Postcomm spares Royal Mail fine
UK-regulator Postcomm has spared Royal Mail financial punishment for trying to manipulate delivery performance figures. Postcomm has announced that an investigation into Royal Mail’s monitoring of quality of service performance has concluded that the company failed to comply with Licence Conditions 4.8 (a) (ii) and (iii) which relate to independent monitoring of performance.
However, the investigation found that the actual quality of service figures had not been affected in any material way, Royal Mail had not benefited financially from the conduct investigated, and that there was no adverse impact on Royal Mail’s customers.
In light of the investigation’s findings Royal Mail has put in place a comprehensive remediation programme to address areas of concern and to strengthen its performance monitoring system.
Postcomm considers that although Royal Mail is taking appropriate steps to secure compliance, it will not be fully compliant until the actions identified as necessary by Royal Mail are completed in March 2011.
Postcomm has decided not to make a final order under section 22 of the Postal Services Act 2000 because it is satisfied that Royal Mail has agreed to take and is taking all the steps appropriate to secure or facilitate compliance with Licence Conditions 4.8 (a) (ii) and (iii) in accordance with section 25 of the Postal Services Act 2000.
Postcomm does not consider it is appropriate to impose a financial penalty. Royal Mail has already incurred considerable costs both in investigating the complaint and in undertaking its remedial action programme.
Nigel Stapleton, chairman of Postcomm, said: “This process has led to significant change within Royal Mail in terms of its risk management processes, which will ultimately benefit customers”.
