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Post workers resume strike action Post workers stage second strike
(40 minutes later)
Postal workers have started a second 48-hour strike over pay, pensions and job cuts in a repeat of last week's stoppages which crippled services. Households and businesses face another week of little or no mail after postal workers started a second 48-hour strike over pay, pensions and job cuts.
It comes as reports say that the strikes could cost Royal Mail far more than had been expected. Marathon talks over the weekend failed to resolve the bitter dispute and up to 130,000 postal workers walked out of work from 3am on Monday.
The industrial action could end up costing as much as £260m, according to sources quoted in the Sunday Telegraph. Royal Mail said customers should expect severe disruption to services during the strike and for some time after.
The report blames longer term damage as customers switch to other forms of communication because of the strikes. Striking postal workers will hold a rally in central London on Monday.
It says that by the end of the second 48-hour strike, which began at 0300 BST on Monday, the cost to Royal Mail will have been between £50m and £60m. A Royal Mail spokesman urged the Communication Workers Union (CWU) to call off the industrial action and said that support for the strike had weakened.
But over time, a senior executive estimates that people shunning postal services in favour of electronic forms of communication, so that they will not be affected by future strikes, could cost an extra £200m. "Further strike action will do nothing to change the harsh competitive realities we face," the spokesman added.
About 130,000 members of the Communication Workers Union are at loggerheads with Royal Mail. Immense disruption
Business groups have warned that the walkouts are causing immense disruption to the economy.
The action could end up costing Royal Mail as much as £260m, according to sources quoted in the Sunday Telegraph.
It says that by the end of the second 48-hour strike the cost to Royal Mail will have been between £50m and £60m.
But it warns that costs will rise over the longer term as customers switch to other forms of communication because of the strikes.
A senior executive estimated that people shunning postal services in favour of electronic forms of communication, so that they will not be affected by future strikes, could cost an extra £200m.
HAVE YOUR SAY I appreciate they do a lot of work but the strike could lead to more job losses Kim Wood, Macclesfield Send us your commentsHAVE YOUR SAY I appreciate they do a lot of work but the strike could lead to more job losses Kim Wood, Macclesfield Send us your comments
The union has rejected a pay offer of 2.5% and is worried about modernisation plans, which it believes will threaten about 40,000 jobs. CWU members also staged a 48-hour walkout last week in a row with the Royal Mail over pay and pensions.
Talks between the union and management continued over the weekend but could not reach agreement.
Royal Mail said that about 35,000 of the 110,000 staff due to work on Friday had come in despite the strike.Royal Mail said that about 35,000 of the 110,000 staff due to work on Friday had come in despite the strike.
It said that they had handled about 45% of mail in the system, although there had been less than usual because the strike had been well publicised.It said that they had handled about 45% of mail in the system, although there had been less than usual because the strike had been well publicised.
The union has rejected a pay offer of 2.5% and is also worried about modernisation plans, which it believes will threaten about 40,000 jobs.
The two sides continued to hold talks over the weekend, but negotiations broke down without agreement.