Tag: Royal Mail

UK Royal Mail workers set for pounds 200m bonanza after profits hit new high

Postal workers are to share a pounds 200m windfall after annual profits at the Royal Mail surged to a record high. The state-owned postal group will not publish its full-year results until 17 May. But The Independent on Sunday has learnt that profits will come in at more than pounds 500m, with revenues up between 4 and 5 per cent. That will trigger the payout to postal workers, the biggest in the organisation’s history. All employees who have been with the company for more than a year are eligible for the payout ” likely to be around pounds 1,000 each ” from sorting room to staff to chief executive Adam Crozier. It is understood, however, that chairman Allan Leighton, who took up the role in 2002, has decided to forgo his bonus.

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Royal Mail rejigs council service

The Royal Mail has unveiled a package of proposals to enable councils to communicate better with their residents. The postal giant came under fire from council communicators at last year’s LGCommunications conference, who said its Door to Door delivery system which enables companies to bundle in direct mailshots with their correspondence was difficult to use. LGComms chairman Martin Watkins said: ‘We were dissatisfied with its product. If you wanted it to deliver (council magazines and other communications) you had to book two years ahead. This is not realistic because publications can be time sensitive, if they are about something such as council tax.’ In addition, postcode sectors did not correspond with council boundaries, making it impossible to send out a mailing to just council residents, added Watkins. But Royal Mail now offers a ‘boundary match’ so councils that need to contact everyone within their confines will be able to do so, and has shaken up the booking service. Watkins said: ‘This is going to make a big difference because lots of councils use the Royal Mail and it is an important part of service delivery.’

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DHL takes next step in plan to rival UK Royal Mail

DHL Global Mail opened its first distribution centre outside London yesterday as part of its plans to be a national network rivalling Royal Mail for business post. The German postal operator, which is one of eight companies licensed to handle UK mail, already has a contract to use Royal Mail’s extensive delivery network for “the final mile”. Similar arrangements have been made with other licensed carriers ahead of the introduction of full competition next January.
However, DHL hopes that by building its own network for business-to-business deliveries it can guarantee a faster, more reliable service than the national carrier. The new service, called Smartmail Citispeed, aims to deliver 99 per cent of mail on time, including the option of overnight delivery.

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New Marketing Director for Royal Mail

Royal Mail is pleased to announce the appointment of Alex Batchelor, currently Vice President Global Brand at mobile telecommunications company Orange, as Marketing Director UK reporting to Chief Executive Adam Crozier.

The appointment follows Royal Mail’s announcement in September that it would seek a new marketing director as it enters the next phase of its transformation and faces full competition in the marketplace from January 1.

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Rural UK post offices ‘need support’

Post offices in thousands of villages could close over the next few years after Labour failed to give a manifesto commitment to support the loss-making rural network. Colin Baker, the general secretary of the Federation of SubPostmasters, said that he was disappointed at the lack of support after he and other organisations had lobbied for a pledge that rural offices would be protected. Mr Baker said he feared that all 6,000 loss-making rural post offices, of the rural network of 8,000, would close without government cash.
Rural post offices are supported by an annual government payment of Pounds 150 million but that is intended to continue only until the end of 2007. The threat to rural post offices comes after the recent closure of 2,600 urban post offices.

Labour has said: “We have made no commitment for the future of the post offices after 2008 but we are keeping the matter under review.”

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