BRITISH POSTAL STRIKE AVERTED AS EMPLOYERS PROMISES NO INVOLUNTARY CUTS
The union representing postal workers called off a strike threat Friday after reaching an agreement with employers that job cuts would be through voluntary retirement only.
The Communication Workers Union had threatened strikes in the new year after Consignia, the public company which runs the Post Office, said it intended to cut 30,000 jobs _ or 15 percent of the work force.
“We are delighted that we have reached agreement so our members know that no one can put them out of a job. Any job losses will be dealt with through collective bargaining and on a voluntary basis,” said John Keggie, deputy general secretary of the union.
Consignia was incorporated in March as a government-owned public company that could borrow, invest and take part in joint ventures.
It said its profits tumbled by 281 million pounds (dlrs 402 million) the first six months of this year, with operating losses quadrupling to 100 million pounds (dlrs 143 million).
Consignia has blamed its losses on the uncertain economic climate, the costs and delays of Britain severe rail infrastructure problems and the rise of e-mail and mobile phone text messaging.
Chief executive John Roberts, who announced the cuts to a parliamentary select committee, said Wednesday the figure of 30,000 job losses was only “indicative.”