Tag: Domestic

Royal Mail set to back axed Postwatch business group (UK)

Royal Mail is understood to providing financial backing so that the Postwatch group which handles business customer complaints will not be axed when the watchdog folds later this year.

The move follows concerns that business customers would be left high and dry in the new beefed up National Consumer Council, headed by Lord Whitty.

The new-look NCC, which will see Postwatch, energywatch, and CCWater subsumed into the consumer super-body, is due to launch on October 1. It was first mooted nearly two years ago.

At the time, the DTI tried to assure the House of Commons that the merger was not a cost-cutting exercise.

But there has been no provision for the big mailing companies which used to sit on Postwatch’s Trade Association Forum (TAF), chaired by direct marketing industry stalwart Judith Donovan, who is also chair of Postwatch North.

Ironically, the TAF has been credited with winning many battles against Royal Mail.
During the consultation on pricing in proportion, Donovan claimed Postcomm had created “a dog’s dinner” by revealing it supported the scheme even before the consultation period was complete. The group eventually won a number of concessions.

Postwatch also took Royal Mail to court – and won – over GBP 40m worth of unpaid compensation owed to big brand owners. Royal Mail won an appeal but it only covered payments to customers who were in arrears.

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Postcomm consults on repeating the suspension of Royal Mail’s bulk compensation scheme and adjustment to the ‘C’ factor to 2008/09

Royal Mail has asked Postcomm if it can suspend its bulk compensation scheme and adjust the C-factor for another year. These arrangements were first made for 2007/08 because industrial action made it difficult for Royal Mail to meet its quality of service targets, which would have triggered compensation payments to bulk mailers and reductions in future revenue. It now wants to repeat the scheme in 2008/09.

Postcomm published a consultation letter which seeks stakeholders’ views on Royal Mail’s request, which it has made on the basis that there may be further industrial action in the future.

Stakeholders are invited to respond to the letter by the 27 June 2008. Postcomm expects to make a decision by the end of July 2008.

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Cessation of Sunday and Bank Holiday Collections – Changes to Collection Plates

Part of the agreement given by Postcomm to Royal Mail’s request to stop Sunday and Bank Holiday collections was for Royal Mail to amend the information on the collection plates.
Postwatch visited 770 post boxes to see if collection plates no longer referred to Sunday and Bank Holiday collections, but found that none had been changed.
Postwatch was advised by Royal Mail that the removal of all references to Sunday and Bank Holiday collections to its collection plates will be completed by 25 February.
Between 17 March and 4 April Postwatch visited 653 post boxes and found that only 85 pct of collection plates had been changed. This is a disappointing result as it is now over 6 months since Postcomm approved Royal Mail’s application and Postwatch believes that all post boxes should have had their collection plates changed.
The results of our survey have been passed to Postcomm asking it to contact Royal Mail as it is in apparent breach of the conditions set by Postcomm when agreeing this application.

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Pin Group liquidator mandated by shareholders to continue operations

The liquidator of troubled German mail services company Pin Group AG S.A., Bruno Kuebler, has been mandated to continue its business in case he fails to find a buyer for the group.

Kuebler said in a statement he is optimistic he will find a buyer for the company. He said he is still in talks with three unidentified potential buyers.

France’s La Poste walked away from talks at the end of March, according to the statement.

PIN Group ran into trouble in December when publishing group and majority stakeholder Axel Springer AG stopped funding it after the German government decided to introduce minimum wages to the postal industry. Some 40 of its 91 units have filed for insolvency.

The company in 2007 reached full-year sales of 278 million euros, below the 346 million target, and negative earnings before earnings and tax (EBIT) of 68 million.

Kuebler said in the statement PIN’s debt as part of the insolvency procedures amount to more than 200 million euros.

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Agreement in principle on new collective labour agreement for TNT

TNT and the trade unions ABVAKABO FNV, CNV Publieke Zaak, BVPP and VPP reached an agreement in principle on a new one-year collective labour agreement in constructive negotiations. The agreement will come into force with retroactive effect to 1 April 2008 and will apply to all TNT employees in the Netherlands.
The unions will present the agreement to their members with advice to accept. This puts an end to the planned industrial action.
The key arrangements are as follows:
• All employees will receive a salary rise in the form of a structural increase of 3 pct with retroactive effect to 1 April 2008, plus 0.5 pct in the form of a monthly payment until 1 April 2009;
• The monthly payment of 0.5 pct will become a structural increase with retroactive effect to 1 April 2008 if a consensus is reached by no later than 1 April 2009 on the following:
o an Operations collective labour agreement for employees in scales 1 to 4 at TNT Post’s Operations business unit
o market-level terms and conditions of employment for Operations, Marketing & Sales and the policy and support units for employees who do not fall under the planned collective labour agreement for Operations
o market-level terms and conditions of employment for the employees of TNT Post Parcel Service, including the Transport unit
o a separate collective labour agreement for Express, TNT Head Office, Spring, Cendris and European Mail Networks (EMN)
o the monthly payment will lapse if no agreement is reached by 31 March 2009
• The agreement running until 1 April 2009 will not include any form of retrenchment in the terms and conditions of employment.

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