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Royal Mail announced on March 25 it planned to cut 1600 managerial jobs, a tenth of managers' positions. The aim is an expected annual cost saving of £50m.
The same day, Royal Mail managers warned the newly privatised postal service that its ‘ruthless’ proposals to slash jobs could result in them being left to consider industrial action.
Unite believes it is no coincidence that Royal Mail’s decision to announce 1600 job cuts, mainly in management roles, to the stock market today (25 March) comes just before the company prepares to announce its first full set of accounts since privatisation.
Stephen DeMatteo, Head of UNI Post&Logistics, the global union representing more than 2.5 million members in the postal and logistics industry worldwide said "Royal Mail is showing its commitment to shareholders only, an effective postal service would require commitment to its workers too."
Brian Scott, Unite officer for Royal Mail said: “First the government sells-off Royal Mail on the cheap and now the newly privatised service is ruthlessly sacrificing jobs. We do not believe that it’s a coincidence that this announcement has been made just before the company prepares to announce its first full set of accounts since privatisation. It’s more proof that Royal Mail’s primary reason for existing is now about making profits rather than serving the nation.
“For all that Royal Mail managers have been through they do not deserve to be treated in this way.
“Unite is demanding a commitment to no compulsory redundancies on fair terms and an effective method for redeployment within the restructured organisation. If Royal Mail refuse we will have no alternative than to consider a ballot for industrial action.”
Unite represents 7,000 Royal Mail managers.