News

The UK government has announced today that it intends to continue with its plans to privatise the Royal Mail. The move comes at the same time as postal workers vote on potential strike action.



A survey of the British public has shown two-thirds oppose plans to privatise the state-owned postal service, whilst a CWU ballot in May showed that 96 per cent of members opposed the move.



Philip Jennings, UNI General Secretary said, “This is catastrophic for the postal service. It is politically driven and I find it stunning that the Liberal Democrats should cave-in.



“It is a disaster for small business and communities up and down the country. It spells good-bye to universal services, to affordable prices and to decent work. It is an open invitation to the vultures of private equity who will enjoy their chance to strip the assets.”



UNI is the global union for the postal sector, representing 3 million post workers worldwide, including the Communications Workers Union and Unite, its UK affiliates.



Billy Hayes, General Secretary of the Communications Workers Union, which represents more than 150,000 Royal Mail workers said in a statement , “This isn't about what's best for the Royal Mail, it's about vested interests of government ministers' mates in the City. Privatisation is the worst way to access to capital as it's more expensive than borrowing under public ownership.



“We remain convinced that privatisation is the wrong decision for Royal Mail. It would be bad for customers, bad for staff and bad for the industry. Privatisation would put jobs and services at risk and lead to higher prices for customers. We've seen it happen time and again in other industries.”



Unite General Secretary Len McCluskey said, “We predict that the sell-off will lead to worse services for business and the general public, particularly in rural areas, as well as job losses, when private companies try to squeeze the last drop of profit out of the Royal Mail.



“Ironically, there is no need for this sale to take place. Royal Mail is modernising and is making a profit - £430 million last year - and it is improving service levels. All of this progress will now be at risk.



Stephen DeMatteo, Head of UNI Post & Logistics, said of the announcement, “As the global trade union for the postal and logistics sector, we have witnessed too often the disastrous effects of hurried and unnecessary privatisation.



“The UK is at risk of becoming another Netherlands, where the postal office has become a shadow of its former self. After privatisation, workers lost their jobs piece-work pay schemes became the norm. The potential for a similar outcome in the UK, and its impacts on Royal Mail workers and the British public cannot be ignored.”



UNI Global Union supports its affiliates CWU and Unite the Union in their opposition to the privatisation of Royal Mail. UNI also stands ready to support the unions in their efforts to overturn the government’s decision. CWU are preparing a national strike ballot to be sent to its members September 20, with the earliest strike action coming October 10.