RM welcomes Government’s plans for IPO and free shares

[fishtank]

What does the term 'good leaver' mean please

You would have to ask Royal Mail, but I guess thieving and gross misconduct wouldn't meet the criteria. Again its something we need clarification on.

Done a little research on HMRC approved SIPs.

The company cannot require any shares to be forfeited if an employee leaves employment due to:
• injury or disability
• redundancy
• a transfer of employment to which the Transfer of Undertakings Regulations (TUPE) apply
• a company reorganisation under which the company loses its associated status
• on or after reaching retirement age (as specified in the plan)
• death (Para 32(2) Sch 2)

[Danelectro]

What does the term 'good leaver' mean please

You would have to ask Royal Mail, but I guess thieving and gross misconduct wouldn't meet the criteria. Again its something we need clarification on.

Done a little research on HMRC approved SIPs.

The company cannot require any shares to be forfeited if an employee leaves employment due to:
• injury or disability
• redundancy
• a transfer of employment to which the Transfer of Undertakings Regulations (TUPE) apply
• a company reorganisation under which the company loses its associated status
• on or after reaching retirement age (as specified in the plan)
• death (Para 32(2) Sch 2)

Legal talk and filling in forms are an anathema to me but I guess the above means its a fantastic deal.So if you get injured etc then you lose your shares.Aye seems fair enough

[TrueBlueTerrier]

What does the term 'good leaver' mean please

You would have to ask Royal Mail, but I guess thieving and gross misconduct wouldn't meet the criteria. Again its something we need clarification on.

Done a little research on HMRC approved SIPs.

The company cannot require any shares to be forfeited if an employee leaves employment due to:
• injury or disability
• redundancy
• a transfer of employment to which the Transfer of Undertakings Regulations (TUPE) apply
• a company reorganisation under which the company loses its associated status
• on or after reaching retirement age (as specified in the plan)
• death (Para 32(2) Sch 2)

Legal talk and filling in forms are an anathema to me but I guess the above means its a fantastic deal.So if you get injured etc then you lose your shares.Aye seems fair enough

No the exact opposite

[JaneM]

Tone.....the answer is no,you have to be an employee,how long?.......they are yet to reveal.

[Pinky 1]

More Royal Mail employees in the UK will be able to participate in the Free Share scheme than in any other UK privatisation for almost 30 years. Approximately 150,000 employees are eligible for Free Shares.

Overwhelming majority

The overwhelming majority of Royal Mail Group Limited employees in the UK, including employees working in Parcelforce Worldwide, will be eligible for Free Shares if they meet certain criteria.

Employees of GLS and employees of other subsidiaries and joint ventures are not eligible to receive Free Shares.

Qualifying period

The Government has announced that, to be eligible for Free Shares, employees must have been employed by Royal Mail on 10 July 2013 and still be employed on the date the company floats on the London Stock Exchange.

10 July 2013 is the date the Government made its Parliamentary Statement.

Equal allocation

Eligible UK employees of Royal Mail Group Limited will automatically receive equal amounts of shares, irrespective of their grade. There will be a pro-rata allocation for part-time employees. You will be able to opt out of Free Shares, if you wish.

http://www.myroyalmail.com/news" onclick="window.open(this.href);return false;

[Rainbow]

just a thought, if all the 150 thousand employees bought extra shares, we could own the company ourselves! i could make myself full time.

[TrueBlueTerrier]

just a thought, if all the 150 thousand employees bought extra shares, we could own the company ourselves! i could make myself full time.

At a possible cost of £2.7b or a mere £180k each - if you have that tucked away somewhere can we have a chat about this deal I have got going with a Nigerian Prince who has recently come into some money.

[cloherty1976]

Are you sure about your calculations tbt or have I missed something?

[fishtank]

just a thought, if all the 150 thousand employees bought extra shares, we could own the company ourselves! i could make myself full time.

I'm not wasting my retirement fund on this shower.
The first thing anyone who invests in this company has to realise is that it's core,the management structure is rotten.
Not every manager is rotten but the structure is.
I wouldn't invest a fiver of my own money in it.

[Shambles]

Dvbuk55

Couldn't give a toss about the shares but if I had to wait 5 years or even 3 years I would be 72 and 70 respectively Wonder if I'd be classed as a good leaver if I snuffed it or if it would be classed as abandonment?

Definitely wilful delay

[maisymoo04]

Put my name down for employee priority f@ck it couldn't giv shi@ about anyone else as we all no unions sh@@ and it's Everyman for himself in every office

[biscuit1957]

After the free share allocation what happens if you die within the three years? does your partner keep the shares?

[dvbuk55]

After the free share allocation what happens if you die within the three years? does your partner keep the shares?

Absolutely. Then she'll sell them and go on a spending spree, though what she'll be able to buy for £3.50 is anyone's guess.

[UnhappyGremlin]

After the free share allocation what happens if you die within the three years? does your partner keep the shares?

Absolutely. Then she'll sell them and go on a spending spree, though what she'll be able to buy for £3.50 is anyone's guess.

By then, that won't buy a couple of litres of petrol.
Hell, it barely does now....

[DavidUK]

If you earned £5,000 from dividends in 5 years and then sold the shares for another £5,000 at that point which would make it tax free I think, that a total of £10,000

£5,000 in dividends . £200 - £300 is probably more realistic.

I didn't say it was a likely figure. In fact, I think it more likely that dividends would total very little, less than yours in fact.

It was an example of how little difference the money from the shares in terms of dividends and sales would make. An outrageous amount like the one I suggest, whilst incredibly unlikely, to the point of just not happening, ever, would still not make financial sense to me. The point I was making was that even getting that level of money, it would not make up for the cuts in jobs, pay, T&C's, working conditions etc.

I think a more realistic, top end (as in the best possible amount likely, if everything goes well), figure of £2,500.00 max is the most we can hope for, and that wouldn't last long at all. 3 years of pay freezes would pretty much wipe out that 'gain'. Then we're back to the starting point, with no way of making up for the losses we will no doubt incur.

This is all very hypothetical. No one knows what the share price will be in 3-5 years. Furthermore, the pay offer at present is 8.6% over three years with a guarantee of no changes to T&C in that time. So what we DO know is that, providing inflation doesn't substantially increase, we'll all be better off in three years than now. I don't think it's unusual for ANY employee of ANY company not to know what will happen to their pay packet longer than three years ahead.

And an estimated 6% dividend on shares is a very good return with interest rates being so low.So good in fact, that I'm seriously tempted to buy additional shares via the EPO. The share price itself doesn't interest me to much. I wouldn't sell at a loss anyway and there's no way the shares will become 'worthless'.