Early Christmas present for Royal Mail workers

[TrueBlueTerrier]

http://www.itv.com/news/2013-12-09/earl ... l-workers/" onclick="window.open(this.href);return false;?

The Communication Workers Union appears to have just succeeded in getting Royal Mail workers a pretty nice Christmas present.

After weeks of negotation, taking place alongside the sell-off of the business, Royal Mail executives and union leaders have been talking about the future for the company's staff.

Industrial action, which could have been disastrous in the run-up to Christmas, has been averted. But that won't come cheap for the business.

Workers are getting a more than nine percent pay rise over three years, a £200 lump sum and some long-term guarantees about pay and conditions in the coming years.

The CWU has got guarantees that there will be no outsourcing or franchising of the business, no zero-hours contracts and an assumption that the majority of staff will be full-time. These measures will apply until at least 2019.

There will also be an increase in the defined contributions pension scheme, and there's a promise that new staff will be hired on terms and conditions that are just as good as those for existing staff.

It will add £135 million to the wage bill this year, with that figure rising in the decade ahead.



So what do management get out of it?

Well, no embarrassing and disruptive strikes in the run-up to Christmas in the company's first few months as a private business.

Plus, a new 'industrial stability' deal, whereby the union commits to going to mediation rather than pressing the button on strike ballots.

When you consider that in some recent years the Royal Mail has been responsible for as many as two thirds of the total number of days lost to strikes, it starts to make sense.

As a private sector company the Royal Mail does not, and perhaps cannot afford, to deal with annual disruption from strikes as it tries to survive in an increasingly competitive market.

The deal with the CWU has certainly not come without a hefty cost - one former Royal Mail executive described it to me as the "deal of the century" - but if it means the company can shed its history of grim industrial relations, it may prove to have been worth it.

[TrueBlueTerrier]

http://www.independent.co.uk/news/busin ... 93896.html" onclick="window.open(this.href);return false;

Royal Mail workers will receive a three-year pay rise worth around 9% and legally-binding employment protections under a "landmark" agreement.


The deal between the Communication Workers Union and the recently-privatised company, which has averted strikes, covers over 130,000 employees.

Royal Mail said the agreement was believed to be the first of its kind in the UK, giving legal protections that benefit workers and the company.

Workers will receive a 3 per cent pay rise, backdated to April, 3 per cent from next April and 2.8 per cent from April 2015, as well as a £200 lump sum paid before this Christmas.

Royal Mail has committed not to introduce zero hours contracts, will deliver future changes without compulsory redundancies, will make higher contributions to the pension scheme and will not undertake any additional franchising or outsourcing.

CWU deputy general secretary Dave Ward said: "The agreement breaks new ground in the UK by incorporating extensive legally binding protections for employees alongside a commitment to improve industrial stability.

"The legal protections for Royal Mail employees come hard on the heels of the privatisation of the company and are unprecedented in delivering the strongest protections for employees.

"This is a good deal for the company and customers as well as for employees, but investors should be clear that this agreement commits them to growth and there will be no tolerance to a race to the bottom on services and jobs."

Moya Greene, chief executive of Royal Mail, said: "I am delighted that we have reached an agreement in principle with the CWU. This will provide long term stability and certainty for Royal Mail, our employees and our customers at this pivotal time.

"Working together we can create a strong foundation for the continued success of our business."

There will be improved efficiency and a national review of workloads, and the introduction of mediation procedures to help resolve any industrial relations issues.

Royal Mail said there will be a new approach to resolving workplace disputes at a much faster pace and without disruption.

CWU members will vote on the agreement in a ballot next month.

[TrueBlueTerrier]

http://www.bbc.co.uk/news/business-25306799" onclick="window.open(this.href);return false;?

The Communication Workers' Union (CWU) will recommend to postal staff that they accept a new pay offer that it described as "landmark".

It is worth 9.06% over three years and gives workers a one-off pensionable lump sum of £200 before Christmas,

The agreement means the threat of a Christmas strike is averted.

Royal Mail's boss Moya Greene said it would provide "long term stability and certainty for Royal Mail, our employees and our customers".

She added: "Working together we can create a strong foundation for the continued success of our business."

CWU deputy general secretary, Dave Ward, said: "The agreement breaks new ground in the UK by incorporating extensive legally binding protections for employees alongside a commitment to improve industrial stability.

"This is a good deal for the company and customers as well as for employees, but investors should be clear that this agreement commits them to growth and there will be no tolerance to a race to the bottom on services and jobs."


Stability
The deal gives postal workers a 3% rise backdated to April this year, another 3% from April next year and 2.8% in 2015-16.

The union says it includes guarantees that the newly privatised Royal Mail will give workers legal protections on their terms and conditions, ensuring the Royal Mail will not outsource, sell or transfer any part of its business until a legal review takes place in 2019.

In addition, the CWU says it sets out improved industrial stability and safeguards pensions, as well as staving off the threat of the company employing new postal workers on inferior terms and conditions.

Another part of the agreement is for the two sides to work to create industrial stability with a re-launch of industrial relations arrangements and the introduction of mediation procedures alongside new governance arrangements.

Union members will vote on the recommendations in January 2014.

Privatised
The threat of industrial action was seen as one of the risks to the company when it went public in October. The government sold a 60% stake, of which staff received 10%.

The privatisation was opposed by the union and the share offer was seen as an attempt to smooth labour relations.

Shares have risen more than 80% since it first listed, prompting criticism that it was sold off too cheaply.

[Godric]

one former Royal Mail executive described it to me as the "deal of the century" - but if it means the company can shed its history of grim industrial relations, it may prove to have been worth it.

yeah deal of the Century yet again for Royal Mail while we are shafted

[homer23]

Hi im new to the site , just seen the offer I thought we were getting £200 Christmas bonus anyway this year (after the rubbish share offer last time ) + RM offered us £300 when we were privatised . I hope the £200 is the xmas one and we are still due the £300 when/if its all signed . I have a feeling we might be getting shafted again especially the delivery side maybe its me but after the last few deals ?????? . Anyway hi :)

[TrueBlueTerrier]

Hi im new to the site , just seen the offer I thought we were getting £200 Christmas bonus anyway this year (after the rubbish share offer last time ) + RM offered us £300 when we were privatised . I hope the £200 is the xmas one and we are still due the £300 when/if its all signed . I have a feeling we might be getting shafted again especially the delivery side maybe its me but after the last few deals ?????? . Anyway hi :)

Its all in http://www.royalmailchat.co.uk/communit ... 53&t=58689" onclick="window.open(this.href);return false;

The £200 (£100 xmas and £100 Colleague shares) will be paid. On top of that we are getting £200 of the no strike bribe as an extra bonus (not linked to the deal being accepted) and the other £100 turned into a % pay rise.

[OnAFlyer]

Grim industrial relations? Since 1997 when I joined there has only been around 4 days of national strikes!

[Bernardson]

Grim industrial relations? Since 1997 when I joined there has only been around 4 days of national strikes!

Really? !997 was a land mark year with the dispute over "The Way Forward" Since then we have had at least two national disputes. I certainly have been out more than four times in the last sixteen years perhaps you were on day off

[gashead-postie]

im sorry but id love to hear the cwu hq excuses for not addressing the biggest problem for its members..the overloaded deliveries

I mean do they actually give a toss about posties on the street and what there humping around these days

[Postie45]

im sorry but id love to hear the cwu hq excuses for not addressing the biggest problem for its members..the overloaded deliveries

I mean do they actually give a toss about posties on the street and what there humping around these days :shock:

i think this is more of a local issue, if deliveries are too big they need to be addressed locally, its not a national issue.

[Lincox]

If it,s not a national issue it soon will be as the agreement states quite categorically that they are coming at us for more productivity.

[martin the green]

if the vote is not until January 2014. what happens to the £200 if we turn down the proposal

[freelunch]

if the vote is not until January 2014. what happens to the £200 if we turn down the proposal

But, but, but the £200 is for your YES vote

You saying you can't be bought?

[Puppetmaster]

im sorry but id love to hear the cwu hq excuses for not addressing the biggest problem for its members..the overloaded deliveries

I mean do they actually give a toss about posties on the street and what there humping around these days

No !No!
No one on either side knows anything about deliveries or cares!

[biscuit1957]

3% + 3% +2.8% = 8.8%........ I thought we were told 9.6% pay rise over 3 years