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Postal workers in 24-hour strike | Postal workers in 24-hour strike |
(about 1 hour later) | |
The postal service across the UK is set to be hit by further disruption as Royal Mail staff prepare a second day of strike action starting on Thursday. | The postal service across the UK is set to be hit by further disruption as Royal Mail staff prepare a second day of strike action starting on Thursday. |
The Communication Workers Union (CWU) said that up to 130,000 of its members will walk out from 1900 BST. This follows an earlier stoppage last month. | |
The union has written to Royal Mail chairman Allan Leighton to outline a deal which could break the deadlock. | The union has written to Royal Mail chairman Allan Leighton to outline a deal which could break the deadlock. |
It is in dispute with the Royal Mail over the company's 2.5% pay offer. | It is in dispute with the Royal Mail over the company's 2.5% pay offer. |
Union officials have argued that workers' pay should rise in line with inflation, which Royal Mail says it can't afford. | Union officials have argued that workers' pay should rise in line with inflation, which Royal Mail says it can't afford. |
Further strike action will achieve nothing Royal Mail | |
The CWU is also locked in battle with the Royal Mail over its modernisation plans, which they say will lead to the loss of 40,000 jobs. | The CWU is also locked in battle with the Royal Mail over its modernisation plans, which they say will lead to the loss of 40,000 jobs. |
Royal Mail says that changes are essential in order to compete with rival mail firms. | Royal Mail says that changes are essential in order to compete with rival mail firms. |
Fierce competition | |
Since Royal Mail lost its monopoly status on post deliveries from 1 January 2006, 17 operators have entered the UK mail market, creating fierce competition for the post office group - particularly in the more profitable business post sector. | |
ROYAL MAIL FACTS The UK mail market is falling by 2.5% per yearRoyal Mail has already lost 40% of corporate business This year, Royal Mail rivals will handle one in five of all letters posted in the UKRoyal Mail pays their workers 25% more than rivals Source: Royal Mail | |
Royal Mail says they have already lost about 40% of its bulk mail business to rival postal operators. | |
Most recently an £8m contract with Amazon and a £12m contract with the Department for Work and Pensions have fallen to private firm UK mail, owner of Business Post. | |
And failure to modernise could cost the group more lucrative business, it argues, highlighting a £1.2bn loan from the Government to invest in new technology to transform their operations. | |
"This is taxpayers' money and we urgently need to press on with using this loan wisely," Royal Mail said on the day the CWU called for a second day of industrial action. | |
'Overwhelmingly rejected' | 'Overwhelmingly rejected' |
Union representatives met Royal Mail managers on Wednesday in a bid for fresh talks, but a union statement later said the Royal Mail had "simply concentrated on reiterating their previous offer that the workforce has already overwhelmingly rejected". | Union representatives met Royal Mail managers on Wednesday in a bid for fresh talks, but a union statement later said the Royal Mail had "simply concentrated on reiterating their previous offer that the workforce has already overwhelmingly rejected". |
The Royal Mail said it was "deeply disappointed" that another strike had been called. | The Royal Mail said it was "deeply disappointed" that another strike had been called. |
A spokesman said: "Further strike action will achieve nothing. | A spokesman said: "Further strike action will achieve nothing. |
"The union is saying nothing new and is simply ignoring the challenge confronting everyone in Royal Mail which is the absolute need to modernise - as all our major rivals have already done. | "The union is saying nothing new and is simply ignoring the challenge confronting everyone in Royal Mail which is the absolute need to modernise - as all our major rivals have already done. |
"Strike action only makes it even tougher for Royal Mail to secure its future and continue to provide great quality of service for its customers." | "Strike action only makes it even tougher for Royal Mail to secure its future and continue to provide great quality of service for its customers." |