Union demands nationwide mail delivery standard for UK

Trade unionists in the UK have called on the nation’s postal regulator to set nationwide mail delivery standards to prevent competitors undermining Royal Mail’s universal service. The Communication Workers Union made the call to communication industry watchdog Ofcom yesterday in response to news that Royal Mail’s only major rival in the field of end-to-end mail delivery is to double its workforce in London.

The union, which represents 115,000 Royal Mail staff, said it wants to see all end-to-end delivery companies operating under the same terms as newly-privatised Royal Mail.

This would mean delivering mail six days a week across the whole country.

At present, Royal Mail’s rival TNT Post UK delivers mail 3 days per week, on alternating days, in routes within West, Central and South West London as well as in Manchester. The company’s latest expansion phase will see the service branch out into North West London.

Progress in TNT Post UK’s expansion is being monitored by Ofcom, which has said it retains the right to impose service conditions on the company if it believes the UK’s universal postal service is threatened by the company “cherry picking” the most profitable routes.

Among Ofcom’s powers are to require TNT Post UK to meet similar service standards to Royal Mail, but also alternatives such as requiring the company to pay into a central fund that would support the universal service run by Royal Mail.

The CWU has been demanding a level playing field for Royal Mail and its rivals ever since TNT Post UK first launched its expansion into the last mile of mail delivery in West London in April 2012.

Since then, TNT Post, part of Dutch postal operator PostNL, has a financial partner in place to help finance a nationwide expansion of the service.

Billy Hayes, the CWU general secretary, said: “Customers value and rely on the six day per week service offered by Royal Mail, a standard we think should be applied across the board rather than allowing Royal Mail’s competitors to cherry-pick when and where to deliver mail.

“The narrow pursuit of profit by Royal Mail’s competitors with no obligation to meet the broader needs of customers, also sees cost cutting at the expense of the jobs, pay and conditions of postal workers across the UK by engaging staff on zero hours contracts and paying less than the living wage.”

The CWU is also calling for Ofcom to establish a new universal service obligation for broadband, to help speed up the expansion of broadband access to all homes and businesses.

The union said current levels of investment in broadband communications would not meet the government’s target of delivering 95% broadband coverage by 2017.

Union deal

Separately, Royal Mail and the CWU, along with the union Unite, have now signed an agreement appointing an independent mediator to handle any employment issues in order to avoid need for strike action.

The three organisations have jointly appointed TCM Group to act as mediation partner to help deal with issues among Royal Mail’s 150,000-strong work force.

It is the first time the unions and Royal Mail have jointly employed an external mediation company to resolve disputes.

Jon Millidge, Group HR Director at Royal Mail, said the external mediators would help establish fairness in the workplace.

“It is no surprise that in a business which employs so many people, there will be disagreements from time to time,” he said. “External mediators can play a vital role in resolving these disagreements quickly and professionally. This will help us to encourage a culture of mutual trust.”

Ray Ellis, Assistant Secretary of the CWU, added: “This is an important step in encouraging an approach based on solving problems at an early stage”.

TCM Group has developed mediation schemes for both private and public sector organisations, including the UN, Marks and Spencer, British Telecom and American Airlines.

TCM Group Chief Executive David Liddell said mediation was a “proven method” for resolving complex workplace issues.

“Royal Mail is taking a lead in how it manages workplace disputes by offering mediation to all of its employees with the full support and involvement of its trade union partners,” he said. “The professional mediators from TCM Group will assist the parties in a dispute to identify and agree a constructive remedy.”