Posties reject sham pay offer

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Postal workers rejected a "misleading and unacceptable" three-year pay offer from Royal Mail today and warned that it could lead to industrial action.

Royal Mail bosses claimed that it would mean an 8.6 per cent increase to base pay rates by 2016 with a £300 lump sum this December - but only for workplaces where no industrial action had been taken.

The Communication Workers Union (CWU) branded the deal a "sweetener" for hated plans to sell off the public service.

The deal is also conditional on workers accepting an attack on their pensions that they have already rejected by 99 to 1.

CWU deputy general secretary Dave Ward said the government and Royal Mail chief executive Moya Greene had promised a year ago that postal workers' pensions were safe.

"Now they have reneged on their promise and postal workers' pensions are again under attack," he said.

"For the company to present this as some kind of benefit linked to a pay offer is scandalous.

"This is daylight robbery of a further £2 billion of pension scheme assets being used to subsidise privatisation.

"CWU is seeking a parliamentary inquiry and a review of the European state aid settlement.

"The pay rise is only there as a sweetener to swallow some very bitter pills on damaging changes to pensions and a raft of workplace uncertainty.

"The deal that they've spun in their press release is not the real deal. Postal workers will know that."

Mr Ward added that the company has no real plan.

"Royal Mail consistently claims it has a plan for growth but it can't explain it to the workforce.

"All postal workers see are budget cuts and increasingly unmanageable workloads," he said.

"If we can't get the assurance we want over our members' future then industrial conflict is inevitable."

Royal Mail chief executive Moya Greene claimed that the sham deal "represents Royal Mail's commitment to a long-term engagement strategy with the CWU and with our people. This is a good deal."

Royal Mail said that it would not be introduced unless it achieved a collective agreement with the union.

The CWU and the Unite union will lobby MPs in Parliament tomorrow in their ongoing fight against plans to privatise the Royal Mail.

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Union slam Royal Mail over "unacceptable" pay offer

A Royal Mail offer of an 8.6pc pay rise over three years for 125,000 frontline staff has been rejected as "misleading and unacceptable" by union chiefs.

Royal Mail said it was willing to up pay by 8.6pc as well as offer a lump sum of £300 this December and introduce new incentive arrangements including a minimum annual bonus of £100 a year. Photo: BLOOMBERG NEWS


The battle of words between the Royal Mail and the Communication Workers Union (CWU) went up another level as details of pay offer were released by the postal operator.

Royal Mail said it was willing to up pay by 8.6pc as well as offer a lump sum of £300 this December and introduce new incentive arrangements including a minimum annual bonus of £100 a year.

But the CWU said the offer was entirely dependent on the two sides agreeing a "new working relationship", including the removal of final salary pensions for staff who joined the Royal Mail retirement fund before 2008.

Dave Ward, CWU general secretary, said: "Postal workers want more security; what's on offer is less. With privatisation looming, the protections the Royal Mail have put on offer are not worth hte paper they're written on.

"Our members clearly voted, by a huge 99 per cent, for a pay rise without strings attached, yet the company ignores them."

Mr Ward said Royal Mail chief Moya Greene had promised last year that workers pensions were safe, but had now gone back on her word. He said: "The pay rise is only there as a sweetnener to swallow some very bitter pills on damaging changes to pensions, and a raft of workplace uncertainty."

He added: "The deal that they've spun in their press release is not the real deal."

The two sides are locked in a fierce struggle as the Government edges closer to its wish of privatising Royal Mail. Last week, Royal Mail forced the union to give the High Court an assurance it would not "induce" staff to boycott so-called access mail, mail delivered by

Royal Mail posties, but sorted by rivals such as TNT.

Ms Greene said there would be further talks with the CWU over pay, pensions and a working agreement later this week.

She said: "This offer represents Royal Mail's commitment to a long-term engagement strategy with the CWU and with our people.
"We have already built a stronger Royal Mail together through closer co-operation and trustin recent years. We are now offering a new long-term agreement with the CWU and our employees.

"This is a good deal - good for Royal Mail and good for our people."

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Royal Mail pay boost and £300 bonus rejected by trade unions -

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ROYAL Mail bosses will meet with trade union reps today to thrash out a new pay deal for 125,000 workers after officials rejected an initial 8.6 per cent three-year increase.

The Royal Mail offer, which would raise wages by 2.8 per cent in the first year and then three per cent and 2.8 per cent in the following two years, was rejected by the Communication Workers Union (CWU).

The offer also included a £300 Christmas bonus this year and the potential for bonuses in future.

The CWU told members it had said no to the offer because it wanted a simpler, higher increase to wages and other protections if the company changes ownership.

Deputy general secretary Dave Ward said: “Postal workers want more security; what’s on offer is less.”

The Royal Mail said that unless there was collective agreement with the CWU, the pay increase would not be introduced. “This is a good deal – good for Royal Mail and good for our people,” Royal Mail chief executive Moya Greene said.

The pay negotiations have been heightened by a running battle between the Royal Mail and unions over plans to float the business on the London stock market and changes to its pension scheme.

Last week Royal Mail was in court forcing the CWU to promise not to undertake industrial action to boycott so-called access mail, which the group delivers for third party companies.

Conflict is also rumbling on over the Royal Mail Pension Plan, which the company yesterday said would be kept open to current members.

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Royal Mail strikes getting closer as three-year pay deal rejected

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The Communication Workers Union (CWU), which represents Royal Mail workers, called the latest offer of an increase in base rates by 8.6 per cent and a £300 lump sum in December a "sweetener".

Royal Mail said the proposal, which would affect 125,000 employees, represented a good deal.

CWU deputy general secretary Dave Ward said: "Postal workers want more security; what's on offer is less.

"With privatisation looming, the protections Royal Mail have put on offer are not worth the paper they're written on. Our members clearly voted - by a huge 99% - for a pay rise without strings attached, yet the company ignores them."

Mr Ward attacked the Government and Royal Mail for not having a suitable growth plan for the company, and also for reneging on promises over postal workers' pensions.

He said: "For the company to present this as some kind of benefit linked to a pay offer is scandalous.

"This is daylight robbery of a further £2 billion of pension scheme assets being used to subsidise privatisation. CWU is seeking a parliamentary inquiry and a review of the European state aid settlement.

"The pay rise is only there as a sweetener to swallow some very bitter pills on damaging changes to pensions, and a raft of workplace uncertainty.

"If we can't get the assurance we want over our members' future, then industrial conflict is inevitable."

The CWU and the Unite union will lobby MPs in Parliament tomorrow as part of their campaign of opposition to the planned sell-off of the company.

Royal Mail's chief executive Moya Greene argued the pay offer was made in the spirit of "co-operation" with its employees.

She said: "This is a good deal - good for Royal Mail and good for our people. We are asking the CWU and our people to accept this new agreement. There will be further discussions this week with the CWU about the proposed agreement."

A spokesman for Royal Mail said the 8.6 per cent pay offer over three years was compared to a 1 per cent per annum rise in the rest of the public sector.

He said unless there was a collective agreement with the CWU, the pay increases set out in the proposal would not be introduced.

The spokesman added: "Industrial stability mechanisms will be developed as part of the agreement."

The proposed deal does not apply to staff in post offices.

Unite officer Brian Scott said: "Our postal service doesn't need privatisation. Its annual profits show that it is able to succeed in public ownership.

"Our Royal Mail management members are becoming increasingly concerned about the proposed privatisation and its implications for the public, pensioners, the disabled and small companies, as well as future employment and their pension provisions."

The CWU is due to meet with Royal Mail chiefs tomorrow.