they were rewarded for selling out the union. Gibbo with the most open ended agreement in history and Wardy so far up Moya's a*** you don't know where one ends and the other begins

[flaminmoses]

There has to be a legal challenge somewhere in all this mince. Surely RM cannot pay people who leave the business £1400 then shaft all us who have to remain and deal with all the other s***. Wardy, Gibbo & co should pull there heads out of each others ar**s and get the solicitors involved. Then again they have been somewhat M I A since the last agreement. what's the bet they were rewarded for selling out the union. Gibbo with the most open ended agreement in history and Wardy so far up Moya's a*** you don't know where one ends and the other begins

you would of thought they would have to back up their figures with the payouts to leavers then the latest announcement??